The Smartest Investors Club
  • Business
  • Politics
  • Investing
  • World
  • Business
  • Politics
  • Investing
  • World

The Smartest Investors Club

Investing

NexGen Signs First Uranium Contracts, Will Sell 5 Million Pounds to US Utilities

by December 7, 2024
December 7, 2024
NexGen Signs First Uranium Contracts, Will Sell 5 Million Pounds to US Utilities

NexGen Energy (TSX:NXE,NYSE:NXE,ASX:NXG) said on Wednesday (December 4) that it has set up its first uranium sales agreements with several leading US nuclear utility companies.

These contracts, starting in 2029, cover the delivery of 5 million pounds of uranium over a five year period and employ market-related pricing mechanisms to optimize returns by leveraging future uranium prices.

The uranium will be sourced from NexGen’s Rook I Project in Saskatchewan, Canada, which the company believes is positioned to become one of the largest uranium-mining operations globally.

NexGen estimates that over 231 million pounds of uncommitted probable mineral reserves remain available.

Rook I is currently in the development stage, with NexGen reaching a key milestone in the federal environmental assessment process in mid-November. The Canadian Nuclear Safety Commission let the company know that it has completed the federal technical review process and can now schedule a commission hearing date for Rook I.

After that happens, NexGen will receive an approval decision on the project from the commission.

Leigh Curyer, NexGen’s CEO, said on Wednesday that the company’s contracts with prominent US utilities demonstrate the project’s quality and offer diversification for global uranium supply.

The deals come amid increasing energy demand and heightened risks surrounding uranium supply security.

The contracts outline annual deliveries of 1 million pounds of U3O8 starting in 2029. At varying price points — ranging from US$80 to US$175 per pound — NexGen projects significant gross sales revenues during the term.

According to Curyer, the contracts reflect growing interest in expanding nuclear energy infrastructure to meet rising energy demands, while addressing supply chain vulnerabilities.

“Energy demand from reliable sources is increasing by the week with the need to expand existing nuclear energy infrastructure and the construction of power consuming data centres at a time the security of uranium supply is under significant technical and sovereign risk,” he said in the company’s announcement.

The news also comes as NexGen continues discussions with utilities in Europe, Asia and other regions.

Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com
0
FacebookTwitterGoogle +Pinterest
previous post
Biden Admin Makes Big Angola Investment to Counter China’s Critical Minerals Dominance
next post
Osisko Metals Acquires Additional Claims Near Gaspé Copper

You may also like

Excellent Progress of Lithium Carbonate Refinery Engineering Study

John Feneck: Gold Miners Set Up for Strong...

Extension of Broker Option and Retail Offer

Trump Win Fuels Surge in US Dollar, Gold...

Prismo Metals Mobilizes for Palos Verdes Drilling

Electric Vehicle Market Update: H1 2023 in Review

ARway.ai Signs Multi-Year Contract With The Largest Car...

AI Market Update: Q3 2024 in Review

Top 10 Copper-producing Companies (Updated 2024)

Aether Global Innovations Corp. Approved for Trading Under...

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest

    • ‘A fear campaign.’ Students around the world are shocked, scared and saddened...

    • North Korea deploys mystery balloon-like objects to stricken warship, satellite photos show

    • NVIDIA Rallies After Strong Q1, AI Demand Outshines China Export Hit

    • US senators meet with Zelensky in Kyiv as doubt cast over upcoming Ukraine-Russia peace talks

    • Israel’s plan to ‘conquer’ Gaza is leaving Palestinians with little place to go: 5 maps show how

    Categories

    • Business (1,673)
    • Investing (4,999)
    • Politics (7,837)
    • World (6,349)
    • Terms & Conditions
    • Privacy Policy
    • About us

    Disclaimer: thesmartestinvestorsclub.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 thesmartestinvestorsclub.com | All Rights Reserved


    Back To Top