Moab Minerals Acquires Key Ex-Uranex Uranium Project In Tanzania

Moab Minerals Ltd (ASX: MOM) has been reinstated to the ASX after making a transformational acquisition of a portfolio of advanced uranium assets in Tanzania.

The company is set to acquire 81.85% ownership of Linx Resources Pty Ltd, which holds a portfolio of large-scale uranium projects.

This included the Manyoni and Octavo Uranium Projects covering a total of 216 square kilometres.

However, the key to the deal is the Manyoni project owned previously by Uranex Ltd.

It explored the project and delivered a resource of 20.5 m/lbs of U3O8 at 147pmm in 2010.

Consideration for the deal will see Moab paying $360,000 in cash to repay Linx shareholder loans, along with the issue of 81,851,178 shares at $0.007.

The deal has other components including unlisted options and performance rights on milestones.

Post completion of the transaction, Moab will commence drilling to update the Manyoni resource to a JORC 2012 estimate.

Octavo is strategically positioned adjacent to Rosatom’s noteworthy Nyota Uranium Deposit, formerly ASX-listed Mantra Resources Ltd before a $1.02bn takeover in 2011.

The acquisition is well-timed for Moab, as the current uranium spot price is trading at levels not seen in well over a decade at around US$92 a pound.

Forward plan

Moab is planning to undertake an exploration drilling program that is designed to locate extensions to the known mineralisation.

Ground geophysical surveys will locate buried alluvial channels and concealed faults that could be the key to unlocking high-grade uranium mineralisation.

Acquisition of high-quality airborne geophysical data sets from the Geological Survey of Tanzania will also assist exploration targeting.

Moab holds $3.2 million in cash and equivalents and is well-equipped to fund exploration and development initiatives.

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