Eagle Royalties Announces Agreement for the Sale of Uranium Royalties

Eagle Royalties Ltd. (CSE: ER), based in Cranbrook, BC, has entered into a binding agreement with Royal Uranium Inc. and its subsidiary 1485568 B.C. Ltd. to sell 12 uranium royalties. The transaction amounts to CAD$3.75 million.

The purchase price includes a cash payment of CAD$2.5 million at closing. The remaining CAD$1.25 million will be provided through a secured promissory note, allowing options for cash or common share payments by Royal Uranium.

The note, maturing by December 14, 2025, extends to June 14, 2026, if mutually agreed. The transaction awaits stock exchange approvals and certain conditions. It classifies as a 'significant transaction' under CSE rules, expected to close on June 14, 2024.

Tim Termuende, President, and CEO of Eagle Royalties, stated that the funds will strengthen the company's balance sheet and support its gold and copper royalty portfolio in Western Canada.