UPDATE 1-Solex to buy remaining stake in uranium project in Peru

March 2 (Reuters) - Solex Resources Corp (SOX.V) said it signed a letter of intent with Eldorado Gold Corp (ELD.TO) to to buy the remaining stake in their joint venture, Macusani East uranium project, in Southeastern Peru.

Solex, which currently owns 50 percent of the project, will issue 11.8 million of its shares to Eldorado, boosting Eldorado's stake in Solex to 19.9 percent and making it the largest shareholder.

Under the terms, Solex will also pay Eldorado C$2 million ($1.57 million) in two equal tranches within the first and second year of closing the deal, which is likely to happen within 60 days.

Solex said it will acquire additional 21,660 hectares, increasing the total land position to 47,820 hectares.

Solex will also pay a royalty of 50 cents per pound to Eldorado on future uranium production on the first 20 million pounds of uranium produced.

Shares of Eldorado were trading down 45 Canadian cents at C$10.28 on the Toronto Stock Exchange, while Solex's shares were trading at C$0.055 on the junior TSX Venture Exchange. ($1=1.277 Canadian Dollar) (Reporting by R. Manikandan in Bangalore; Editing by Anil D'Silva) ((raman.manikandan@reuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging:raman.manikandan.reuters.com@reuters.net))