Critical One Energy (CSE: CRTL) announced its plans to transfer the Kenora uranium property in northwestern Ontario, and its uranium and copper interests in Namibia to a new company, proposed to be called Critical Two Energy.
Under this structure, shares in Critical Two would be distributed by way of a dividend to Critical One shareholders of record on a date to be determined. The company says Critical Two is expected to seek a separate stock exchange listing.
The company maintains that its Howells Lake project near Thunder Bay, Ont., remains its primary focus.
“We believe Kenora and Namibia also have great potential, and we want our shareholders to see that potential developed to its utmost value,” said Duane Parnham, Critical One’s executive chair and CEO. “Critical Two gives those uranium assets their own path forward as a critical metals venture, without taking anything away from what we are doing at the Howells Lake project.”
Additionally, Critical One says it has engaged Micon International to complete an independent technical review of Kenora.
“Micon built the independent technical foundation at the Howells Lake Project, and we are applying the same standard at Kenora as we prepare it for its next stage,” added Parnham.
Located about 30 kilometres east of Kenora, Ont., the property covers the historic Richard Lake uranium occurrence. Previous operators reported completing 40 diamond drill holes totalling 5,552.6 metres in 2008.
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