www.stellarresources.com.au
Stellar Resources (ASX: SRZ) holds two priority advanced resource projects - a major magnetite project located in South Australia and a high grade tin deposit in Tasmania - as well as a number of exploration properties targeting copper, gold, uranium and nickel.
The company's aim is to develop a minimum 5 million tonne per annum magnetite operation based on the completion of a successful feasibility study at Tarcoola iron ore project in central South Australia.
Stellar Resources inks Pirie Basin uranium JV with Renaissance Uranium
Melbourne based Stellar Resources (ASX: SRZ) has entered into a joint venture agreement with Renaissance Uranium Limited over Stellar’s highly prospective exploration licence 3978 in the Pirie Basin of South Australia.
Renaissance has agreed to sole fund $3.5 million of expenditure over five and a half years to earn a 75% interest in the tenement.
During the initial 18 months, Renaissance is required to spend a minimum of $500,000 on geophysics and drilling before it can elect to earn an interest.
On election, Renaissance will sole fund $3 million of expenditure over four years to earn a 75% interest in EL 3978. The minimum expenditure commitment in each of the four years is $500,000.
Upon Ministerial consent being granted to the joint venture agreement, Renaissance will issue Stellar 750,000 ordinary shares and 750,000 options in Renaissance.
On election to commence the earn‐in, Renaissance will issue Stellar with a further 750,000 ordinary shares and 750,000 options.
Peter Blight, Stellar's CEO, said “the combination of Renaissance’s talented team in a new uranium province is a winning outcome for Stellar shareholders. In addition, it will allow Stellar to focus on its key Heemskirk Tin Project in Tasmania and the Tarcoola Iron Ore Project in South Australia.”
Stellar has completed an electromagnetic survey across EL 3978 and identified a 35 kilometre long regional sedimentary uranium target for follow‐up exploration. The Pirie Basin is very prospective for uranium.
UraniumSA (ASX: USA) has established a JORC compliant resource in the Basin and identified uranium mineralisation on a joint venture tenement with Stellar.
Renaissance is a recently formed unlisted public uranium exploration company led by an accomplished uranium exploration, development and operating team. The team’s recent accomplishments include roles in discovering and developing the Four Mile uranium deposit and managing Heathgate Resources, operator of the Beverley uranium mine.
In addition to today's JV announcement, on October 19 Stellar (ASX: SRZ) inked a joint venture agreement with AngloGold Ashanti Australia Limited over four exploration tenements in the Gawler Craton area of South Australia.
SRZ has a market capitalisation of A$18.96 million and A$2.71 million cash in the bank at the end of the September quarter
