Covering 5590 hectares, the project is 89km south of the Key Lake mine which produced around 200 million pounds of uranium.
Forum Uranium has conducted various programs on the project from 2005 – 2007, including prospecting, an airborne geophysical survey and a small number of diamond drill holes.
The Key Lake Road project is said to host two targets, the Molly Trend and Hobo Zone.
Under the deal with an arm’s length vendor, Glenmark has an option to buy Key Lake Road project by issuing 250,000 shares within five days of receipt of TSX Venture Exchange approval.
The company should also give a further 500,000 shares within six months of signing the agreement, pay $340,000 over 36 months and spend $2,500,000 in exploration over 4 years.
The interest is subject to a 1% gross overriding royalty, 50% of which can be purchased for $1,000,000 at a later date.
