Mr. Nicholas Luksha reports
MUSTANG ENERGY CORP. ANNOUNCES STRATEGIC ACQUISITION OF BROWN LAKE PROJECT
Mustang Energy Corp. has entered into a mineral property acquisition agreement with Standard Uranium (Saskatchewan) Ltd., an arm's-length party, dated Sept. 25, 2024. Pursuant to the acquisition agreement, the company has agreed to acquire a 90-per-cent interest in the Brown Lake project located in the province of Saskatchewan and held by Standard Uranium for aggregate consideration of 60,000 common shares in the capital of the company. Closing of the transaction remains subject to, without limitation, receiving all necessary consents and approvals, including the approval of the Canadian Securities Exchange, as well as satisfaction of customary closing conditions. Mustang expects to complete the transaction in the coming weeks.
About the Brown Lake project
The Brown Lake project consists of one mineral claim totalling 312 hectares, situated near the southeastern margin of the Athabasca basin, 13 kilometres northwest of the Key Lake mill facilities. The all-season highway between Key Lake and Points North is 12 kilometres to the southeast of the property while the Fox Lake junction off the main highway lies within two km of the eastern property boundary. A drilling program was conducted on the property with strong results, as further detailed in Standard Uranium's press release dated Sept. 26, 2024.
Nick Luksha, chief executive officer of Mustang, stated: "We are thrilled to announce Mustang Energy's acquisition of a 90-per-cent stake in the Brown Lake property from Standard Uranium. This new addition, which adjoins our Ford Lake property and forms part of the Southern Horseshoe, expands our strategic footprint with an additional 312 hectares. With 2.4 kilometres of untested magnetic low and fault trends, located just four kilometres southwest of the Shift Lake uranium zone, this acquisition further strengthens our position in a highly prospective region for uranium exploration. We look forward to unlocking the potential of this new asset and advancing our growth in the sector."
"Completing this transaction with Mustang Energy provides Standard Uranium shareholders with increased exposure to transactional and discovery upside," said Sean Hillacre, president and vice-president, exploration, for Standard Uranium. "This is yet another example of our technical team continuing to identify areas with shallow drill targets and favourable geology for uranium discovery, and we look forward to creating additional value through advancing this project with the team at Mustang."
The transaction
Key highlights of the transaction include:
Upon closing, Standard Uranium will retain a 10-per-cent carried interest on the property.
Mustang will be solely responsible for financing all expenses and obligations associated with maintaining, exploring and developing the property.
The consideration shares will be subject to a statutory hold period of four months and one day from the closing date.
In addition to the statutory hold period, the consideration shares will be subject to a voluntary hold period whereby the consideration shares will be released in four equal parts, with the first release occurring forthwith upon the conclusion of the statutory hold period and each successive release occurring every two months thereafter.
Agreement with IR-World
Mustang also announced that it has entered into a master agreement with IR-World.com Finanzkommunikation GmbH, an arm's-length party located in Austria, dated Sept. 24, 2024. IR-World has agreed to translate and disseminate news releases in Germany through IRW-Press. IR-World will receive a fee of 4,250 euros for every 10 news releases distributed on behalf of Mustang. The translation and dissemination package expires five years after the date of purchase. Mustang will not issue any securities to IR-World as compensation for the services. As of the date hereof, to Mustang's knowledge, IR-World and its directors and officers do not own any securities of the company and have an arm's-length relationship with the company.
About Mustang Energy Corp.
Mustang is a mineral exploration and development company focused on uranium mineral projects. Mustang owns 100 per cent of 40,198 hectares in the Athabasca basin and intends to conduct exploration for uranium on its properties located in the eastern Athabasca basin of Saskatchewan, Canada, and, in particular, the Ford Lake property. The Ford Lake property consists of three claims covering an area of 7,431 hectares in the prolific eastern Athabasca basin near the margin of the Mudjatik and Wollaston domains. The Cigar Lake East and Roughrider South projects consist of four claims covering a total area of 3,443 hectares in the Wollaston domain. The Cluff Lake and associated claims in the Athabasca basin total 29,324 hectares consisting of eight claims.
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