JOHANNESBURG (miningweekly.com) – Uranium hopeful Forsys Metals...

JOHANNESBURG (miningweekly.com) – Uranium hopeful Forsys Metals has entered into exclusive negotiations on the potential sale of the company, the company said in an emailed statement.

Forsys' main asset is its Valencia uranium mine, in Namibia, where it has said it plans to start production in 2010.

The company has retained CIBC World Markets to advise it in the negotiations, Forsys said.

The firm did not give any details about the potential suitor, but Jerry Grandey, the CEO of the world's biggest uranium miner, Canada-based Cameco, has indicated on several occasions this year that the company is on the lookout for potential acquisitions.

The Valencia project is located 35 km along the geological strike to Rio Tinto's Rossing mine and 40 km north of Paladin Resources' Langer Heinrich operation.

The mine will produce approximately 3-million pounds of uranium a year, and Forsys was granted a 25-year mining licence for the operation in August this year.