Canadian company Western Prospector Group, which has uranium interests in Mongolia , has accepted a US$25 million takeover bid from China 's CNNC International.

Western Prospector's main interest is the Saddle Hills uranium project near Dornod in eastern Mongolia , and in particular in the Gurvanbulag deposit.

A definitive feasibility study released in January showed Gurvanbulag was barely economic, on the basis of producing 700 tonnes of uranium per year from 6900 tonnes of uranium reserves, but it is only 100km from China .

Mine development cost would be about US$ 280 million.

CNNC International is a 74% subsidiary of Hong Kong-based CNNC Overseas Uranium Holding and through it, of CNNC's SinoU.

- Information courtesy of World Nuclear News