07:54 AM EDT, 08/20/2024 (MT Newswires) -- Blue Sky Uranium ( BKUCF ) said Tuesday that it expects its Amarillo Grande project in Argentina's Rio Negro province to benefit from the country's new positive tax measures.

Blue Sky said the province was the first Argentine province to adopt the Incentive Regime for Large Investments under the Bases Law, which grants 30-year special status for investments of over US$200 million in mining and other sectors.

Benefits include tax stability, reduction of income tax, exemptions of import-export duties, accelerated depreciation, and ability to keep export proceeds in foreign currency, according to Blue Sky.

The company said field work is ongoing at Amarillo Grande, focusing on the Ivana deposit. Work included mapping, soil and pit sampling, auger drilling and the first isotopic survey on the project.

Blue Sky is finalizing a transaction with Corredor Americano (COAM), which can earn up to a 50% indirect interest in the property by advancing Ivana through to completion of a feasibility study.

"Once the company closes the proposed [joint venture] transaction with COAM, and in light of the recent positive tax measures in Argentina... we anticipate advancing Ivana towards pre-feasibility, and, if positive, then feasibility and development, as quickly as possible," Blue Sky President and CEO Nikolaos Cacos said.

Blue Sky's share price slumped 11% yesterday to $0.04.