Terra Uranium (ASX: T92) has announced an agreement to acquire Dundee Resources, gaining control of a significant tenement package in the New England region of New South Wales. The transaction will focus on the Glen Eden, Bald Nob, and Deepwater projects, which contain tin, tungsten, molybdenum, silver, and base metals. Terra Uranium is an ASX-listed company focused on acquiring and developing resource projects. It is currently focused on uranium exploration in Canada, but is expanding into tin and tungsten exploration in Australia.
The acquisition terms include Terra issuing Dundee 10 million shares and 3 million performance rights, along with $20,000 cash and a 1.25% net smelter royalty on mineral sales from the tenements. Glen Eden, located near Terra’s Ottery tin mine acquisition, features molybdenum, tin, and bismuth mineralisation within a brecciated greisen and stockwork complex. Historical drilling at Glen Eden shows promising intercepts, including 82 metres at 0.11% molybdenum disulfide, 0.02% tin oxide, and 0.08% tungsten trioxide.
To fund the acquisition, Terra Uranium will undertake a capital raising of $864,000. The company will issue 28.8 million new shares at $0.03 each to sophisticated investors. The placement includes one free unquoted option for each new share, exercisable at $0.09 before the end of 2026. Peak Asset Management and Morgans Stockbroking have been appointed as joint lead managers for the placement and will receive a cash fee equating to 6% of the gross funds raised.
Terra chair Andrew Vigar expressed enthusiasm for the dual development of Glen Eden alongside Ottery. He stated the company is excited to acquire the largest undeveloped tin-tungsten-molybdenum deposit in NSW and intends to develop it alongside the Ottery deposit. Vigar thanked shareholders for their support and said he looks forward to updating them on the company’s NSW strategy, complementing its Canadian uranium portfolio.
