First Division Ventures (CSE: FDIV) announced this week that it has entered into an Assignment and Property Option Agreement with Geoxplor Corporation of Arizona, for the option to acquire a 100% interest in the Temple Mountain property in Utah.
In a media statement, First Division said Temple Mountain occupies 435 hectares and is located in Emery county, 34 kilometres north of the town of Hanksville.
"The historic Temple Mountain vanadium project represents an exciting opportunity for First Division and provides significant exposure to this critical battery metal": Michael Mulberry, CEO.Legacy information shows that the first attempts to mine vanadium and uranium in the area were in 1914.
"The area was very active during WWII and continued until 1968. Historical assay data from exploration drill holes show maximum values of Vanadium (V2O5) oxide of up to 4.97% and Uranium (U3O8) of up to 1.83%," First Division's release reads.
Under the terms of the agreement, the North Vancouver miner may acquire a 100% interest in the property by paying $635,000 cash of which $110,000 is payable to Geoxplor in the next 12 months with an additional $75,000 due on the second, third and fourth anniversary of the date of the agreement.
Over the next three years, the buying company would also have to pay $300,000 to a third-party that owns a portion of the 52 lode mining claims that comprise Temple Mountain.
First Division will also have to pay $1 million to Geoxplor, either in cash or common shares on or before the date of commencement of any commercial production.