Canadian explorer Dark Star Minerals (CSE:BATT) has entered into a mineral purchase agreement to acquire the Bleasdell Lake Uranium Project in Northern Saskatchewan, Canada.
The project, covering 515 hectares, has had historical exploration and development including a historical deposit consisting of 620,700 pounds of triuranium octoxide identified within the Horn and Jackpine zones.
Under the agreement, Dark Star has already paid C$25,000 cash to the vendors, and will pay an additional C$75,000 cash within 15 days of receiving approval for the acquisition.
Dark Star has committed a further C$150,000 cash to the vendors in six months following the agreement.
The company will issue five million shares at a deemed issue price equal to the greater of $0.06 per share and the lowest permitted price per share pursuant to the policies of the Canadian Securities Exchange (CSE) to the vendors on a pro-rata basis within 15 days of receiving CSE approval.
Dark Star has advised it will grant vendors a 2% net smelter return royalty on the project.
CEO Marc Branson says Northern Saskatchewan is known for “high-grade” uranium deposits and the company is eager to build on the extensively explored historical resource.
“Exploration will target confirming and expanding on previous historic findings,” Branson says.
“This strategic acquisition substantially strengthens our highly prospective uranium asset portfolio and further aligns with our mandate to explore, develop and acquire assets in preparation for future uranium supply shortages as the world advances in nuclear power and small modular reactors.”
Dark Star intends to conduct follow-up exploration focusing on the Horn and Jackpine zones, which are known for uranium-bearing pegmatite dykes.
Three additional zones on the project have been uncovered by previous modern day explorers for deposit expansion opportunities.
Dark Star Minerals is an explorer focused on acquiring and developing critical mineral resources, specifically the rare earth complex.
As Mining.com.au previously reported, the company has an option to acquire the Ghost Lake claims, covering 28,575 hectares, in the Central Mineral Belt of Labrador.
Write to Aaliyah Rogan at Mining.com.au
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