Global Energy Metals strikes uranium deal with Terra Balcanica Resources
Global Energy Metals Corp (TSX-V:GEMC) has terminated its agreement with Fulcrum Metals Plc and struck a new deal with Terra Balcanica Resources Corp, securing compensation and a royalty over highly prospective uranium projects in Saskatchewan.
The agreement’s termination marks a strategic move for Global Energy Metals, as it facilitated a new partnership between Fulcrum and Terra Balcanica Resources.
Under the option agreement between Terra and Fulcrum, Terra intends to acquire a 100% interest in Fulcrum’s uranium projects.
In exchange for terminating the prior agreement with Fulcrum, Global Energy Metals will receive compensation equivalent to C$150,000 in shares in Terra upon the option agreement’s closing.
Additionally, Global Energy Metals will be granted a 0.5% NSR over the Saskatchewan-based project portfolio, covering 596.71 square kilometres of highly prospective ground for uranium discovery.
The project portfolio targets major NE-SW trending structures along strike from historic uranium mines and projects.
“We are excited to have attracted such a strong operational partner in Terra Balcanica to apply their technical and jurisdictional expertise to advance these North American uranium projects at such a pivotal time in this new nuclear era,” Mitchell Smith, GEMC’s CEO said in a statement.
“Through this arrangement, we’re excited to maintain exposure to these high-quality uranium assets through both the equity position in Terra and the NSR royalty over the portfolio.
“This will bolster Global Energy’s existing project, royalty and equity portfolio to now include uranium and further demonstrates the company’s ability to monetize assets for the benefit of shareholders.”
Future exploration efforts, spearheaded by Terra, aim to assess the resource potential of the projects, building on initial exploration and evaluation conducted by Fulcrum in 2023.
SOURCE:proactiveinvestors.com
