ASX-listed TNT Mines has entered into a binding share sale agreement to acquire Vanacorp Aust and its wholly-owned US subsidiary, Vanacorp USA.
Vanacorp USA owns 200 unpatented lode claims that are prospective for uranium and vanadium, together called the East Canyon project, which is located in the East Canyon/Dry Valley mining district, in Utah.
The East Canyon claims cover 16 km2 of prospective land, which includes historic workings such as the None Such mine previously owned by Vanadium Corporation of America (VCA).
VCA historically found mineralised intercepts ranging from two feet at 0.83% vanadium oxide and 0.127% uranium oxide, to seven feet at 1.07% vanadium oxide and 0.237% uranium oxide.
More recently, Vanacorp collected 26 samples from eight sites on the project, which returned assays as high as 9.21% vanadium oxide and 0.47% uranium oxide.
TNT expects the transaction to be finalised before the end of May.
TNT will welcome Vanacorp founder Peter Woods as a nonexecutive director upon settlement of the acquisition. As part of his remuneration package, Woods will be issued with 2-million unlisted options exercisable at 25c apiece and 2-million unlisted options exercisable at 35c apiece.
Both these options expire on June 30, 2023 and will be subject to shareholder approval at a general meeting of shareholders that TNT plans to host in June.