Wedoany.com Report-Jun 29, North Shore Uranium has entered into a binding term sheet with Resurrection Mining to acquire up to an 87.5% interest in the Rio Puerco uranium project, located in the Grants Uranium District of New Mexico. The project features a historical resource estimate of six million tonnes at 0.09% eU3O8 (radiometric equivalent triuranium octoxide) and is considered suitable for low-cost in-situ recovery (ISR) mining.

The project aligns with US Government initiatives to bolster domestic nuclear capacity and reduce reliance on foreign nuclear fuel.

The agreement outlines a staged earn-in process, allowing North Shore to incrementally increase its stake. Upon deal completion, North Shore will pay $125,000 in cash and issue 9.99% of its post-financing shares. Further milestones include additional payments and exploration investments, potentially leading to an 87.5% ownership in the project.

Brooke Clements, President and CEO of North Shore, stated: “The Rio Puerco project in New Mexico offers us exposure to a uranium project in the USA with excellent upside and significant historical exploration data including a historical resource estimate. The project offers a great opportunity to confirm and expand upon previous work through drilling, modern 3D modelling and continued assessment of the ISR potential. On completion of the transaction with Resurrection, we will have uranium exposure in two North American jurisdictions that have seen significant uranium production, the Grants Uranium District and the Athabasca Basin, at a time when future supply-demand fundamentals look great for the industry.”

The transaction’s completion depends on conditions such as due diligence, a definitive agreement, a minimum $750,000 financing by North Shore, and approval from the TSX Venture Exchange. After earning a 40% interest, North Shore may form a joint venture with Resurrection, which would retain a 12.5% free-carried interest or convert it into a 1% net smelter returns royalty.

Following the transaction, North Shore plans to work toward establishing the first NI 43-101-compliant uranium resource at Rio Puerco. Initial efforts will focus on verifying historical data, developing geologic models, and drilling 20–40 confirmation holes to validate historical grades and assess ISR mining feasibility. The project aligns with efforts to enhance domestic nuclear capacity in the United States, supporting sustainable energy development in a region known for significant uranium production.