Anfield Resources Inc. (TSXV:ARY) announced that it has entered into definitive agreements with Uranium One Inc. to acquire the Utah-based Shootaring Canyon uranium mill as well as a portfolio of conventional uranium assets with a historical resource estimate of 6.8 million pounds of triuranium octoxide. The portfolio will increase the company’s uranium asset acreage by over 250 percent.
Strategic advantages for Anfield include:
- Potential creation of one of the very few uranium producers in the United States:
- Shootaring Canyon mill is one of only three licensed uranium mills in the United States, reflecting its scarcity value.
- The establishment of Anfield as one of the largest owners of uranium properties in the U.S.:
- Increases Anfield’s uranium asset acreage by more than 250 per cent to reach approximately 65,500 acres (approximately 26,507 hectares);
- Adds a historical estimate of U3O8 resource of 6.8 million pounds;
- The flagship resource, the Velvet-Wood deposit, contains a historical resource estimate of 4.63 million pounds of measured and indicated U3O8 at an average grade of 0.285 per cent;
- Past production at Velvet-Wood recovered four million pounds at an average grade of 0.46 per cent U3O8;
- The location of the acquired assets is positive from a production perspective:
- The geographical position of both the Shootaring mill and the acquired uranium properties is within one of the historically most prolific uranium production areas in the U.S.
- Anfield’s uranium holdings, which include past-producing mines, lie within a 125-mile radius of the Shootaring mill.
- The control over the production process from mining to production of yellowcake offers both operational synergies and capital efficiencies;
- The ability to address the U.S. uranium deficit:
- Domestic consumption of 57 million pounds of U3O8 per year versus domestic production of only 4.6 million pounds of U3O8 per year.
Corey Dias, CEO of Anfield, commented:
We are extraordinarily excited about this acquisition as it is transformational for the company. With the acquisition of one of only three licensed and permitted uranium mills in the United States, we have significantly accelerated our timeline with regard to becoming a uranium producer. The mill is currently in good condition as it has been on continuous care and maintenance since it ceased operations. Finally, with the recent positive news with regard to Japan’s steps towards restarting two of its nuclear reactors, we are confident that uranium will continue to play a significant role in the energy sector both today and into the future.