An exploration company searching for uranium in the Northern Territory has signed a joint-venture agreement worth $3 million with the Japan Oil, Gas and Metals National Corporation.

Bondi Mining operates the Murphy uranium project about a 1,000 south-west of Darwin.

Managing director Rick Valenta says the agreement is a strong vote of confidence in the project, which could be as uranium rich as the Ranger mine, near Jabiru.

"We felt all along this was an area that had great potential for the discovery of a uranium deposit and the fact that they think its a good bet to put in that sort of money to possibly identify some uranium that could be supplied to the Japanese economy is very encouraging to us."

Mr Valenta says he's suprised the agreement has come to fruition during such uncertain economic times, but says it shows the company is looking long term.

"Now that we're in a situation where we're not in complete boom, companies that take a longer term view and identify really good projects are going to be able to get a lot more bang for their buck so to speak they can get into a project without having to spend the amount of money you have to spend in a very overheated market.