Mike Fagan,
Editor
Jan. 19, 2024
F3 Uranium Corp. (TSX-V: FUU)(OTC: FUUFF) — currently trading around C$0.47 per share in a rising uranium market — has announced a planned spinout of fourteen of its Athabasca-based uranium exploration projects into a wholly-owned subsidiary to be named F4 Uranium Corp.
The company’s flagship, 100%-owned Patterson Lake North (“PLN”) project, where the high-grade JR Zone uranium discovery was made in November of last year, will remain with F3.
The proposed spinout is being structured to benefit current F3 shareholders in both share allocation (one F4 share for every ten common shares of F3 held) and via a more concentrated focus on PLN where a fully-funded, C$16M ground geophysics and drilling program slated for 55 holes across 24,000 meters is underway.
Upon completion of the proposed spinout, F4 Uranium would boast one of the largest, most prospective uranium exploration portfolios in the eastern and western Athabasca Basin: 14 projects spanning a combined 165,907 hectares, many of which are situated near large uranium deposits.
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View ReportsF3 CEO Dev Randhawa — whom you’re about to hear from directly in our exclusive interview coming right up — commented on the proposed spinout via press release:
“Given that the PLN Project has now evolved from important discovery to an entire geological system across multiple shear zones, the board of F3 has determined that the project deserves a singular focus. At the same time, we believe our shareholders will be done a disservice by not pursuing additional discoveries within the rest of our extensive Athabasca Basin portfolio. F4 solves for this dilemma. Substantial synergies will exist between F3 and F4, including technical expertise and corporate costs that would otherwise be borne singularly by each company.”
Also noteworthy is that, once consummated, F4 Uranium would be led by the same award-winning management team responsible for 3 major uranium discoveries in the Athabasca Basin with current F3 Uranium CEO Raymond Ashley to be appointed CEO of F4 Uranium.
We interviewed Mr. Ashley just a few short weeks ago, and he had this to say about the proposed F4 spinout:
“The F4 Properties demand greater attention from the drill bit and from the market. The creation of F4 will allow F3 shareholders exposure to success at the Properties, without diluting their interest in the PLN Project, which is one of the world's most important uranium discoveries in recent years…”
In addition to PLN’s status as a globally significant uranium discovery, F3 is the only junior explorer to have confirmed a recent near-surface, high-grade uranium discovery in the Athabasca Basin, which is just one more reason why the industry is paying attention to F3’s newly commenced drill program at the flagship.
With uranium blasting through 16-year highs above US$100 per pound, our own Gerardo Del Real of Junior Resource Monthly caught up with F3 Uranium CEO Dev Randhawa for an in-depth discussion on uranium’s impressive price rise, the resumption of drilling at PLN, and much, much more. Please Enjoy!
As always, we’ll continue to keep you abreast of key developments as the F3 team releases updates on its newly commenced winter program at PLN, as well as progress on the proposed F4 Uranium spinout.
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In the meantime, please be encouraged to contact the company’s IR department directly at 778-484-8030 or via email at ir@f3uranium.com for additional information.
You can also visit the F3 Uranium corporate website where you can sign up to receive press releases and updates as developments arise.
Yours in profits,
Mike Fagan
Editor, Resource Stock Digest
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