Eagle Plains Vends Uranium Dispositions in the Eastern Athabasca Basin to Standard Uranium, Extends Warrants
Eagle Plains Vends Uranium Dispositions in the Eastern Athabasca Basin
to Standard Uranium, Extends Warrants
Cranbrook, British Columbia, August 24, 2023: Management of Eagle Plains Resources
Ltd. (TSX-V “EPL”) (“Eagle Plains”, or “EPL” or the “Company”) is pleased to announce
that it has entered into a mineral property purchase and sale agreement (the “Purchase
Agreement”), dated effective August 24, 2023, with a wholly-owned subsidiary of Standard
Uranium Ltd. (“Standard ”),(TSX-V:STND) (OTCQB: STTDF) (Frankfurt: FWB:9SU),
pursuant to which Standard will acquire eight additional mineral claims totalling 4,278
hectares contiguous with the recently sta ked Corvo Project, in the Eastern Athabasca Basin
region (the “Acquisition”). Upon completion of the Acquisition, the Corvo Project will
comprise 7,989 hectares within ten claims and contain 14.5 km of prospective exploration
corridors across two trends.
Summary of Purchase Agreement
Pursuant the terms of the Definitive Agreement, the aggregate purchase price payable by
Standard Uranium to the Eagle Plains consist s of (a) 1,250,000 common shares of the
Company, (the “Consideration Shares ”) and (b) the granting of a net smelter returns royalty
of 2.5% (the “NSR Royalty”) to Eagle Plains on all Corvo claims effective as of the
commencement of commercial production. The NSR Royalty is subject to a buydown right in
favour of Standard Uranium pursuant to which Standard Uranium may extinguish 1% of the
NSR Royalty in exchange for payment of $1,000,000, thereby reducing the NSR Royalty to
1.5%. The Consideration Shares will be subject to a four month hold period as prescribed by
applicable securities laws.
With the expansion of the Corvo Project, Standard will have ownership inte rests in seven
projects totalling over 75,895 ha across the uranium-rich Athabasca Basin.
Completion of the Acquisition remains subject to the approval of the TSX Venture Exchange.
The Company and Eagle Plains are at arms -length, and no finders’ fees or commissions are
payable by the Company in connection with the Acquisition. Upon issuance, t he
Consideration Shares will be subject to a four month hold period as prescribed by applicable
securities laws.
“Completing this deal with Eagle Plains will add significant value to the Corvo Project,
delivering more than 5 kilometres of additional prospective exploration corridors in addition
to several more historical uranium showings ,” said Sean Hillacre , President and VP
Exploration for Standard. “ The fact tha t the project is road -accessible year -round
compliments the strong geoscience attributes of the project, drawing on the analogy of the
near-by Gemini Mineralized Zone. With this addition to the claims staked by our team, Corvo
is now a highly optionable project with size and strong geological characteristics prospective
for uranium mineralization.”
Tim Termuende, P.Geo. President and CEO of Eagle Plains commented recently: “we are
pleased to have concluded a mutually beneficial deal with Standard on their C orvo Project.
Standard brings to the table a solid management team while Eagle Plains will maintain
significant upside exposure to the project through its sizeable shareholdings in Standard and
the retention of an NSR. By vending non-core claims at Corvo, Eagle Plains stays true to its
proven model as a project generator and will continue its’ focus of researching, identifying
and acquiring new exploration opportunities in western Canada.”
See Corvo Project Location Map here
Eagle Plains Announces Application to Extend Warrant Expiry
Eagle Plains has made application to the TSX Venture Exchange for approval and acceptance
to amend the term of 1,526,000 outstanding common share purchase warrants which were
issued in connection with a non -brokered private placement closed on September 25 th, 2020
(see EPL news release dated September 25, 2020). The warrants have a current expiry date of
September 25th, 2023.
The share purchase warrants are subject to an accelerated expiry at the option of the Company
if the published closing trade price of the common shares on the TSX Venture Exchan ge is
greater than or equal to $.50 for any 20 consecutive trading days, in which event the holder
may be given notice that the warrants will expire 30 days following the date of such notice.
The common share purchase warrants may be exercised by the holder during the 30 day period
between the notice and the expiration of the common share purchase warrants.
Eagle Plains has applied to extend the expiry date for an additional 12 months to a revised
date of September 25, 202 4. The exercise price and accelera tion clause of the warrants will
remain unchanged, at 30 cents per warrant.
About Eagle Plains Resources
Based in Cranbrook, B.C., Eagle Plains is a well -funded, prolific project generator that
continues to conduct research, acquire and explore mineral projects throughout western
Canada. The Company was formed in 1992 and is the ninth-oldest listed issuer on the TSX-V
(and one of only three that has not seen a roll-back or restructuring of its shares). Eagle Plains
has continued to deliver shareholder value over the years and through numerous spin outs has
transferred over $100,000,000 in value directly to its shareholders, with Copper Canyon
Resources and Taiga Gold Corp. being notable examples. Eagle Plains latest spinout, Eagle
Royalties Ltd. (CSE:”ER”) was listed on May 24, 2023, and holds a diverse portfolio of
royalty assets throughout western Canada.
Eagle Plains’ core business is acquiring grassroots critical - and precious-metal exploration
properties. The Company is committed to steadily enhancing shareholder value by advancing
our diverse portfolio of projects toward discovery through collaborative partnerships and
development of a highly experienced technical team.
Expenditures from 2011-2022 on Eagle Plains-related projects exceed $30M, the majority of
which was funded by third -party partners. This exploration work resulted in approximately
45,000m of diamond -drilling and extensive ground -based exploration work facilitating the
advancement of numerous projects at various stages of development.
Throughout the exploration process, our mission is to help maintain prosperous communities
by exploring for and discovering resource opportunities while building lasting relationships
through honest and respectful business practices.
On behalf of the Board of Directors
“Tim J. Termuende”
President and CEO
For further information on EPL, please contact Mike Labach at 1 866 HUNT ORE (486
8673)
Email: [email protected] or visit our website at https://www.eagleplains.com
Cautionary Note Regarding Forward-Looking Statements
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release. This news release may contain forward -looking statements including but not limited to
comments regarding the timing and content of upcoming work programs, geological interpretations,
receipt of property titles, potential mineral recovery processes, etc. Forward -looking statements
address future events and conditions and therefore, involve inherent risks and uncertainties. Ac tual
results may differ materially from those currently anticipated in such statements.