Terra Balcanica Resources Corp. (CSE:TERA; FRA:UB1), a multi-jurisdictional exploration company focused on supporting the global transition to clean energy, has entered into a non-binding Letter of Intent with a wholly owned subsidiary of Fulcrum Metals Plc. (AIM:FMET).
Pursuant to the Agreement, Terra will have the option to acquire a 100% interest in Fulcrum’s Charlot-Neely, Fontaine Lake, Snowbird, and South Pendleton uranium portfolio located in northern Saskatchewan, Canada.
Collectively, these licences encompass 596.71 km2 of highly prospective ground for a uranium discovery.
Uranium portfolio highlights
- Proximal to northern and southeastern edges of the Athabasca Basin in northern Saskatchewan, a premium mining district and leading global source of high-grade uranium.
- Charlot-Neely is located within the emerging Uranium City district on the northwestern margin of the Basin.
- Historical work at the projects has demonstrated evidence of uranium mineralisation along favourable structural trends with prospective target horizons based on electromagnetic conductors.
- Future exploration requires the undertaking of a modern systematic geologic fieldwork to determine the uranium potential.
Terra Balcanica CEO, Dr Aleksandar Mišković, commented: “In our pursuit of high-quality assets worldwide, Terra Balcanica has secured an option to acquire a Canadian uranium portfolio covering close to 600 km2 with tremendous potential for discovery.
“In a world transitioning to green energy solutions, the acquisition of these assets provides a more robust and diverse exploration portfolio for Terra.”
He added: “Although there has been an increase in activity in the uranium sector, we are at the early stages of a commodity super-cycle and being able to acquire such a large, advanced uranium portfolio on favourable terms was a clear opportunity for our shareholders.
“It is the right time, jurisdiction, and commodity to augment our advanced Balkan portfolio and to further participate in the changing energy landscape.
“We look forward to working with Fulcrum to apply their technical and jurisdictional expertise to advance these Saskatchewan uranium projects, and we are excited by the addition of a strategic commodity to Terra’s existing polymetallic portfolio.”
A strategic discovery opportunity for Terra Balcanica
The licence portfolio totals 596.71 km2 targeting major NE-SW trending structures along strike from historic uranium mines and projects that have attracted significant investment.
Discoveries such as the Arrow (4.3Mt at 0.83% U3O8) and Triple R (2.7Mt at 1.94% U3O 8) have proved the concept of exploring along structures outside of the Athabasca basin.
Key terms of the agreement
On the transaction’s closing, Terra will have a four-year option to acquire 100% of Fulcrum’s owned uranium licences.
In consideration for the four-year option and at the time a definitive agreement is announced by way of news release and subject to a CSE approval, Terra will pay Fulcrum CA$7,500 for exclusivity on execution of signing of the Letter and pay Fulcrum $25,000 less the $7,500 exclusivity payment on execution of closing of the Option Agreement.
