Agnico Eagle’s Judge Sissons and Schultz Lake claims are located immediately adjacent to AREVA Resources’ 133m pound Kiggavik uranium deposit in Nunavut.
The claims are being permitted for an open pit and underground uranium mine that is projected to produce 8 million pounds per year over a mine life of approximately 17 years.
Under the terms of the agreement, Forum will can acquire a 100% interest in the Judge Sissons and Schultz Lake claims for $250,000 cash, 675,000 common shares and a 2% Net Smelter Royalty.
Forum Uranium president and CEO Richard Mazur said that the acquisition strengthens Forum’s strategy of maintaining a strong presence in Athabasca and Thelon Basins as well as provides full control of a strategic landholding in close proximity to AREVA’s proposed Kiggavik uranium development.
"Our 100% owned North Thelon project continues to be a long-term core asset that the Company plans to revisit as uranium prices improve and as AREVA advances Kiggavik towards production," Mazur added.
Agnico Eagle will own 4% of Forum’s outstanding common shares upon completion of the transaction, which is subject to approvals.
