Stallion Uranium (TSXV: STUD) has disposed of three non-core uranium projects in the Athabasca Basin. The firm has sold the projects to Glorious Creation (CSE: GCIT), an exploration entity that is set to be renamed to Mustang Energy.
The transaction will see the sale of the Ford Lake, Roughrider South, and Cigar Lake East projects to Glorious, in exchange for $400,000 in cash and the issuance of 2.5 million shares of Glorious to Stallion. The properties will contain a 3.0% net smelter returns royalty, of which up to half can be repurchased for total consideration of $2.25 million.
The projects amount to a total of seven claims covering 10,874 hectares in the Eastern Athabasca Basin.
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“All three projects are located in the heart of the world-renowned Eastern Athabasca Basin and hold potential for a high-grade discovery. The closing of this sale will bring exploration programs to these projects, and Stallion is aligned to benefit from that exploration success,” commented Drew Zimmerman, CEO of Stallion Uranium.
Stallion has also agreed to an operating agreement, whereby the company will conduct exploration on one or more of the properties for a fee.
Stallion Uranium last traded at $0.10 on the TSX Venture.
Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
