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- Vimy Resources (VMY) has signed an agreement with Rio Tinto Exploration (RTX) to purchase 20.89 per cent interest in the Wellington Range and King River Joint Venture for $2 million
- The joint venture project is part of the Alligator River Project, located in the Northern Territory
- The purchase will see Vimy holding 100 per cent of the Alligator Project in the Northern Territory
- However, the agreement is subject to customary terms and conditions precedent
- On market close, Vimy is down 4.35 per cent and trading at 11 cents per share
Vimy Resources (VMY) has signed an agreement with Rio Tinto Exploration (RTX) to purchase its interest in the Wellington Range and King River Joint Venture, within the Alligator River Project.
To pay for RTX’s 20.89 per cent interest in the joint venture, Vimy will issue $2 million worth of shares to RTX.
The Wellington Range and King River project is a joint venture project with RTX, a subsidiary owned by mining giants Rio Tinto (RIO). The joint venture includes the Angularli deposit, as well as a large number of highly prospective target.
This purchase will see Vimy holding 100 per cent of the Alligator Project in the Northern Territory.
However, the agreement is subject to customary terms and conditions precedent.
Alligator River Project is the largest granted tenement package in the Alligator River Uranium Province, one of the top three uranium districts in the world.
Managing Director and CEO Mike Young says this is a very exciting step for Vimy.
“Progressing new uranium project opportunities such as Alligator River is integral
to providing the pipeline of supply considered vital for U.S. utilities and emerging nuclear power countries,” he said.
“We thank RTX for their joint venture support and continued interest in Vimy via the acceptance of shares as consideration. We are committed to progressing this project through further exploration and study work towards potential future development,” he added.
On market close, Vimy is down 4.35 per cent and trading at 11 cents per share.