Boss Resources Ltd. agreed to acquire all of the shares in Wattle Mining Pty. Ltd. to take its ownership in the Honeymoon uranium project in South Australia to 100%.
Wattle holds the remaining 20% of the shares in Boss Energy Pty. Ltd., the holding company for Boss Uranium Pty. Ltd. and the Honeymoon project, which is placed on care and maintenance.
The company will issue 300 million shares for the acquisition, which is expected to be completed in February 2018.
Boss plans to restart the operation in stages with the existing facilities and construct the first stage of the ion exchange plant, it said Dec. 7.
The project has a combined JORC 2012-compliant mineral resource across three main areas of 43.5 million tonnes at an average grade of 660 parts per million U308 equivalent.
The exploration target stands at between 32 million tonnes and 78 million tonnes at a grade of between 450 ppm U3O8 equivalent and 1,400 ppm U3O8 equivalent, for between 42 million pounds and 100 million pounds of contained uranium.
In late May, Boss said it is committing to the next stage of exploration of the Honeymoon project after a prefeasibility study confirmed its positive economics.
The study estimated capital expenditure of US$146 million, including an initial US$10 million for the first stage for the restart of the solvent extraction plant to allow for the production of 880,000 pounds per year of triuranium octoxide.