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Forum Uranium Finalizes Agreement for the Purchase of Henday Project Near Midwest Lake Uranium Mine

Thursday May 17, 9:00 am ET

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - May 17, 2007) - Forum Uranium Corp. (TSX VENTURE:FDC - News) is pleased to announce that it has finalized the agreement for the purchase of the Henday uranium property, strategically located nearby the Midwest Lake mine project currently slated for production in 2008 by AREVA Resources Canada and Denison Mines Corp.

The Henday property has exceptional potential for a shallow, high grade uranium deposit and is located along the north-east trend hosting the Midwest Lake deposit (41 million lbs. U3O8 at an average grade of 5.5%) and Mae zone. Denison Mines recently reported results of 10.5 metres grading 12.4% U3O8 to 22.6 metres grading 26.7% U3O8 on the Mae Zone discovery, located 3 km north-east of the Midwest Lake deposit and 10 km south-west of Forum's Henday property. It also lies north of the Dawn Lake deposits (13 million lbs. U3O8 at an average grade of 1.7%).

Ken Wheatley, P.Geo., Vice President, Exploration, who directed the exploration of the Mae Zone discovery in his former position as District Geologist for AREVA, stated, "The Henday Lake property is an excellent acquisition for the Company and provides us with a strategic property in the midst of several mineralized trends. My knowledge of the Mae zone and the nearby Sue trend is directly applicable to this project, and I am looking forward to operating a property with this much potential."

Thirty-two widely-spaced drill holes, comprising 7,576 metres (m) were completed from 2000 to 2005 in a first phase drill campaign that discovered significant hydrothermal alteration and low grade uranium mineralization in several drill holes. One intercept of 0.21% over 4 m in the Athabasca sandstone at the unconformity and 10 other holes with anomalous uranium have been intersected in association with electromagnetic conductive trends, strong clay alteration and anomalous geochemistry. A summer work program to re-examine all existing core is being planned, as well as a 5,000m drill program for the winter of 2008. A drill rig has been secured from Major Drilling to complete this work.

Highlights of the Henday project are:

- $1.7 million dollars has been spent on electromagnetic and gravity surveys, sandstone boulder exploration and 7,576 m of diamond drilling of the property, led by ex-Uranerz Exploration and Mining Ltd. uranium geologists Klaus Lehnert-Thiel and Fritz Hopfengartner.

- The mineralization is shallow - the unconformity is at an average depth of 160 m, ranging from 125 m to 220 m.

- Uranium mineralization ranges from 12.4 ppm U to 0.21% U3O8 in both sandstone and basement rocks. Strongly developed clay (illite and dravite) alteration and anomalous boron geochemistry are evident in these drill holes.

- 8 conductive trends totalling 45 line kilometres have been outlined on the property from ground electromagnetic surveys that identify prospective graphitic lithologies in basement rocks. Graphite is associated with all known uranium deposits in the region.

- One of these conductive trends continues on to AREVA's ground to the east where the Mallen Lake showing, located a few hundred metres from the property boundary, has drill intercepts of 5.9% U3O8 over 0.3 m and 2.5% U3O8 over 0.3 m in basement rocks.

Revised terms of the acquisition are 3.3 million shares of Forum and a 2% Net Smelter Return Royalty with an option for Forum to buy back half of the royalty for the greater of US$800,000 or CDN$1 million There will be a payment of 215,000 shares in finders fees upon closing. Closing is subject to the approval of the TSX Venture Exchange.

Richard Mazur, P.Geo., President & CEO and Ken Wheatley, P.Geo., Vice President, Exploration of Forum Uranium Corp. are the Qualified Persons that have reviewed the contents of this news release.

About Forum Uranium

Forum Uranium Corp. is a Canadian-based energy company with a focus on the acquisition, exploration and development of uranium projects. The Company has a 100% interest in over 160,000 hectares of uranium exploration properties, a 65% operating interest in the Costigan Lake Joint Venture with partner NVI Mining (Breakwater Resources) and a 50% operating interest in the Haultain River Joint Venture with partner Hathor Exploration in the prolific Athabasca Basin, Saskatchewan. Forum also has a 50% operating interest in the North Thelon Joint Venture with partner Superior Diamonds in over 100,000 hectares of prospective ground nearby AREVA's 130 million pound U3O8 Kiggavik uranium deposit in the Thelon Basin, Nunavut Territory.

ON BEHALF OF THE BOARD

Richard J. Mazur, P.Geo., President & CEO

http://biz.yahoo.com/ccn/070517/200705170391370001.html?.v=1