The royalty underlying the Diabase Royalty Option is equal to 3.0% of the sales of minerals from Mineral Disposition S-106843 of the underlying property, which covers a portion of the Diabase Project.

The Diabase Project is a large Early Exploration stage project located 75 kilometers west of Cameco Corporation's Key Lake mill on the southern rim of Saskatchewan's Athabasca Basin uranium district and covers 21,949 hectares, which overlies the highly prospective regional Cable Bay fault corridor (the "Diabase Project"). According to public disclosure made by Uranium Energy Corp. ("UEC"), the project is 100% owned by UEC.

The information below regarding project milestones and recent developments for the Diabase Project has been summarized from UEC's public disclosure.

Historical work started on the Diabase Project in the late 1970s, with the most recent major drilling program being completed by Nuinsco Resources Limited in 2011. In February of 2018, UEC completed the acquisition of the Diabase Project.