Uranium and Vanadium Producer Announces Acquisition of Project Royalties
Date: Aug 23, 2018
The company also announces it will retire $8.3 million bond debt.
Energy Fuels Inc. (EFR:TSX; UUUU:NYSE.American), a producer of uranium and vanadium in the U.S., announced that it has completed the previously announced acquisition from Excalibur Industries of royalties on the company’s 100%-owned Nichols Ranch in situ recovery (ISR) project in Wyoming.
The company also acquired royalties on several operating, standby and advanced-stage ISR projects in Wyoming owned and operated by Power Resources Inc., a wholly owned subsidiary of Cameco Corporation, the company said in a press release.
“The Company has also provided the State of Wyoming with a notice of its intent to repay and retire its Wyoming Industrial Development Revenue Bond (“Wyoming Debt”), which has a balance of $8.3 million as of the date of this release,” the company stated. “On Monday, the company acquired a six percent to eight percent sliding-scale gross proceeds production royalty on its Nichols Ranch, Hank and Doughstick properties. (Doughstick is a part of the Company’s Jane Dough Project expansion area).”
The royalty applies also to the nearby Niles Ranch, Willow Creek and Verna Ann properties, which are important pipeline uranium properties also owned by the company.
“Acquisition of this royalty is expected to significantly decrease the company’s cost of production at Nichols Ranch. Energy Fuels also acquired the four percent gross proceeds production royalty on Cameco’s North Butte/Brown Ranch Project (“North Butte”), the Ruby Ranch Project, and the Greasewood property,” stated Energy Fuels.
