SKYPE Interview: UC Resources Sells McFaulds Lake Interest For $CDN 6,000,000

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SKYPE Interview: UC Resources Sells McFaulds Lake Interest For $CDN 6,000,000

posted on Nov 11, 2011 04:51PM

UC Resources Ltd. (TSX VENTURE:UC) announced that it has entered into a definitive agreement with Freewest Resources Inc., a wholly owned subsidiary of Cliffs Natural Resources Inc. , for Freewest to acquire 100% of the UC owned 55% Joint Venture Interest in the McFaulds Lake area property , subject to and in accordance with the Joint Venture Agreement dated as of July 26, 2011 between KWG Resources Inc. , Spider Resources Inc., a wholly owned subsidiary of Cliffs, and UC.

The purchase price payable to UC by Freewest is $6,000,000 CDN, payable by deposit of $850,000 on the signing date followed by the balance on the closing date.

UC Resources Ltd.’s CEO, Gary Monaghan states, “We are pleased with the outcome of this transaction, and believe that McFaulds Lake represents what could be an exceptional play for companies of certain size and ability to fund, drill and exploit this long term resource. The Company values our shareholders and believes, as far as UC is concerned, our focus is best directed in Mexico. Full time concentration on the leveraging of the Company’s major assets in Mexico will be the best possible course of action for the Company to take in these markets.”