Myriad Uranium (CSE:M) has agreed to acquire the Los Altares uranium project in central Chubut, Argentina, in a deal that would provide the company a 55,000-hectare land package in the province’s Cerro Solo uranium district.
Under a share purchase agreement dated October 9, Myriad will acquire 100 percent of Argentine firm Buenavida Metales S.A. from Green Shift Commodities.
The deal includes US$300,000 in cash and 1,571,268 Myriad common shares valued at US$0.4455 each. Green Shift will retain a 2 percent net smelter return royalty, half of which Myriad can buy back for US$1 million.
The Los Altares package comprises 23 properties across two districts in the Cerro Solo uranium district. The site flanks the National Atomic Energy Commission’s (CNEA) Cerro Solo deposit to the east and west, and the East District lies a few kilometers east of two deposits.
The project includes four granted mining concessions with approved Environmental Impact Assessments (EIAs): Arroyo Perdido Norte 1, 2 and 3, and Arroyo Perdido Sur 1. Seven additional properties hold approved EIAs and are advancing through title registration.
“The acquisition of a 100 percent interest in Los Altares continues Myriad’s strategy of acquiring projects with low up-front and ongoing costs and strong leverage to the uranium price,” Myriad CEO Thomas Lamb said in the announcement. “Upon closing, we will own 55,000 hectares in what is arguably Argentina’s most important uranium district, on strike with Cerro Solo, one of the country’s largest uranium deposits, and near the historical Los Adobes mine.”
Lamb said that while the depth of the sandstone horizon provides an exploration rationale, additional technical work would be required to determine whether any mineralization discovered could be amenable to in-situ recovery (ISR).
The Argentine acquisition follows Myriad’s consolidation of the Copper Mountain uranium project in Wyoming.
In August, the company completed its acquisition of Rush Rare Metals via a statutory plan of arrangement, issuing 24,983,671 common shares to take 100 percent ownership of the project.
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Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
