PERTH (miningweekly.com) – Uranium miner Paladin Energy has inked a sale of tenement agreement with ASX-listed MGT Resources over the Manyingee mining lease, in Western Australia.
The two companies in July signed a binding term sheet under which MGT will acquire a 75% interest in the Manyingee project for A$30-million, over two tranches.
On closing of the transaction, MGT will acquire an initial 30% interest in the project for $10-million and will form a joint venture (JV) over the project with Paladin.
MGT will then have an option to acquire an additional 45% of Manyingee JV from Paladin for $20-million, exercisable for 12 months following Manyingee JV's preparation of a plan to conduct a field leach trial for uranium extraction by in-situ recovery method.
Paladin said on Tuesday that the transaction with MGT was conditional upon receipt of all relevant approvals, including shareholder approval, and MGT securing financing.
The uranium miner, which is also selling a 24% interest in its Langer Heinrich mine, in Namibia, has previously said that the sale of the Manyingee interest is expected to close in the first quarter of 2017, or early in the second quarter.
Edited by: Creamer Media Reporter
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