Anfield Resources Inc.
, Stock Forum
) said Monday it has struck a deal with Uranium One
to acquire a portfolio of uranium properties in the United States, including a licensed mill and an estimated U308 resource of 6.8 million pounds.
“We are extraordinarily excited about this acquisition as it is transformational for the company,’’ said Anfield CEO Corey Dias, adding that the deal is valued at US$5 million and will be settled over a period of four years with a combination of cash and shares.
The Shootaring Canyon mill, located approximately 77 kilometres south of Hanksville, Utah is a conventional acid-leach facility that is permitted to process up to 750 tonnes of ore per day , with a capacity to process up to 1,000 tonnes per day. It operated for two years and closed in 1982 due to low uranium prices.
“With the acquisition of one only three licensed and permitted uranium mills in the United States, we have significantly accelerated our timeline with regard to becoming a uranium producer,’’ Dias said in a press release.
The portfolio of uranium properties are located in Utah, Arizona, and South Dakota increase Anfield’s uranium asset acreage by more than 250%,’’ the company said in a press release.
The flagship asset, the Velvet-Wood deposit, contains a historical resource estimate of 4.63 million pounds of measured and indicated U308 at an average grade of 0.285%.
Past production at Velvet-Wood recovered 4 million pounds at an average grade of 0.46% U308.
The transaction provides a number of strategic advantages to Anfield, including:
Potential creation of one of the very few uranium producers in the U.S.
Shootaring Canyon Mill is one of only three licensed uranium mills in the U.S., reflecting its scarcity value.
The establishment of Anfield as one of the largest owners of uranium properties in the U.S.
Increases Anfield’s uranium asset acreage by over 250% to reach approximately 65,500 acres (26,507 hectares).
Adds a historical estimate of U308 resource of 6.8 million pounds.
Anfield shares were unchanged at 38 cents Monday, leaving a market cap of $7.6 million, based on 20 million shares outstanding. The 52-week range is $0.95 and $0.20.
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