- Azincourt Energy (AAZ) signs LOI to option Peruvian projects to Oberon Uranium Corp
- Oberon has 90 days to conduct due diligence on the projects, following which Oberon has the right to negotiate an option to acquire a 100 per cent interest
- The Escalera Group is a 100 per cent-owned series of uranium-lithium exploration projects located in southern Peru
- Oberon will be responsible for all costs and expenses associated with maintaining the projects in good standing
- The transaction cannot be completed until certain conditions are satisfied
- Azincourt Energy Corp. (AAZ) is up 6.67 per cent trading at C$0.08 at 12:22 pm ET
Azincourt Energy Corp. (AAZ) has signed a non-binding letter of intent granting Oberon the option to acquire the Escalera Group.
The Escalera Group is a 100 per cent-owned series of uranium-lithium exploration projects located in southern Peru.
Under the terms of the LOI, Oberon has 90 days to conduct due diligence on the projects. Oberon has the right to negotiate an option to acquire 100 percent interest in the projects from the company by completing many proposed projects payments and expenditures.
The initial payment would be $25,000 cash and 100,000 shares of Oberon upon signing a definitive agreement.
Acquiring the option would require a total commitment of $250,000 in cash, 1,100,000 shares and $1,000,000 in work expenditures.
During the option term, Oberon will be responsible for all costs and expenses associated with maintaining the projects in good standing, including any required regulatory filings and maintenance fees.
Completing the transaction with Oberon is subject to several conditions, including completion of due diligence, negotiation of definitive terms and documentation regarding the transaction, and the receipt of any required regulatory approvals, including the approval of the TSX Venture Exchange.
The transaction cannot be completed until these conditions are satisfied.
Any securities issued in connection with the transaction will be subject to a four-month-and-one-day statutory hold period from issuance.
Oberon Uranium Corp is a private uranium company that has the option to acquire 100 per cent of the Lucky Boy uranium project, a past-producing uranium mine located in Arizona, USA.
Azincourt Energy is a Canada-based resource company specializing in the exploration and development of alternative energy/fuel projects, including uranium, lithium, and other critical clean energy elements.
Azincourt Energy Corp. (AAZ) is up 6.67 per cent, trading at C$0.08 at 12:22 pm ET.