On December 28, 2007 we entered into a master option agreement with American Nuclear Fuels, as well as six lease and option agreements with individual claimholders, to purchase 185 mining claims, approximating 3700 acres, in the Uravan uranium belt, Montrose County, Colorado, also known as the Beck Project, in exchange for total payments of $5,968,750 in cash and the issuance of 2,765,625 shares of our common stock, payable over 5 years.
Under the option agreements, Yellowcake has the exclusive right to access, explore and develop the properties. All future production from the property will be subject to a 3.5% royalty based on the contained metal value of ore after deduction of mining, transport and processing costs.
Copies of the option agreements and news release relating to the above transaction are attached hereto as exhibits to this current report on Form 8-K. The foregoing summary of the option agreement is qualified in its entirety by reference to such exhibits, which are incorporated by reference herein.
Item 9.01 Financial Statements and Exhibits
| 10.1 | |
| 99.1 |
- 3 -
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
YELLOWCAKE MINING INC.
/s/ Hamish Malkin
Hamish Malkin
CFO
January
7, 2008