Eagle Plains and Xcite Execute Option Agreement for Multiple Athabasca Basin Uranium Projects

CRANBROOK, BC / ACCESSWIRE / December 14, 2023 / Eagle Plains Resources Ltd. (TSXV:EPL) or ("Eagle Plains") has executed six individual option agreements with Xcite Resources Inc. ("XRI": TSXV, or Xcite) a BC corporation, whereby Xcite may earn up to an 80% interest in six individual uranium projects totalling 5905 ha located near Uranium City in northern Saskatchewan.

Under the terms of the agreement, Xcite may earn an 80% interest in each individual property by completing CDN$3,200,000 in exploration expenditures, issuing 750,000 common shares of Xcite and making cash payments to Eagle Plains of CDN$55,000 over four years, for an aggregate of CDN$19,200,000 in exploration expenditures, 4,500,000 shares and $330,000 in cash to Eagle Plains. Upon Xcite fulfilling the terms of any or all of the earn-in agreements, an 80/20 joint venture will be formed, with Eagle Plains retaining a carried interest in all expenditures until delivery by Xcite or its assigns of a bankable feasibility study. During the option earn in period, XRI will be appointed as operator, and EPL will manage the exploration programs under the direction of a joint technical committee. The projects are owned 100% by EPL, who will retain an underlying 2% NSR royalty on the each of the properties.

Tim Termuende, P.Geo. President and CEO of Eagle Plains commented recently on the transaction: "We are excited to partner with Xcite to accelerate exploration of the Uranium City projects. Considering the rich production history of many of the individual projects, we welcome the opportunity to conduct modern exploration methods combined with continually advancing geological understanding of the genesis and controls of uranium mineralization known to exist there."

Chris Cooper, Xcite's Chairman of the Board commented, "We are pleased to enter the world's best uranium district with a premier portfolio of properties that have demonstrated high-grade surface showings with a strong potential for a world-class discovery. This transaction will lead us to the forefront of the energy metal arena and allow our shareholders to capitalize on the emerging uranium market."

Athabasca Basin History and Mineralization

The Beaver River, Black Bay, Don Lake, Gulch, Larado, and Smitty projects are located in the Beaverlodge District near Uranium City in the Lake Athabasca region of Saskatchewan. Occurrences of uranium mineralization are abundant in the Uranium City area and have been explored and documented since the 1940s. The Beaverlodge camp was the first uranium producer in Canada, with historic production of approximately 70.25 million pounds of U3O8 between 1950-1982, from ore grades averaging 0.23% U3O8. The two largest producers were the Eldorado Beaverlodge (Ace-Fay-Verna) mine and the Gunnar uranium mine. The Beaverlodge area has seen limited uranium focused exploration since the early 1990's.