ATHA Energy Corp. (TSX-V: SASK) (FRA: X5U) (OTCQB: SASKF) has given Inspiration Energy Corp. (CSE: ISP) the option to take up to a 70 per cent stake in a pair of promising Saskatchewan uranium assets.
The companies announced their agreement on Tuesday. Inspiration will be required to invest C$8 million in exploration expenditures at the Plateau and Ledge properties by 2028 to acquire the full interest specified. They collectively span over 65,000 hectares.
“These two new exciting projects we are joint venturing with ATHA dovetail extremely well with our existing portfolio of uranium projects,” Inspiration President Charles Desjardins said. He expects the partnership to be very beneficial because of ATHA’s knowledge and expertise.
Once the operators receive regulatory approval for the agreement, ATHA will receive 4.3 million Inspiration shares. The property owner will hold a 9 per cent stake in Inspiration throughout the option period.
ATHA is entitled to anti-dilution rights on that stock. The company will also retain a 2 per cent net smelter royalty on the properties.
We have news 🚨 ATHA Energy Agrees to Terms on $8 Million Option Agreement with Inspiration Energy for Plateau and Ledge Properties $SASK.V $SASKF @Inspiration_ISP $ISP.CN #Uranium
See today's release for more information and disclosures → https://t.co/1lJX3Wdon9 pic.twitter.com/riPGaIDFP9
— ATHA Energy Corp $SASK.V $SASKF (@athaenergycorp) April 24, 2024
Read more: ATHA completes 92 Energy acquisition; prepares for drill program at Gemini project in Q3
Read more: ATHA Energy expands into new Canadian territory with 2024 exploration program
ATHA completes 92 Energy acquisition; expands reach into Nunavut
The top uranium explorer finalized its acquisition of the Athabasca Basin operator 92 Energy earlier this month. A drill program will commence at the Gemini project obtained through the deal this summer.
ATHA will undertake drilling, sampling, testing and mapping initiatives at its Angilak project in Nunavut this year too. The operation’s Lac 50 deposit holds more than 43 million pounds of yellowcake uranium (U3O8).
The company’s CEO, Troy Boisjoli, recently travelled to Miami where he promoted ATHA at the city’s Mines and Money conference.
“With uranium fundamentals stronger than ever, we anticipate that there will be an increasing focus by others seeking to gain exploration exposure within the Athabasca Basin and believe our dominant land position puts us in excellent position to capitalize on this opportunity,” Boisjoli said.
ATHA continues to position itself for vast growth. Development of the company’s uranium assets and ensuing production will help mend a major supply shortage forecasted by industry experts in the years to come.
ATHA Energy is a sponsor of Mugglehead news coverage
rowan@mugglehead.com
