VANCOUVER, Sept. 11, 2017 /CNW/ – NexGen Energy Ltd. (“NexGen” or the “Company“) (TSX:NXE, NYSE:NXE) is pleased to announce that it has entered into a purchase agreement (the “Purchase Agreement“) with Rainmaker Resources Ltd. and Eagle Trail Properties Inc. (collectively, the “Vendors“) to acquire the Vendors’ collective 40% interest in the Dufferin Lake property (the “Property“). Upon closing of the transaction, the Company will hold a 100% interest in the Property. See figure 1 for a map illustrating the location of the Property.
The Company and the Vendors had previously entered into a mineral claim option agreement dated August 4, 2011, pursuant to which the Company acquired a 60% interest in the Property with Rainmaker Resources Ltd. holding a 10% interest and Eagle Trail Properties Inc. holding a 30% interest.
As consideration for the Vendors’ 40% interest in the Property and subject to regulatory approval, the Company will issue 83,333 common shares of the Company to Eagle Trail Properties Inc. and 27,777 common shares to Rainmaker Resources Ltd., representing an aggregate of $320,000 of common shares at a deemed price of $2.88 per common share (calculated as the volume weighted average trading price of the common shares of the Company on the Toronto Stock Exchange (the “TSX“) over the ten trading days immediately prior to the date of the Purchase Agreement).
In accordance with applicable securities legislation, the common shares of Company issuable under the Purchase Agreement will be subject to a hold period of four months and one day from the date of closing.
The acquisition is subject to the acceptance of the TSX and approval of NYSE American and is expected to close on or about September 18, 2017.
Dufferin Lake Property
The Dufferin Lake property comprises five contiguous mineral dispositions covering an area of 10,910 hectares. The Property straddles the central south edge of the Athabasca Basin, Northern Saskatchewan, and is located approximately 360 kilometres northwest from the town of La Ronge, Saskatchewan.
NexGen is a British Columbia corporation with a focus on the acquisition, exploration and development of Canadian uranium projects. NexGen has a highly experienced team of uranium industry professionals with a successful track record in the discovery of uranium deposits and in developing projects through discovery to production.
NexGen owns a portfolio of prospective uranium exploration assets in the Athabasca Basin, Saskatchewan, Canada, including a 100% interest in Rook I, location of the Arrow discovery in February 2014, Bow Discovery in March 2015, the Harpoon discovery in August 2016 and the Arrow South Discovery in July 2017.
Source: NexGen Energy Ltd.