Platinex Inc. (CSE:PTX) told investors it has acquired a portfolio of uranium assets which it will package into a new unlisted entity, Green Canada Corporation (GCC).
The company, in a statement, explained that Platinex shareholders will participate as direct shareholders of the GCC vehicle, which is envisaged as providing "exposure to uranium and other critical minerals as Canada begins to experience increased global interest and investment in mineral exploration driven by the green energy transition."
GCC aims to be strategically positioned with an advantageous portfolio of critical mineral discoveries, Platinex added.
The acquired portfolio comprises the Beartooth Island uranium project (spanning 145 kilometers in Saskatchewan), the Matoush-Otish Mountain project (219 square kilometers, Quebec), Mistassini (8 square kilometers, Quebec), the Cyprus uranium and copper project (34 square kilometers, Saskatchewan), and three large claim blocks (126 square kilometers) in Ontario.
It is acquiring the uranium portfolio from International Prospect Ventures (TSX-V:IZZ) in exchange for 7.5 million Platinex common shares worth $300,000, plus 2.6 million shares in GCC and a royalty.
Platinex, meanwhile, assigns to GCC an option agreement it holds over the Muskrat Dam critical minerals project.
Altogether, the GCC portfolio will total some 650 square kilometres of highly prospective ground in the vicinity of proven uranium and rare-earth element projects.
The company noted that the Muskrat Dam Project has considerable base and rare-earth element potential, and the new structure will better facilitate GCC to access capital and explore this early-stage, yet highly compelling project.
At the same time, Platinex is unencumbered to pursue and advance its flagship W2 Copper-Nickel-PGE project and its South Timmins gold joint venture.
“Platinex has an established history exploring for critical minerals in Canada, and with the uranium spot market signalling the future undersupply of uranium, the capital markets will be supporting new exploration ventures,” said Platinex chief executive Greg Ferron.
“The Green Canada portfolio complements Platinex’s Canadian critical mineral portfolio and is in line with our corporate strategy to be nimble and seize opportunities for accretive transactions that benefit our shareholders.”
Platinex will retain a 60% interest in GCC, after all share issuances (including a $500,000 private placement and the transaction shares).
The GCC board will comprise Olivier Crottaz, Jean-David Moore and Greg Ferron.
It is expected the details of GCC’s future exploration plans will be announced in the coming months.