Texas Rare Earth Resources and AREVA Subsidiary Sign Agreement

Texas Rare Earth Resources Corp. (OTCMKTS:TRER), announced it has entered into a uranium offtake agreement with a subsidiary of AREVA,  the world’s largest nuclear and renewables energy company.

As quoted in the press release,

According to the agreement, TRER will supply up to 300,000 pounds of natural uranium concentrates (U308) per year based upon a pricing formula indexed to U308 spot prices at the times of delivery.  The Agreement is for a term of five years commencing in 2018 or as soon thereafter, contingent upon development and production at its Round Top project.  Other terms and conditions of the Agreement reflect industry standards.  According to Ux Consulting, a leading uranium industry data provider, the closing spot price of U308 on March 30, 2015 was $39.50 per pound.

Dan Gorski, President and CEO of TRER stated:

This offtake agreement with AREVA demonstrates industry confidence in the potential commercial viability of the development of our Round Top heavy rare earth project and the marketability of our byproducts.  We intend to continue to monetize our remaining byproducts such as lithium, potassium and beryllium as we move forward in commercializing our entire resource base.

Click here for the full Texas Rare Earth Resources Corp. (OTCMKTS:TRER) press release