by Greg Klein | November 22, 2013
So far best known for its 50% interest in the Patterson Lake North joint venture with Fission Uranium TSXV:FCU, Azincourt Uranium TSXV:AAZ plans to acquire an advanced-stage uranium project in Peru. Under definitive share purchase agreements announced November 22, the $8.4-million market cap Athabasca Basin junior proposes to buy Minergia S.A.C. from 50/50 co-owners Cameco Corp TSX:CCO and Vena Resources TSX:VEM. As well as the 4,900-hectare Macusani project, Minergia comes with its younger sister, 9,600-hectare Muñani, both in southeastern Peru.
Subject to approvals, the deal would have Azincourt give Cameco and Vena $750,000 worth of shares and $250,000 each, a deal valued at $2 million total. Vena chairman/CEO Juan Vegarra would join Azincourt as an independent director. Azincourt would spend between $1.5 million and $2 million on the projects annually.
In a statement accompanying Vena’s announcement, Vegarra noted that Azincourt president/CEO Ted O’Connor is “the former director of Cameco’s corporate development group who was responsible for overseeing Cameco’s significant investment in Minergia.”
With over $12 million of work between 2007 and 2011, Macusani comes with a September 2011 resource. Using a 0.009% cutoff, five of the property’s nine areas show:
- measured: 10.39 million short tons averaging 0.025% for 5.69 million pounds uranium oxide (U3O8)
- indicated: 34.16 million tons averaging 0.018% for 12.52 million pounds
- inferred: 37.79 million tons averaging 0.02% for 17.42 million pounds
The project could offer low-cost open pit, acid heap leach potential, according to Azincourt.
As for Muñani, it shows uranium mineralization in sandstone and outcrops, has undergone airborne geophysics and ground prospecting, and has drill targets ready, Azincourt stated.
Although two years of depressed prices have pushed the projects into dormancy, Azincourt plans to complete community agreements and permitting prior to another drill program.