KELOWNA, British Columbia –
CGN Mining Company of China is backing the Patterson Lake South uranium play with an $82-million investment in owner
Fission Uranium Corp. CGN is purchasing 96.74 million Fission shares at a price of $0.85 per share for a total of $82.23 million. That will give CGN a 19.9% stake in the uranium explorer.
"This is an historic moment for Canada's uranium industry. It is the first time a Chinese company has invested directly in a Canadian uranium company. We are thrilled that CGN Mining has chosen to invest in Fission, PLS and the Triple R deposit. CGN Mining's understanding of the uranium business is superb, and we are excited at the opportunity to work with them."
Fission and CGN plan to enter into an offtake agreement for production from the PLS project before production eventually starts. The property is located on the southwest rim of the Athabasca Basin in Saskatchewan.
In October this year Fission shareholders failed to approve a business combination with
Denison Mines Corp. that would have created a combined enterprise worth approximately $900 million.
Visit
FissionUranium.com to learn more about the Patterson Lake South project.
Comments