Date: Jan 18, 2019
Spey Resources (CSE: SPEY) announced that it has entered into an option agreement with Geoxplor Corp. to acquire a 100% interest in the Uravan vanadium-uranium project located in the La Sal area of San Juan County, Utah.
Under the terms of the agreement, the Canadian miner has to pay the exploration company $310,000 cash, issue 3.5 million common shares, and make an additional payment of $1 million either in cash or common shares on or before the date of any commercial production.
In a press release, Spey’s management explained they decided to buy the property due to theincreasing global demand for vanadium.
According to the company, the project is located in an area where production of both uranium and vanadium has taken place since 1915 but currently is only carried out by one company, Energy Fuels Inc.
“Although adjoining Energy Fuels’ properties, Spey’s property remains virtually unexplored for vanadium, with only minor historical prospecting, pitting and radon surveys having been completed,” the media release reads.
Spey also said that the 33 lode claims making up the Uravan project are underlain by the Morrison Formation sandstone consisting of a complex assemblage of lenses and sedimentary channel fill.
