Heavy Rare Earths to acquire uranium assets from Havilah

Heavy Rare Earths (ASX: HRE) plans to acquire Havilah Resources’ (ASX: HAV) Radium Hill, Lake Namba-Billeroo, and Prospect Hill uranium projects in northeastern South Australia.

The rare earths company has agreed to purchase an 80% interest in these three projects by investing A$3 million ($2m) over three years, Havilah said. This investment includes a minimum of A$1 million in the first year for exploration and development activities.

The three assets, located in the uranium-rich Curnamona province, are situated near two operating in-situ leach (ISL) mines at Honeymoon, owned by Boss Energy (ASX: BOE), and Four Mile, owned by the private company Heathgate Resources.

“These agreements with HRE provide a way for Havilah to monetize a portion of its remaining uranium assets, for which it is currently receiving neither market recognition nor value,” said the company’s technical director, Chris Giles.

Havilah will retain 100% ownership of its exploration licenses and mineral rights, excluding rare earth elements and scandium at the Radium Hill extensions. Heavy Rare Earths will assume responsibility for further exploration expenditures and fieldwork.

Demand for uranium has surged after more than 20 nations committed to tripling nuclear capacity by 2050 at the COP28 Climate Summit in Dubai late last year.

Canada, Australia, and the United States have led the sector’s revival this year, with companies announcing production increases and the restart of previously halted projects.