The TSX Venture Exchange has accepted for filing documentation in relation to an option agreement dated Nov. 20, 2023, between Purepoint Uranium Group Inc. and an arm's-length party, Foran Mining Corp., pursuant to which the company granted options to Foran to acquire up to a 100-per-cent interest in the company's Denare West project, located in east-central Saskatchewan.

Pursuant to the terms and subject to the conditions of the agreement, Foran shall pay up to an aggregate purchase price of $16-million to be satisfied in the following manner: (i) the option to acquire a 51-per-cent interest in the property by incurring $3-million in exploration expenditures to over a period of four years; (ii) the option to acquire an additional 29-per-cent interest in the property by incurring $3-million in exploration expenditures over a two-year period following the end of the first expenditure period; (iii) the option to acquire the remaining 20-per-cent interest in the property by paying $10-million cash and granting a 2-per-cent net smelter return (NSR) royalty to the company.

Foran has a multistage option to buy back the NSR royalty from the company in the following manner: (i) repurchase a 1-per-cent NSR royalty for $1-million at any time prior to deciding to operate a mine commercially on the property; (ii) subject to exercising the first royalty option and after 60 months of NSR payments, Foran has the option to buy an additional 0.5-per-cent NSR royalty for an additional $1-million; (iii) after 120 months of NSR payments and exercising the second royalty option, Foran can acquire the remaining 0.5-per-cent NSR for $1-million. Per the conditions set in the agreement, Foran may choose to pay the option price by issuing common shares to the company. At the end of the earn-in phases, if Foran does not elect to acquire the company's remaining interest in the property, Foran and the company will form a joint venture.

For more information, refer to the company's news releases dated Nov. 20, 2023, and Dec. 4, 2023.