The company can fund make the investment over next six-years ending 31 December 2018 to fund the exploration program of Shea Creek deposits. The agreement also mandates UEX to pay $4m in any single year in the given timeframe.
The new move implemented for Western Athabasca joint venture will provide budget control measures over next several years for further exploration programs at the Shea Creek deposit.
UEX president and CEO Graham Thody stated: "This agreement provides UEX with a multi-year opportunity to build upon our past successes with AREVA by continuing exploration intended to expand known Shea Creek resources while concurrently seeking new
uranium deposits."
Also, during the six-year period, Avera has proposed to facilitate annual budget of $2m for the projects upon $2m additional expenditure by UEX in the same year.
UEX and Avera have earlier allotted $3.1m budget for exploration to be conducted south of the Anne Deposit starting spring 2013.
