Athabasca Minerals Inc. (TSX VENTURE:ABM) announced April 18 the signing of a definitive agreement for the sale of Athabasca’s rights, title and interests surrounding three leases bordering the Obed Transloading Facility to Wayfinder Corp. for a purchase price of C$800,000.
Athabasca has received a C$200,000 non-refundable deposit related to this agreement, with a final closing expected on or before June 30, 2016.
Athabasca previously announced that it had entered into a purchase agreement with Coal Valley Resources Inc. (CVRI), a subsidiary of Westmoreland Coal, on May 12, 2015, to purchase the Obed Facility. As part of the this new agreement, Athabasca has transferred its rights of first refusal on the purchase of the Obed facility to Wayfinder, which has just entered into a separate agreement with Westmoreland Coal for the purchase of the Obed Facility.
As part of the sale agreement, Athabasca maintains the rights to:
- Construct, operate and maintain a drying facility on lands adjacent to the Obed facility.
- Work with Wayfinder in utilizing the existing rail infrastructure to sell certain aggregates.
- Act as a domestic supplier of sand, gravel, borrow or aggregates material to Wayfinder for Wayfinder’s operations at the Obed site and adjacent leases.
- Act as a third party contractor to Wayfinder for any road maintenance work, civil earthwork or site development work surrounding Wayfinder’s operations at the Obed Facility and adjacent leases.
Athabasca will maintain the ability to distribute frac sand from the Firebag Frac Sand Project via the Obed Facility.
U.S.-based Westmoreland Coal is Canada’s largest producer of steam coal for power generation.