Atomic signs letter of intent to acquire over 2800 square kilometers of uranium property in Tanzania.
Atomic Minerals Ltd. has signed a letter of intent with Geo Can Resources Company Ltd. (Geo Can) to enter into an option agreement to earn the right to acquire up to a 90% interest in a land package totalling approximately 2,800 square kilometres located in the United Republic of Tanzania. Atomic paid Geo Can a non-refundable deposit of $65,000 on execution of the LOI.
The two companies have agreed to negotiate a definitive option agreement by September 14, 2007, subject to the results of Atomic's due diligence on the property (including the preparation of a title opinion) and TSX Venture Exchange approval. The property is located in southwestern Tanzania and is considered to be part of the Malawi extension based on the location of the property relative to blocks earmarked as potentially favourable for uranium enrichment.
Historical airborne radiometric surveys over Tanzania (done by GeoSurvey International) have provided useful data regarding the area. Other mining companies exploring in the area include Paladin Resources (Malawi), Denison Mines and Western Metals (both in Tanzania). The company intends to incorporate a Tanzanian subsidiary to hold Atomic's interest in the property and through which to administer day-to-day operations in the country. Atomic will co-ordinate its geological staff for the property through Geo Can and rely on Geo Can's past expertise in working in the area and in the country. (resourcexinvestor.com)