European Uranium Signs Share Purchase Agreement to Sell Uranium Projects

European Uranium Resources Ltd. (TSXV:EUU) announced that it has signed a share purchase agreement (SPA) that will supersede a binding heads of agreement signed and announced just over a month ago, on April 4, 2014.

The SPA is regarding the sale of European Uranium’s only remaining mineral projects, Kuriskova and Novoveska Huta, to Forte Energy NL (ASX:FTE,LSE:FTE).

As quoted in the press release:

[European Uranium] intends to investigate mineral projects to option or acquire in multiple commodities in the general European area. On completing this transaction, the Corporation will have its initial funding to implement its business plan.

The SPA is subject to regulatory approval and the approval of the shareholders of both the Corporation and Forte. The terms of the agreement require that:

1. Forte will issue 915,937,500 fully paid ordinary shares (the “Consideration Shares”), which on April 4, 2014, had an approximate value of $7,500,000;
2. Forte will pay the Corporation $1,000,000 on closing; and
3. Forte will grant Corporation a 1% production royalty over the Kuriskova and Novoveska Huta uranium licenses in perpetuity.

Click here to read the full European Uranium Resources Ltd. (TSXV:EUU) press release.