JOHANNESBURG (miningweekl.com) – Perth-based explorer Stonehenge Metals has entered into an agreement to buy Korean company Chong Ma Mines, which holds the rights to four uranium projects in South Korea.

The uranium projects contained 56-million pounds of uranium oxide.

Stonehenge stated on Wednesday that that its directors believed that historical exploration done at the site provided a solid foundation to upgrade the existing historical foreign uranium resource estimate to a Joint Ore Reserve Committee compliant status, head of a mining feasibility study.

Under the terms of the agreement, Stonehenge would issue ten-million ordinary shares, as well as 60-million performance shares. The shares would be issued at the completion of the acquisition agreement, and escrowed for a minimum of one year from their date of issue or conversion.

Stonehenge would also be expected to advance A$110 000 to Yellow Sun, the parent company of Chong Ma Mines, and to make further staged cash payments totalling $800 000, until mid-July, 2011.

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