Clean Commodities Corp. Announces Binding Term Sheet to Option up to 70% of a Portion of the Preston Uranium Project for up to $8 Million in Project Consideration
VANCOUVER, BC--(Marketwired - December 15, 2016) - Clean Commodities Corp. (TSX VENTURE: CLE) ("Clean Commodities" or the "Company") in conjunction with Preston Uranium Project partner Skyharbour Resources Ltd. ("Skyharbour") (TSX VENTURE: SYH), is pleased to announce the signing of a binding term sheet (the "Term Sheet") with a uranium company (the "Partner") which provides that the parties will work to negotiate a definitive option agreement that, if entered into by March 15th, 2017, would provide the Partner an option to acquire up to a 70% working interest in a portion of the Preston Uranium Project (the "Preston Segment"). In consideration for the 70% interest, the Partner would be required to spend up to CAD $8 million consisting of cash payments to Clean Commodities and Skyharbour and accelerating exploration programs.
Preston Segment Map:
Clean Commodities CEO Ryan Kalt stated: "Today's announcement not only shows the significant value of our Preston Uranium Project but it also serves to demonstrate the strength of our early-mover approach to acquiring large-scale, tenure-rich projects using ahead-of-the-curve perspective. 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's Arrow deposit, Fission's Triple R deposit, and the Spitfire discovery. The signing of this term sheet is a significant milestone for Clean Commodities and its shareholders."
Highlights of the Binding Term Sheet:
- Outlines the general terms of a potential Definitive Agreement whereby the Partner may earn up to a 70% interest in the Preston Segment totaling 52,428 hectares of the total 121,248 hectare Preston Project through $8 million of total project consideration over six years, including up to $7,300,000 of exploration work programs and $700,000 of cash payments.
- If carried to completion, a three-way joint venture would form allocated as to 70% Partner and 30% to be jointly split between Clean Commodities and Skyharbour.
- Clean Commodities and Skyharbour would continue to retain ownership (50% / 50%) of the balance of the Preston Uranium Project consisting of a further 68,820 hectares of minerals claims contiguous to the Preston Segment optioned to the Partner.
- The Preston Uranium Project is one of the largest tenure positions in the Patterson Lake region and currently consists of 121,248 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.
About the Preston Uranium Project:
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 Corp., AREVA Resources Canada Inc. and Purepoint Uranium Group Inc. (Spitfire). Through its involvement in the Western Athabasca Syndicate and the Preston Uranium Project, the Company 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 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., a Qualified Person.
About Clean Commodities Corp.
Clean Commodities Corp. (TSX VENTURE: CLE) is an exploration company holding a diverse portfolio of clean commodity assets including lithium, uranium, and PGE 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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Chief Executive Officer