Virginia Energy and Energy Fuels Announce Financing
Virginia Energy Resources Inc. (VUI.V) and Energy Fuels Inc. (EFR.TO) announced details of a private placement pursuant to which Virginia Energy proposes to issue and sell 14,285,714 common shares at a price of $0.42 per common share for expected aggregate gross proceeds of up to $6 million.
Energy Fuels will acquire 9,439,857 common shares of Virginia Energy or approximately 19.9% of Virginia Energy upon completion of the offering.
Virginia Energy owns 100% of the Coles Hill uranium project, a large uranium development project located in south central Virginia. Energy Fuels' investment in Virginia Energy is expected to bring significant expertise to the Coles Hill project from a technical and regulatory perspective on uranium mining, milling and tailings management.
VUI shares gained four cents to $0.55 while EFR shares fell half-a-cent to $0.165.
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