Options add funds for Delecta in Colorado uranium pursuit
Delecta appears to be well funded for its return to uranium exploration, after announcing the exercise of options worth more than $ 1.1 million last month.
The conversion of options was announced by Delecta (ASX: DLC) at ASX on September 24, and the company’s cash reserves now exceed $ 2.8 million.
This comes at the right time for the diversified investment firm, which also launched a series of sampling and mapping programs on the REX uranium-vanadium project in Colorado last month as industry sentiment began to pick up. switch.
The change in uranium fortunes was prompted by the purchase of physical uranium by Sprott Physical Uranium Trust, combined with a shift in global sentiment towards nuclear as a stable baseload for a low-carbon energy future. carbon.
DLC chief executive Malcolm Day said the change in sentiment encouraged Delecta to renew her job at REX.
“Due to renewed optimism about future uranium prices, the company recently decided to step up exploration at its majority-owned REX uranium-vanadium project,” he said. September 13.
“The history of the project in terms of uranium extraction, its proximity to the operating infrastructure and the government support regime in force bode well for the development of the project.
“We look forward to further exploration of the REX project and to assess other potential uranium-vanadium projects in the region.”
Delecta owns 60% of Sunrise Minerals, which in turn owns 100% of the 20 km REX project2 in the prolific Uravan mineral belt.
The belt itself has produced 86 million pounds of 0.24% uranium and 441 million pounds of 1.25% vanadium since 1898.
Initial sampling carried out late last year on the project yielded results of high grade uranium and vanadium, with 12 samples returning an average grade of 0.22% uranium with a maximum value of 0.528%.
Options conversion details
The conversion of options increases the company’s coffers as exploration begins, adding $ 1,115,300 from the 139,412,500 options converted by 0.8c.
A total of 96.9 million options exercisable at 0.08c no later than September 3, 2023; and 10 million options exercisable at 1c no later than December 31, 2023, remain unexercised.
According to its recent ASX releases, Delecta expects tests for the current sampling program to be returned in the coming weeks.
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