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Anfield Energy set to acquire Charlie ISR uranium project

Last updated: 14:19 12 Mar 2018 GMT, First published: 10:19 12 Mar 2018 GMT

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The lease has been in development since 1969

Anfield Energy Inc (CVE:AEC, OTCQB:ANLDF, FRANKFURT:0AD) is to buy an advanced uranium project in Wyoming, USA , it told investors.

It has struck a term sheet with Cotter  Corp to acquire the Charlie ISR (in-situ recovery) uranium project, which is in the Pumpkin Buttes Uranium District in Johnson County.

It consists of a whopping 720-acre Wyoming State uranium lease which has been in development since 1969 and sits immediately adjacent to two of Uranium One’s producing mines.

"We are excited to add the Charlie Project to our portfolio of uranium properties, said chief executive Corey Dias.

"It is a critical component of our strategy to create a robust mine-and-mill production complex in Wyoming.

"We are now well-positioned for production when market conditions are right. 

"The Charlie Project is one of the most-advanced uranium properties in the United States and Anfield has a resin processing agreement in place with nearby Uranium One to produce up to 500,000 pounds of uranium per year at its existing processing facility. 

"Moreover, in building a significant resource pipeline we are continuing to update and delineate uranium resources at the 24 Wyoming uranium projects acquired from Uranium One in 2016.

"These projects complement our conventional assets, including the Shootaring Canyon Mill, allowing us to bring projects on stream optimally according to market conditions and potential contracts."

Falling uranium prices in the 1980s halted further development of the site .

But in January 1995 Power Resources Inc (PRI) completed what it defined as a “feasibility study” under an agreement with Cotter Corp for development as an ISR mine. 

PRI estimated what it defined as "total geologic (indicated and inferred) ore reserves” for the project based on a data from some 1,252 exploration drill holes using an initial cutoff of 2 feet of 0.02 % uranium.

This resulted in range of 3.1 to 4.6mln pounds of uranium oxide.

Anfield considers these estimates to be historical and cautions that a qualified person has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves.

The transaction will be settled with shares of Anfield to Cotter equal to a 10% ownership interest in Anfield, with Cotter retaining a 20% interest in all yellowcake production from the project.