Okapi Resources will jump into the budding uranium sector with an agreement to acquire a portfolio of large, high-grade assets in the US. Okapi (ASX:OKR) has reached a binding agreement to acquire Tallahassee Resources, which owns the Tallahassee Uranium Project in Colorado and also holds an option to acquire the Rattler Uranium Project in Utah. The Tallahassee Uranium Project was previously part of former ASX listed company Black Range Minerals and has a JORC 2004 Mineral Resource estimate of 26 million pounds of U3O8 at a grade of 540ppm U3O8, with significant exploration upside.
Black Range had a market capitalisation in excess of $180 million in 2007, before the existing resource was defined. Okapi’s market capitalisation prior to announcing the transaction was just $11.7 million.
An assessment of the market capitalisation of Okapi’s ASX-listed uranium developer industry peers measured against their defined mineral resources delivered a mean valuation $2.17 per pound.
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