Cosa Resources Completes Acquisition of the Titan Uranium Project, Athabasca Basin, Saskatchewan
Cosa Resources Completes Acquisition of the
Titan Uranium Project, Athabasca Basin,
Saskatchewan
Vancouver, British Columbia--(Newsfile Corp. - January 31, 2024) -
Cosa Resources Corp.
(TSXV:
COSA) (OTCQB: COSAF) (FSE: SSKU)
("
Cosa
" or the "
Company
") is pleased to announce
completion of the previously announced acquisition (the "
Acquisition
") of the Titan uranium Property in
the Athabasca Basin, Saskatchewan ("
Titan
" or the "
Property
") from CanAlaska Uranium Ltd. (the
"
Vendor
") pursuant to a property acquisition agreement dated January 12, 2024 (the "
Purchase
Agreement
"). Additionally, the Company has entered into a service agreement (the "
Service
Agreement
") with Swiss Resource Capital AG ("
SRC
").
Highlights
Eight mineral dispositions totalling 9,333 hectares have been acquired, doubling the size of
Cosa's Orion Project to 18,332 hectares
The expanded Orion Project captures over 22 kilometres of the fertile Larocque Lake trend, which
hosts the Hurricane Deposit and several other significant uranium showings
Orion now captures nearly 12 kilometres of the Cigar Lake trend where it intersects the Larocque
Lake trend, both of which host several mineralized intercepts and uranium deposits
Keith Bodnarchuk, President and CEO of Cosa, commented:
"The acquisition of Titan, which is
contiguous with Cosa's Orion Project (Figure 1), doubles Orion's footprint, strengthening Cosa's
portfolio of underexplored projects covering prospective uranium structural corridors. The
consolidated Orion project now covers 22 kilometres of the Larocque Lake trend midway between two
uranium occurrences on the Cigar Lake trend. The target areas in this newly acquired ground
augment the high-priority target developed by our work in 2023, which identified a kilometre-scale
zone of anomalous sandstone conductivity overlying conductive and structurally complex basement
rocks. We are planning work to advance Orion to drill readiness in 2024 while continuing to advance
and expand our portfolio through cost-effective acquisitions of new projects. We'd like to again thank
the CanAlaska team for an agreeable and expedient closing process."
The Expanded Orion Project
The expanded Orion Project (the "
Project
") comprises 11 claims totaling 18,332 hectares and lies
within 31 kilometres of the Cigar Lake Uranium Mine. The Project covers 22 kilometres of the Larocque
Lake trend which hosts the Hurricane uranium deposit, the Larocque Lake uranium zone, and the
Alligator Lake uranium zone (Figure 2). Cosa interprets that within Orion the Larocque Lake trend is
intersected by the Cigar Lake trend which hosts the Cigar Lake Mine and the Tucker Lake uranium zone
to the east of the Project. Results at Tucker Lake include 5.7% U
3
O
8
over 4.5 metres in drill hole CLC5-
11 (639.0 - 643.5 metres). West of Orion, the interpreted extension of the Cigar Lake trend hosts drill
hole PAR-03 which intersected 0.05% U
3
O
8
over 1.0 metres (932.4 - 933.4 metres). Historical
geophysical surveying over the expanded portion of Orion includes ZTEM, a modern airborne survey
system capable of mapping electromagnetic (EM) conductors at depth within the basement. Initial steps
for the newly acquired ground are expected to include interpretation and three-dimensional (3-D)
inversion of this historical dataset to guide ground-based follow up.
In western Orion, 3-D inversion results from Cosa's 2023 MobileMT™ survey indicate a prominent,
kilometre-scale zone of conductivity in the sandstone above basement-hosted electromagnetic
conductors, a geophysical signature consistent with the unconformity-related uranium deposits in the
Athabasca Basin. This target area remains a high priority for follow-up in 2024.
Only two drill holes are known to have been completed within the expanded Project. The depth to the
unconformity is estimated to be between 700 and 900 metres.
Acquisition Details
Pursuant to the Purchase Agreement, Cosa acquired a 100% unencumbered ownership of all eight
mineral claims comprising Titan from the Vendor in exchange for C$10,000 in cash and the issuance of
300,000 common shares of the Company (the "
Consideration Shares
"). The Consideration Shares
are subject to a four-month hold period pursuant to applicable Canadian securities laws, after which 25%
of the Consideration Shares will become free trading. In addition, the Vendor has agreed to voluntary
resale restrictions whereby an additional 25% of the Consideration Shares will become free trading
every three months thereafter.
Figure 1 - Cosa's Portfolio of Athabasca Basin Region Uranium Exploration Projects
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/9865/196304_cccd20cf24eb8889_003full.jpg
Figure 2 - Orion and Titan Projects Map
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/9865/196304_cccd20cf24eb8889_004full.jpg
Marketing Campaign Service Agreement
The Company has entered into a Service Agreement with Zurich based Swiss Resource Capital AG
(SRC), an independent arm's-length entity, dated January 30, 2024, pursuant to which SRC will provide
digital marketing, news release translation and dissemination, television communication services, and
investor relations services for the Company in Germany, Switzerland, Liechtenstein, Austria, and other
European countries (the "
Services
") commencing on March 1, 2024. In exchange for Services, Cosa
has agreed to pay 4500 CHF per month for a twelve-month period. Additional investor relations
services, such as European road show tours and conference representation, can be added separately
on a case-by-case basis. Following completion of the initial twelve-month period, the Service Agreement
will be automatically renewed on a quarterly basis and can be terminated by either party by providing
written notice at least seven days prior to renewal. Neither SRC nor any of the directors or officers of
SRC have any interest, directly or indirectly, in the securities of Cosa or any right to acquire such an
interest. The Company is not issuing any common shares, stock options, warrants, or other equity as
part of compensation. The engagement of SRC is subject to the approval of the TSX Venture Exchange.
About Cosa Resources Corp.
Cosa Resources is a Canadian uranium exploration company operating in northern Saskatchewan. The
portfolio comprises roughly 200,000 ha across multiple projects in the Athabasca Basin region, all of
which are underexplored, and the majority reside within or adjacent to established uranium corridors.
Cosa's award-winning management team has a long track record of success in Saskatchewan. In 2022,
members of the Cosa team were awarded the AME Colin Spence Award for their previous involvement
in discovering IsoEnergy's Hurricane deposit. Prior to Hurricane, Cosa personnel led teams or had
integral roles in the discovery of Denison Mines' Gryphon deposit and 92 Energy's Gemini Zone and
held key roles in the founding of both NexGen and IsoEnergy.
Cosa's primary focus through 2024 is initial drilling at their Ursa Project, which captures over 60-
kilometres of strike length of the Cable Bay Shear Zone, a regional structural corridor with known
mineralization and limited historical drilling. It potentially represents the last remaining eastern
Athabasca corridor to not yet yield a major discovery. Modern geophysics completed by Cosa in 2023
identified multiple high-priority target areas characterized by conductive basement stratigraphy beneath
or adjacent to broad zones of inferred sandstone alteration - a setting that is typical of most eastern
Athabasca uranium deposits.
Qualified Person
The Company's disclosure of technical or scientific information in this press release has been reviewed
and approved by Andy Carmichael, P.Geo., Vice President, Exploration for Cosa. Mr. Carmichael is a
Qualified Person as defined under the terms of National Instrument 43-101. This news release refers to
neighboring properties in which the Company has no interest. Mineralization on those neighboring
properties does not necessarily indicate mineralization on the Company's properties.
Contact
Keith Bodnarchuk, President and CEO
+1 888-899-2672 (COSA)
Cautionary Statements
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies
of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
The information contained herein contains "forward-looking statements" within the meaning of the United
States Private Securities Litigation Reform Act of 1995 and "forward-looking information" within the
meaning of applicable Canadian securities legislation. "Forward-looking information" includes, but is not
limited to, statements with respect to the activities, events or developments that the Company expects or
anticipates will or may occur in the future, including, without limitation, planned exploration activities.
Generally, but not always, forward-looking information and statements can be identified by the use of
words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts",
"intends", "anticipates", or "believes" or the negative connotation thereof or variations of such words and
phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken",
"occur" or "be achieved" or the negative connotation thereof. Forward-looking statements in this news
release include, among others, statements relating to: the exploration, development, and production at
the Company's mineral projects.
Forward-looking statements and forward-looking information relating to any future mineral production,
liquidity, enhanced value and capital markets profile of the Company, future growth potential for the
Company and its business, and future exploration plans are based on management's reasonable
assumptions, estimates, expectations, analyses and opinions, which are based on management's
experience and perception of trends, current conditions and expected developments, and other factors
that management believes are relevant and reasonable in the circumstances, but which may prove to be
incorrect. Assumptions have been made regarding, among other things, the price of uranium and other
commodities; no escalation in the severity of public health crises; costs of exploration and development;
the estimated costs of development of exploration projects; the Company's ability to operate in a safe
and effective manner and its ability to obtain financing on reasonable terms.
These statements reflect the Company's respective current views with respect to future events and are
necessarily based upon a number of other assumptions and estimates that, while considered
reasonable by management, are inherently subject to significant business, economic, competitive,
political and social uncertainties and contingencies. Many factors, both known and unknown, could cause
actual results, performance, or achievements to be materially different from the results, performance or
achievements that are or may be expressed or implied by such forward-looking statements or forward-
looking information and the Company has made assumptions and estimates based on or related to
many of these factors. Such factors include, without limitation: the Company's dependence on one
mineral project; precious metals price volatility; risks associated with the conduct of the Company's
mining activities; regulatory, consent or permitting delays; risks relating to reliance on the Company's
management team and outside contractors; the Company's inability to obtain insurance to cover all risks,
on a commercially reasonable basis or at all; currency fluctuations; risks regarding the failure to generate
sufficient cash flow from operations; risks relating to project financing and equity issuances; risks and
unknowns inherent in all mining projects; contests over title to properties, particularly title to undeveloped
properties; laws and regulations governing the environment, health and safety; the ability of the
communities in which the Company operates to manage and cope with the implications of public health
crises; the economic and financial implications of public health crises to the Company; operating or
technical difficulties in connection with mining or development activities; employee relations, labour
unrest or unavailability; the Company's interactions with surrounding communities; the Company's ability
to successfully integrate acquired assets; the speculative nature of exploration and development; stock
market volatility; conflicts of interest among certain directors and officers; lack of liquidity for
shareholders of the Company; litigation risk; the ongoing military conflict around the world; general
economic factors; and the factors identified under the caption "Risk Factors" in the Company's
management discussion and analysis and other public disclosure documents.
Although the Company has attempted to identify important factors that could cause actual results to differ
materially from those contained in the forward-looking information or implied by forward-looking
information, there may be other factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that forward-looking information and statements will prove to be
accurate, as actual results and future events could differ materially from those anticipated, estimated or
intended. Accordingly, readers should not place undue reliance on forward-looking statements or
information.
The Company undertakes no obligation to update or reissue forward-looking information as
a result of new information or events except as required by applicable securities laws.
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