Maiden move into WA uranium sector

Southern Uranium has continued its expansion across Australia’s uranium....

  Southern Uranium has continued its expansion across Australia’s uranium sector with the company’s first move into exploration in Western Australia.The company has added a highly prospective package of tenements on the western margin of the Yilgarn Craton in Western Australia to its uranium portfolio.Southern Uranium’s drive into Western Australia is focused on the Three Springs area southeast of the coastal town of Dongara and follows the company’s recent expansion into uranium projects in Queensland and the Northern Territory to add to its strong asset base in the Gawler Craton province in South Australia.Under the WA expansion, Southern Uranium has entered into a Farmin and Joint Venture agreement with Uranium Equities. The agreement enables Southern Uranium to acquire a joint venture interest in the exploration licences, with the purpose of exploring for minerals—focusing on uranium—and, if successful, the agreement will enable the company to develop one or more mines in the area.The JV between Uranium Equities and Southern Uranium will explore up to four tenements, all of which are currently at the application stage. At the outset, Uranium Equities will hold a participating interest of 100 percent and Southern Uranium will have the sole exclusive right to access and explore the licence area for one-year after granting. Southern Uranium will be entitled to a transfer of its 50 percent interest in a tenement as soon as it has expended the exploration commitment for that tenement.The agreement is based on the assumption that all four tenements will be granted within six months of the date of the agreement.