The agreement will be completed through an equity investment by Cameco Global in Calypso’s wholly-owned subsidiary Energia Mineral.
As per the agreement, Calypso has granted Cameco Global the option to acquire a 51% interest in Energia Mineral by Cameco Global investing a total of C$9m ($8.7m) in EnergÃa Mineral’s Argentine uranium properties, over a maximum three-year period.
During the first year of the agreement, Cameco Global has committed to fund C$3m ($2.9m) of Energia Mineral’s agreed exploration and development programs.
The decision to proceed with a further $3m in exploration in years two and three is at Cameco Global’s discretion.
The Energia Mineral project areas included in the agreement cover approximately 442,542 hectares and include the La Pintada, Ranquil Co, Central Block, Campesino Norte and San Jorge Basin projects.
As per the agreement, Energia Mineral will continue to lead exploration activities during the option period based on exploration proposals approved by a joint technical committee.
If Cameco Global exercises its option and acquires a 51% interest in Energia Mineral, Cameco Global has the right but not the obligation to become the operator, according to the company.
