Red Rock Resources confirmed that it will receive shares in Uranium Energy Corporation worth around EUR 902,000.

UEC announced a deal to acquire Toronto listed junior Cue Resources in an all paper deal valued at nearly EUR 6 million.

AIM quoted Red Rock owns 18.9 billion Cue shares, 15.71% of the company. As a result of the deal it will subsequently hold 368,551 UEC shares. At UEC’s current price of USD 3.82 they will be worth USD 1.4 million or EUR 902,000.

This value represents a notable premium from the shares book value last calculated by Red Rock in June 2011 of EUR 727,509. The entire Cue holding was bought by Red Rock for just over EUR 1 million.

CUE has focused on the exploration and development of the Yuty Uranium project in southeastern Paraguay. The project’s Uranium resource currently totals 11.14 million pounds comprising 8.914 million pounds in the indicated resource category and 2.226 million pounds in the inferred.

(Sourced from www.proactiveinvestors.com.au)