AuKing Mining Ltd (ASX:AKN) has entered into a binding agreement with Moab Minerals Ltd (ASX:MOM) to sell its remaining non-core prospecting licences at the Manyoni Uranium Project in Tanzania for $175,000.
AKN began negotiating the sale after the Tanzanian Mining Commission revoked two key prospecting licences at Manyoni, which held a significant portion of the uranium resource estimate at the project.
Despite negotiations and several meetings with Tanzanian officials, AuKing sees no path forward to recovering the licences and has instead opted to sell.
Details of the sale
The total purchase price for the Manyoni prospecting licences is $175,000, conditional on several conditions:
- Moab will complete 30 days of due diligence from the sales agreement execution date.
- AuKing will provide all pertinent information within its control.
- The tenements remain in good standing.
- The transfer receives ministerial approval.
- The transfer is approved by the Fair Competition Council (FCC) of Tanzania if required.
AKN says the sale will have no impact on plans to begin drilling at the Mkuju Uranum Project in southern Tanzania, with the sale having no connection or relationship to that project.