Vena inks deal to sell Uranium assets to Azincourt Uranium

November 22
4:01 AM 2013

Vena Resources Inc entered into an agreement to sell its 50% equity interest in Minergia SAC to Azincourt Uranium Inc. This was according to a report published by The Wall Street Journal.

Minergia is a joint venture company owned by Vena and Cameco Global Exploration Ltd (CGE). The latter owns and operates the uranium projects Macusani and Muñani in southeastern Peru, the report said.

Under the terms of the share purchase deal, Azincourt will buy Vena's 50% stake in Minergia. This is in exchange for a total of USD1 million, three quarters of which will be payable in 2,525,252 common shares. The remaining USD250,000 will be payable in cash upon closing, the report explained.

Vena's Chairman and Chief Executive Officer Juan Vergara said of the deal: "The divestment of Minergia is part of our strategy to spin off our uranium assets and combine them with other assets in other countries with significant upside."

In addition, Vena will continue to operate the Peruvian uranium projects under the supervision of Azincourt head Ted O'Connor. Azincourt has also agreed to invest USD1.5 million to USD2 million in the said projects every year, The Wall Street Journal reported.

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