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Standard Uranium Announces Letter of Intent for Sale of Sun Dog Project in Athabasca Basin
VANCOUVER, British Columbia, Sept. 19, 2023 (GLOBE NEWSWIRE) -- Standard Uranium Ltd. (“Standard Uranium” or the “Company”) (TSX-V: STND) (OTCQB: STTDF) (Frankf
About this update from Standard Uranium Ltd
[{"type":"text","content":" VANCOUVER, British Columbia, Sept. 19, 2023 (GLOBE NEWSWIRE) -- Standard Uranium Ltd. (“Standard Uranium” or the “Company”) (TSX-V: STND) (OTCQB: STTDF) (Frankfurt: FWB:9SU) is pleased to announce that it has entered into a letter of intent (“LOI”), dated September 18, 2023, with International Sustainable Energy Mining Corp. (the “Optionee”), an arms-length private company. Pursuant to the LOI, the Optionee will be granted the option to acquire a 100% interest in the 19,603 hectare Sun Dog Project located along the northwestern edge of the Athabasca Basin, by completing three years of exploration programs and a series of cash and equity payments. The Standard Uranium technical team will be the operator of the Sun Dog exploration programs for the entirety of the three-year program. Pursuant to the terms of the LOI, the Optionee can acquire the Sun Dog Project by making certain cash and equity payments and incurring exploration expenditures over the next three years as follows: Cash Shares Exploration Expenditures Year 1 $ 200,000 $ 200,000 $ 2,000,000 Year 2 $ 250,000 $ 250,000 $ 4,000,000 Year 3 $ 300,000 $ 300,000 $ 3,500,000 TOTAL $ 750,000 $ 750,000 $ 9,500,000 In addition to completion of the above cash payments, share issuances and exploration expenditures, the Optionee is required to complete a going public transaction within sixty days in order to complete the exercise of the Option. Following exercise of the Option, the Company will retain a two percent net smelter returns royalty on the Sun Dog Project, half of which may be purchased back at any time prior to commercial production for a one-time cash payment of $1,000,000. Jon Bey, CEO and Chairman commented, “The Company is pleased to announce our first property transaction since switching to a project generator business model in July. We are excited to confirm the Sun Dog project will have three additional years of exploration by our technical team, while being funded by our Optionee. The Sun Dog project has exceptional potential for a high-grade uranium discovery, and we are looking forward to a 2024 drill program.” Figure 1. Overview map of the Athabasca Basin highlighting Standard Uranium’s seven exploration projects. Completion of the transaction contemplated by the LOI remains subject to th...