VANCOUVER, BC--(Marketwired - March 09, 2017) - Clean Commodities Corp. (TSX VENTURE: CLE) ("Clean Commodities" or the "Corporation") in conjunction with Preston Uranium Project partner Skyharbour Resources Ltd. ("Skyharbour") (TSX VENTURE: SYH), is pleased to announce the execution of an Option Agreement (the "Agreement") with AREVA Resources Canada Inc. ("AREVA") which provides AREVA an earn-in option to acquire up to a 70% working interest in a portion of the Preston Uranium Project (the "Preston Segment") (see also news release dated December 15, 2016). Under the Agreement, AREVA will contribute cash and exploration program consideration totaling up to CAD $8,000,000 in exchange for up to 70% of the applicable project area over six (6) years with a first option where AREVA may acquire an initial 51% working interest in the Preston Segment for a period of three (3) years by funding exploration expenditures in the total amount of $2,800,000 and making cash payments totaling $200,000 to Clean Commodities and Skyharbour.
Preston Uranium Project Claims Map:
Clean Commodities CEO, Ryan Kalt commented: "The signing of this Option Agreement with industry-leader AREVA is a significant milestone for Clean Commodities. We are thrilled to have the opportunity to work with a new strategic partner to further advance the central portion of the Preston Uranium Project with up to $7.3 million in exploration funded by AREVA in addition to the cash payments. AREVA has a very knowledgeable geological team with a long and productive history in the Athabasca Basin so we are keen to see the commencement of exploration programs at Preston this year. The Preston Uranium Project is a strategic, district-scale property with robust exploration upside potential throughout and is located near recent high-grade discoveries in the Patterson Lake area including NexGen Energy's Arrow deposit, Fission Uranium's Triple R deposit, and the Spitfire discovery."
Highlights of the Option Agreement:
- AREVA may earn up to a 70% interest in the Preston Segment totaling 49,635 hectares of the total 121,148 hectare Preston Project through $8,000,000 of total project consideration over six (6) years, including up to $7,300,000 of exploration work programs and $700,000 of cash payments.
- If carried to completion, a tripartite joint venture would be formed being 70% as to AREVA and 30% as equally divided between Clean Commodities and Skyharbour.
- Clean Commodities and Skyharbour will continue to retain 100% ownership of the balance of the Preston Uranium Project consisting of a further 71,513 hectares of minerals claims contiguous to the Preston Segment optioned to AREVA. AREVA shall hold a right of first refusal with respect to this tenure should Clean Commodities or Skyharbour elect to involve additional parties.
- The Preston Uranium Project is one of the largest tenure positions in the Patterson Lake region and currently consists of 121,148 hectares strategically located near NexGen Energy Ltd.'s high grade Arrow deposit hosted on its Rook-1 property and Fission Uranium Corp.'s Triple R deposit located within their PLS Project area.
Preston Uranium Property Map and Regional Exploration Corridors:
The significant potential of the Western Athabasca Basin has been highlighted by recent discoveries in the area by NexGen Energy Ltd. (Arrow), Fission Uranium Corp. (Triple R) and a joint-venture consisting of Cameco Corporation, AREVA Resources Canada Inc. and Purepoint Uranium Group Inc. (Spitfire). Through its involvement in the Western Athabasca Syndicate and the Preston Uranium Project, the Corporation has been involved in a large regional exploration program in the relatively under-explored southwestern side of the Athabasca Basin since 2013. In excess of $4.7 million in expenditures on the Preston Uranium Project have been incurred to-date including ground gravity, airborne and ground EM and magnetics, radon, soil, silt, biogeochem, lake sediment, and geological mapping surveys, as well as two exploratory drill programs. Fifteen high-priority drill target areas associated with six prospective exploration corridors have been successfully delineated through this methodical, multi-phased exploration initiative which has culminated in an extensive, proprietary geological database for the project area.
The Option Agreement is dated March 7, 2017 and represents an arm's length transaction with no finder's fees being paid.
The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 and reviewed and approved by Richard Kusmirski, P.Geo., M.Sc., Skyharbour's Head Technical Advisor and a Director of Skyharbour, as well as a Qualified Person.
About AREVA Resources Canada Inc.:
AREVA in North America combines U.S. and Canadian leadership to supply high added-value products and services to support the operation of the commercial nuclear fleet. Globally, AREVA is present throughout the entire nuclear cycle, from uranium mining to used fuel recycling, including nuclear reactor design and operating services. AREVA is recognized by utilities around the world for its expertise, its skills in cutting-edge technologies and its dedication to the highest level of safety. AREVA Inc.'s 4,100 employees are helping build tomorrow's energy model: supplying ever safer, cleaner and more economical energy to the greatest number of people. Visit us at www.arevaresources.ca or follow us on Facebook and Twitter: @arevaresources.
About Clean Commodities Corp.
Clean Commodities Corp. (TSX VENTURE: CLE) is an exploration company involved in a diverse portfolio of clean commodity assets including lithium, uranium and cobalt projects. For more information, please visit www.cleancommodities.com.
Ryan Kalt, Chief Executive Officer
This news release contains forward-looking statements. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently expected or forecast in such statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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