Boss Resources finalises acquisition of Honeymoon uranium project in SA

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Honeymoon production facility in South Australia Image credit: bossresources.com.au

Base and precious metals developer Boss Resources has announced that it has completed the acquisition of the Honeymoon uranium project from Russia’s state-owned Uranium One Inc. (U1) for a compensation package worth more than A$10 million.

Honeymoon production facility in South Australia Image credit: bossresources.com.au
Honeymoon production facility in South Australia
Image credit: bossresources.com.au

Honeymoon is one of the five Australian uranium mines in Australia. Four uranium mines are located in South Australia.

The deal was unveiled back in September when the company said that it will form a joint venture with Wattle Mining to acquire Uranium One subsidiary Uranium One Australia.

Under the terms of the agreement, Boss will own 80% in Uranium One Australia, while Wattle will own 20%.

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Project infrastructure Image credit: bossresources.com.au
Project infrastructure
Image credit: bossresources.com.au

In an ASX Announcement issued yesterday, Boss Resources said that Uranium One Australia (the owner of the Honeymoon Uranium Project in South Australia) has agreed “to transfer all the existing debt of approximately AUD$157,959,779.75 that was previously owed by Uranium One Australia to Uranium One.”

Honeymoon – located north west of the town of Broken Hill – has not been operational for two years now due to the plunge in uranium prices which made it uneconomic to continue mining from the site.