Anfield Energy Inc. (TSX-V:AEC, OTCQB:ANLDF) revealed that it has struck a definitive agreement with Nedeel LLC and BBL-2 LLC to acquire the Marysvale and Calf Mesa uranium projects in Utah in a cash and stock deal to complement its existing assets and as a part of its long-term strategy.
The agreement relates to the Vancouver-based uranium and vanadium development company acquiring a 100% interest in 65 unpatented mining claims and associated historical data of the Marysvale uranium project, in Beaver County, Utah, and a 100% interest in 26 unpatented mining claims and historical data of the Calf Mesa uranium project, in Emery County, Utah.
As consideration for the claims and associated data, the sellers will receive US$60,000 in cash and 9 million Anfield shares, the company said. The completion of the acquisition hinges on receiving the approval of the TSX Venture Exchange.
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Following issuance, the consideration shares will be subject to statutory restrictions on resale for a period of four months and one day. Anfield does not have to pay any finders’ fees or commissions in connection with the acquisition of the claims.
In a statement, Anfield CEO Corey Dias said: “We are pleased to secure additional claims near our Utah projects, including the Shootaring Canyon Mill, and will continue to seek out prospective assets which fit into our two-fold strategy of acquiring both near term and longer-term uranium and vanadium assets which will fit into our overall production plan.”
“The near-term strategy centers on our advanced Utah and Colorado uranium and vanadium projects – Velvet Wood, West Slope and Slick Rock – underpinned by our wholly-owned Shootaring Canyon mill, one of only 3 licensed conventional mills in the US.”
Dias noted that the longer-term production strategy includes the acquisition of “complementary assets” with the potential to feed additional uranium and vanadium resource to its Shootaring Canyon mill.
“Much like our Artillery Peak acquisition, we believe that Marysvale and Calf Mesa will complement our existing assets and serve as part of our longer-term strategy,” Dias added.
Marysvale project
According to the company, uranium was discovered in the Marysvale area in 1949 and produced nearly 1.4 million pounds, at a reported average grade of 0.22% of triuranium octoxide (U3O8), a compound of uranium between 1952 and 1967. Mined material was shipped to a government ore-buying station in Marysvale.
The project is located within the Marysvale volcanic field roughly 100 air miles west and north of Anfield’s Shootaring Canyon Mill. A key asset in Anfield’s portfolio, the Shootaring Canyon Mill in Garfield County, Utah is strategically located in one of the historically most prolific uranium production areas and is one of only three licensed uranium mills in the US.
Companies such as Energy Fuels Exploration Company and Philips Uranium Corp have held claims in the area, while both Philips and Trigon Exploration conducted drill programs.
Contact the author Uttara Choudhury at uttara@proactiveinvestors.com
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