EUA Uranium stake21 Oct 2018 16:21
Https://www.proactiveinvestors.co.uk/companies/news/20662/eurasia-mining-taking-initial-10-pct-stake-in-kyrgyzstan-uranium-project-shares-rise-24631.html
Eurasia Mining PLC (LON:EUA) said it is taking an initial 10 percent stake in the Kamushanovsky uranium project in Kyrgyzstan, in line with its expanded search for near to production mining projects in the former Soviet Republics. If certain conditions are satisfied, Eurasia will acquire a controlling stake in Kamushanovsky.
Investors liked the news, sending the stock up 10 percent in early deals to trade at 1.92 pence.
Eurasia has executed a legally binding Memorandum of Understanding with International Mining Co Invest Inc (IMC Inc), the owner of closed joint stock company IMC Invest (IMC), under which it will receive a 10 percent interest in IMC, which holds the interest in the Kamushanovsky project.
The company will pay a total of US$1 million to IMC Inc by 1 March 2011. These funds are to be used for continued work on the project.
The parties also agreed that 45 percent of IMC Inc's holding in IMC will transfer to Eurasia if certain additional conditions are satisfied. These conditions predominately require Eurasia to identify an investor to satisfy the full capital and operational expenditure for IMC, within 12 months of the date of the MOU and to grant IMC Inc a 2 percent net profit after tax royalty on an eventual mine at Kamushanovsky.
The project is located in the flood plain of the Chui River, 60 kilometres northwest of the capital Bishkek, in northern Kyrgyzstan. It has been the focus of a five-year exploration programme. It is currently estimated that there are at least 1,775 tonnes of uranium oxide within the licence area.
IMC is a Kyrgyz early stage exploration company which holds a 100 percent interest in Kamushanovsky. It is currently not generating any revenue or profit.
A bankable feasibility study is currently being prepared and this study is planned to incorporate pilot work directed at optimizing uranium extraction. It is the intention that the BFS will be completed in preparation for development by the end of 2011.
Managing director and chief executive Christian Schaffalitzky said: "We believe Kamushanovsky represents an excellent opportunity. Preliminary work suggests that processing costs will be below $25/lb, with the current uranium price approximately $65/lb. I would add that this development is in addition to our principal business, platinum metals, and we aim to commence mining in the Urals once permits are granted for our West Kytlim project."
So how much is this going to be worth to us!!!....its MEGA!!!!!
Sign In
Follow the stocks
