LONDON (Thomson Financial) - UraMin Inc said it has formed a 50-50 joint venture with Northwestern Mineral Ventures Inc to bring together both the companies' prospective uranium license areas.
The mineral development company said it will contribute six uranium properties, Kamas 1 to 4, and Dabala 3 and 4, which are located in the same geographic area as Niger's two producing Areva mines, to the new company.
Northwestern's properties, the Irhazer and In Gall concessions, will also become two of eight properties in the new company's uranium portfolio.
UraMin also said it will also contribute 15 mln usd to the new company from which Northwestern will receive 4.80 mln cad.
Each company will receive a 3 pct net smelter royalty on the production of uranium and any other ores or minerals produced from their contributing licenses, UraMin said in a statement.
The company added that its CEO, Ian Stalker has been appointed executive deputy chairman and president while Neil Herbert, its finance director has been named chief financial officer. Northwestern's president and chief executive Marek J Kreczmer will be the new managing director and CEO.
Kreczmer said, 'We look forward to a significant period of growth in our operating activities.' TFN.newsdesk@thomson.com rsh/gp COPYRIGHT Copyright AFX News Limited 2007. All rights reserved. The copying, republication or redistribution of AFX News Content, including by framing or similar means, is expressly prohibited without the prior written consent of AFX News.
© 2007 AFX News
