- GTI Resources (GTR) completes its acquisition due diligence on the Green Mountain ISR uranium project in Wyoming, US
- In April, GTI entered a binding term sheet agreement to acquire 100 per cent of Logray Minerals, the holder of around 5600 hectares of underexplored mineral claims
- GTR has now completed its due diligence on the project, and the company says it expects the deal to settle during the first week of June
- Once settled, GTI will target the development of visible ISR uranium resources, with exploration to date successfully identifying mineralisation with economic potential
- Shares in GTI are up 13.33 per cent and are trading at 1.7 cents at 12:26 pm AEST
GTI Resources (GTR) has completed its acquisition due diligence on the Green Mountain ISR uranium project in Wyoming, US.
In April, GTI entered a binding term sheet agreement to acquire 100 per cent of Logray Minerals, the holder of the project, which comprises around 13,800 acres of underexplored mineral claims.
The acquisition of Green Mountain increases GTI’s landholding in the area by 40 per cent to around 35,000 acres.
In consideration for the acquisition, GTR will pay $750,000 in cash and, subject to shareholder approval, will issue 105 million shares to Logray shareholders.
To fund the acquisition, GTR undertook a $5.04 million placement, with the funds raised through the issue of 240 million shares at 2.1 cents.
GTR also stated it would use the money to fund exploration costs.
The completion of the deal was subject to certain conditions which included GTR completing technical, legal and commercial due diligence on Logray and the properties within 30 days.
This due diligence has now been completed, and GTR said it expected the purchase to settle during the first week of June.
Once settled, GTI will target the development of visible ISR uranium resources, with exploration to date successfully identifying mineralisation with economic potential.
Shares in GTI were up 13.33 per cent and were trading at 1.7 cents at 12:26 pm AEST.