Atomic Eagle (ASX:AEU) agreed to acquire 100% of the Sitwe project in Zambia under a binding option agreement, according to a Tuesday filing with the Australian bourse.

The company must incur a minimum of $200,000 in exploration and license-related expenditure before June 30, 2027, and may then exercise the option to acquire the license for $400,000 in cash, the filing said.

The company is planning its initial Sitwe work program, which will involve mapping and ground radiometrics to identify prospective areas for drill testing, per the filing.

Shares fell 1% in morning trade on Tuesday.