Canada-based miner Dark Star Minerals has announced an amendment to its previously announced option agreement with Cronin Exploration for the acquisition of the Ghost Lake Property in Newfoundland and Labrador in Canada.
The Ghost Lake Property, spanning 28,575ha in Labrador’s central mineral belt, is surrounded by Atha Energy’s properties.
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The property is located in a uranium-rich mineralisation area and shares structural trends with known uranium deposits including Paladin Energy’s Michelin uranium project and Labrador Uranium’s Mustang Lake and Jacques Lake deposits.
Under the terms of the agreement, Dark Star can acquire up to a 100% interest in the property.
Dark Star has until the fourth anniversary of the non-binding letter of intent (LOI), dated 16 October 2024, to exercise the option.
The company is required to make aggregate cash payments of C$275,000, issue a total of 10.15 million common shares and incur C$2.9m in exploration expenditures by specific dates leading up to the fourth anniversary of the LOI.
The structuring of the cash payments involves C$100,000 by the second anniversary of the LOI, C$75,000 by the third anniversary and another C$100,000 by the fourth anniversary.
The share issuances include 750,000 shares issued within five days of the LOI and 9.4 million shares to be issued following approval by the Canadian Securities Exchange.
Dark Star president and CEO Marc Branson said: “With the amendment of the option agreement to acquire a 100% interest in the Ghost Lake Property now complete, the company is eager to move forward with its commitments under the agreement and is looking forward to exploring the potential of the Ghost Lake Property.”
In November 2024, Auric Minerals signed an agreement to acquire Central Uranium Resources, which owns the Route 500 property in Newfoundland and Labrador.
