Alligator Energy (ASX:AGE) has completed conditions precedent to the divestment of its non-core Northern Territory-based uranium assets to DevEx Resources (ASX:DEV) for a total consideration of $7.5 million.
The company expects the transaction to be completed by the end of June 2026, with the asset sale agreement providing $5.75 million in upfront consideration, subject to an agreed mix of cash and shares, as well as $1.75 million, which will be held in escrow pending the renewal of the exploration access agreement for EL 24921 and 24922.
The exploration access agreement for EL 24921 and 24922 is due to expire in May 2027.
Proceeds raised from the completion of this divestment are expected to materially strengthen Alligator’s cash balance, while also providing funding capacity.
CEO and Managing Director Andrea Marsland-Smith says Alligator is now “very close to completing this transaction” following the satisfaction of conditions precedent.
“This, as forecast, strengthens Alligator’s cash balance to fund planned exploration and development activities while reducing near-term funding requirements as we accelerate work at Samphire,” Marsland-Smith says.
The update follows Alligator’s resource upgrade at the Samphire Uranium Project in South Australia, which increased the resource by 67% to 30 million pounds of triuranium octoxide, as reported by Mining.com.au.
The resource upgrade reflects Alligator’s access to the Plumbush uranium deposit, alongside the Blackbush deposit, through the acquisition of the Mullaquana Crown Lease from privately held company Joyce Pastoral.
Plumbush has a maiden inferred resource estimate of 12 million pounds of triuranium octoxide and is located just 5km south of the existing 18-million-pound Blackbush resource.
Prior to the inclusion of Plumbush, the greater Samphire Project in South Australia contained 18 million pounds of triuranium octoxide.
Alligator Energy is an Australian exploration company focused on uranium and energy-related minerals.
Write to Maddison Elliott at Mining.com.au
Images: Alligator Energy
