TSX-V-listed GoviEx Uranium has entered into definitive agreements with the Niger government to finalise the commercial terms to progress the company’s flagship Madaouela uranium project.
GoviEx currently has testwork under way targeting reduced operating and capital costs within the project economics, which will be contained in a feasibility study.
The key commercial terms covered by the signed definitive agreements between Niger and the company include that a Nigerien operating company – Compagnie Minière Madaouela – will be established.
The State will receive a 10% free-carried interest in the capital of the company.
Niger will also receive an additional working interest of 10%, in exchange for about $14.5-million of claims due by GoviEx to the State, comprised of a final €7-million mining permit acquisition payment and settlement of previously challenged three years of area taxes to the value of $6.6-million.
GoviEx will receive a release from the debt upon the transfer of the additional working interest.
It will also be issued new nine-year exploration permits for the areas previously covered by Madaouela 2, 3 and 4 and the Anou Mélé exploration permits, as well as have the Eralrar exploration permit renewed.