Rocky Mountain Resources Corp (TSX-V: RKY) said its wholly-owned subsidiary RMP Resources Corp (RMP) has entered into an agreement with Stonegate Agricom Ltd to sell its Paris Hills phosphate/vanadium property in Bear Lake County in Idaho, US.
Stonegate will pay C$1 million in cash and issue 6 million common shares of Stonegate valued at $0.50 per common share. Closing of the transaction is expected to occur on November 15 2009.
Stonegate is a private Canadian company engaged in the acquisition, exploration and development of agricultural nutrient projects. Stonegate's primary focus has been the development of the Mantaro Phosphate Project located in Peru. Stonegate's majority shareholder is Sprott Resource Corp (TSX: SCP).
Rocky Mountain Resources said in January 2009 that the latest NI 43-101 compliant resource estimate for phosphate and vanadium from Paris Hills exceeded expectations and could form the foundation for a 50 to 75 year operating life. The technical report estimated inferred resources of 120.7 million tonnes of phosphorus pentoxide (P2O5) at a 23.6 percent grade and 44 million tonnes of vanadium pentoxide (V2O5) at a 0.79 percent grade.