JOHANNESBURG (miningweekly.com) – Diversified mining major Rio Tinto has agreed to make a final cash payment of C$1-million to TSX-V-listed junior Pistol Bay to gain the remaining 25% interest in uranium properties in the Athabasca basin of Saskatchewan.
The C block of uranium properties is under option to Rio Tinto, which has already earned a 75% interest to date, the diversified Canadian junior said in a statement.
As part of the final agreement, no royalty is granted to Pistol Bay with respect to the property under the agreement.
The properties are about 5 km north of the Phoenix uranium deposit, controlled by Denison Mines.
Rio Tinto had the option to acquire 100% of the uranium assets by paying Pistol Bay C$5-million within five years of December 31, 2014.