Uranium Resources, Inc. announced that the company has entered a lease agreement to explore for uranium in Texas. The properties being leased also have other mineral potential including crude oil and natural gas.
Uranium Resources, Inc. said that the lease agreement covers 53,500 acres in Kenedy County, Texas, and has a term of three years. The company also has an option to lease the acreage for uranium production for eight years if the exploration is successful.
Uranium Resources, Inc. said that the properties leased are located in a known area in South Texas that has produced uranium for decades. These operations produce mostly from the Goliad Formation.
Uranium Resources, Inc. reported that the lease agreement has minimum exploration obligations for each of the three years. The company is required to invest $1 million or drill 100 exploration wells in the first year, and $1.5 million or drill 200 incremental exploration wells in the second year. The third year of the lease agreement requires a $2 million investment and 200 more exploration wells.
Uranium Resources, Inc. said that the company has found evidence of uranium or uranium decay products in water wells on the site that might indicate deposits of uranium.
For more information on the company, go to www.uraniumresources.com