Standard Uranium Ltd (TSX-V:STND, OTCQB:STTDF) told investors that it has struck a deal to acquire eight additional claims totalling 4,278 hectares contiguous with its recently-staked Corvo Project in the eastern Athabasca basin region of Saskatchewan.
In a statement, the company said its wholly-owned Standard Uranium (Saskatchewan) Ltd entered into a mineral property purchase and sales agreement, dated August 24, 2023, with Eagle Plains Resources for the claims. It will issue Eagle Plains with 1.25 million shares and grant it a net smelter return (NSR) royalty of 2.5% on all Corvo claims from when commercial production kicks off. It can reduce the NSR royalty to 1.5% for $1 million.
Upon completion of the acquisition, Standard Uranium said the Corvo Project will comprise 7,989 hectares within 10 claims and contain 14.5 km of prospective exploration corridors across two trends.
The company said it continues to implement its project generator growth strategy, adding to the already considerable land package in the Athabasca basin through expansion and acquisition opportunities.
“Completing this deal with Eagle Plains will add significant value to the Corvo Project, delivering more than 5 kilometres of additional prospective exploration corridors in addition to several more historical uranium showings,” commented Standard Uranium president and vice president of exploration Sean Hillacre.
“The fact that the project is road-accessible year-round compliments the strong geoscience attributes of the project, drawing on the analogy of the nearby Gemini Mineralized Zone. With this addition to the claims staked by our team, Corvo is now a highly optionable project with size and strong geological characteristics prospective for uranium mineralization.”
Standard Uranium said the expansion of the Corvo Project means it will have ownership interests in seven projects totalling over 187,542 acres across the uranium-rich Athabasca Basic.
The company said it is looking for strategic partners to advance all projects through earn-in agreements so that it can drive value and minimize dilution to shareholders through focused exploration.
Eagle Plains president and CEO Tim Termuende added: “We are pleased to have concluded a mutually beneficial deal with Standard on their Corvo Project. Standard brings to the table a solid management team while Eagle Plains will maintain significant upside exposure to the project through its sizeable shareholdings in Standard and the retention of an NSR.”
Contact the author at stephen.gunnion@proactiveinvestors.com