Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR) has announced that the Federal Court of Australia has approved its proposed acquisition of Base Resources Ltd. by way of a scheme of arrangement under Australia’s Corporations Act.
According to the scheme, Energy Fuels will acquire 100% of the issued shares of Base. Each Base share will be exchanged for 0.026 Energy Fuels Common Shares and a special dividend of AUD $0.065 per Base share will be paid by Base to its shareholders.
Mark S. Chalmers, president and CEO of Energy Fuels, said, “I am very pleased that the Court has approved Energy Fuels’ combination with Base Resources. This approval is the final approval required before closing, which is expected to occur on October 2, 2024.” He added that developing the Toliara Project with Base’s team is a major step for Energy Fuels, especially given the importance of domestic supply chains in the current geopolitical climate.
The Court order will be lodged with the Australian Securities and Investments Commission (ASIC), and the scheme is expected to become effective on Sept. 13, 2024. Consequently, this date will mark Base’s last day of trading on the Australian Stock Exchange (ASX).
The special dividend is scheduled to be paid to Base shareholders on October 1, 2024, with the implementation of the scheme expected to occur on Oct. 2, 2024. Development of the Toliara Project is contingent upon negotiations of fiscal terms with the Madagascar government and necessary approvals before activities can resume.
Energy Fuels is a Lakewood-based producer of uranium. It mines and produces natural uranium concentrates for use in carbon-free nuclear energy production.