Under the terms of the LOI, the companies will transfer their uranium properties into a newly organized venture, a subsidiary of Sagebrush.
Liberty Star will grant Sagebrush the irrevocable option to the newly organized venture all of its North Pipes Super Project (NPSP) uranium properties.
In the event that the reorganization and private placement of the new venture are not achieved by Sagebrush by the end of 2011, Liberty Star’s obligations will terminate at its discretion and the company will have the full right to retain its uranium properties.
The NPSP, located on the Colorado Plateau province of northern Arizona, US is targeted specifically for high-grade uranium mineralization through numerous breccia pipes.
