Global Alumina provides Update on Proposed Capital Raise and Project Restructuring

Global Alumina provides Update on Proposed Capital Raise and Project 
TORONTO, March 7, 2013 /CNW/ - Global Alumina Corporation (TSX: GLA.U) (the 
"Company" or "Global Alumina") announced today an update on its efforts to 
raise additional capital by way of debt or equity in order to complete the 
previously-announced proposed acquisition from Broken Hill Proprietary Company 
Pty Limited ("BHP") of its one-third interest in the Guinea Alumina joint 
venture project (the "Project"). 
During the past several months, the Company has been actively engaged in 
trying to raise capital through a private placement of securities to fund the 
acquisition of BHP's one-third interest in the Project and the Company's 
obligations.  The Company requires capital not only to complete the 
transaction with BHP, but also to fund its ongoing anticipated costs, expenses 
and Project obligations. 
While several investors have expressed interest in participating in the 
private placement, the Company has yet to obtain commitments from investors 
sufficient to complete the private placement on terms and conditions that are 
acceptable to the Company.  In parallel, senior management and the board of 
the Company are also exploring other financing and strategic alternatives that 
may be available to raise capital. 
At present, negotiations are underway with a number of prospective investors.  
As these negotiations are on-going, the Company may request an extension from 
BHP of the "Longstop Date" to close the transaction provided for in the 
parties' agreement. 
There can be no assurances that the Company's efforts to raise additional 
capital will be successful. 
Additional details concerning the transactions with BHP and related 
background, including a copy of the purchase and sale agreement, have been 
publicly disclosed by the Company and are available on SEDAR at 
About Global Alumina 
Global Alumina currently holds an indirect one-third interest in a joint 
venture with BHP, Dubai Aluminium Company Limited and MCD Industry Holding 
Company LLC with respect to the Project.  Global Alumina is headquartered in 
Saint John, New Brunswick and has administrative offices in New York, London 
and Montreal.  For further information visit the Company's website at 
Forward Looking Information 
Certain information in this press release is "forward looking information", 
which reflects management's current expectations regarding the Company's 
future objectives, plans, goals, strategies, financial condition, performance 
and business prospects and opportunities. In this release, the words "may", 
"would", "could", "should", "will", "intend", "plan", "anticipate", "believe", 
"seek", "propose", "estimate" and "expect" and similar expressions, as they 
relate to the Company and its business, assets and interests, are often, but 
not always, used to identify forward looking information. Such forward looking 
information reflects management's current beliefs and is based on information 
currently available to management. Forward looking information involves 
significant risks and uncertainties, should not be read as a guarantee of 
future events, performance or results, and will not necessarily be accurate 
indications of whether or not or the times at, or by which, such events, 
performance or results will be achieved. In particular, this news release 
contains forward looking information pertaining to the following: the 
Company's ability to complete the purchase of BHP's Project interests; the 
adequacy of the Company's financial condition and cash resources; its ability 
to continue to fund the Project and its ongoing general corporate, working 
capital and operating requirements and to continue as a going concern; the 
Company's ability to raise additional capital to fund its ongoing and future 
obligations and expenses; the ability of the Company to pursue a strategic 
transaction; the Company's estimated costs and commitments; and the Company's 
ability to obtain the necessary shareholder and TSX and other regulatory 
approvals in connection with the Company's capital raising activities, among 
other things. A number of factors could cause actual events, performance and 
results to differ materially from those discussed in the forward looking 
information, including, but not limited to: the inability of the Company to 
raise additional capital or source new financing to fund its on-going 
obligations relating to the Project and general corporate, working capital and 
operating expenses pending a sale of the Company and to continue as a going 
concern; the inability of the Company to satisfy the conditions to closing the 
transaction with BHP; the inability of the Company to implement a strategic 
transaction on terms that are favourable, or at all; the potential dilution to 
existing shareholders from any capital raise; unanticipated liabilities of 
Global Alumina at the corporate level or pursuant to its contractual 
arrangements and its inability to obtain additional financing to fund such 
obligations; the possibility that the value of the Company's assets could 
deteriorate; potential legal and regulatory proceedings; changes or 
disruptions in the securities or credit markets or in the trading price or 
liquidity of the Company's shares; the loss of any interest in the Project or 
its ability to vote on Project matters as a result of the Company's inability 
to fund its share of costs of the Project; the Company's dependence on its 
interest in a single asset; the possible forfeiture of the mining concession 
area near Sangaredi in certain circumstances; and the factors related to the 
business of the Company discussed under the heading "Risk Factors" in the 
Company's Annual Information Form. 
The forward looking information contained in this news release is based on 
various assumptions, including among other things: that conditions and 
circumstances will not be materially adverse to the Company raising additional 
capital imminently needed; that the Project will remain a viable asset; that 
the Company will be able to continue as a going concern; that completion of 
the transactions with BHP regarding the purchase of its interests in the 
Project will be successfully concluded; and that the Company's shares will 
remain listed and posted for trading on the TSX. Although the forward looking 
information contained in this release is based upon what management of the 
Company currently believes are reasonable assumptions, Global Alumina cannot 
assure investors that actual events, performance or results will be consistent 
with this forward looking information.  Global Alumina cautions readers that 
the above list of factors, risks and uncertainties are not exhaustive.  If the 
assumptions underlying forward looking information prove incorrect or if risks 
or uncertainties materialize, actual events, performance or results may vary 
materially from those anticipated.  This forward looking information is made 
as of the date of this release, and Global Alumina assumes no obligation to 
update or revise it to reflect new events or circumstances, except as required 
by applicable law. 
For further information, please contact: 
Michael Cella Global Alumina 212.351.0010 
SOURCE: Global Alumina Corporation 
To view this news release in HTML formatting, please use the following URL: 
CO: Global Alumina Corporation
ST: Ontario
-0- Mar/07/2013 13:02 GMT
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