Lakewood-Based Uranium Business Sells Wyoming Mine For $5.39 mil.

LAKEWOOD, CO -- Lakewood-based Energy Fuels has agreed to sell the North Reno Creek uranium project in Wyoming to Corpus Christi, Texas-based Uranium Energy Corporation (UEC) for $5.39 million, a trade publication reported. World Nuclear News said the agreement is based on a change in direction for Energy Fuels, which updated its business plan this summer to focus on the United States's only operating conventional uranium mill, White Mesa in Utah and the development of high-grade Canyon uranium mine in Arizona. The spin-off is supposedly a way to shift focus away from "non-core uranium properties."

Energy Fuels CEO Stephen Antony was quoted by the magazine saying the proceeds from the sale would "enhance his company's capital position."

"At a time when companies are experiencing weak uranium markets, we are pleased to realise significant value from non-core uranium properties that are not a part of Energy Fuels' long-term business plan," he said.

UEC will acquire the North Reno Creek properties in northeast Wyoming near the towns of Wright and Savageton. They are described as in-situ sites, where boreholes are drilled into a deposit in situ and then leaching solution is pumped into the deposit, where it contacts the ore. The leaching solution is recovered and uranium is removed. In situ mining is not as environmentally destructive or labor intensive as drill-and-blast, open-cut or underground mining. UEC already owns other adjacent operation s in Southwest Reno Creek. The company estimates there are resources of 4.3 million pounds of U308 (1654tU) in the area, according to the article.

Read more here

Image via Pixabay