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Energy Fuels Inc. (TSX:EFR,NYSEMKT:UUUU) announced the completion of its US$28 million regulatory bonding portfolio restructuring, using three different qualified sureties. As a result, the Company has released US$12.3 million of previously restricted cash which was required by the former underwriter. The bond restructuring was completed at an average annual premium of 1.71% of the total bonded amount or US$479,965.
As quoted in the press release:
The new, reduced collateral balance more accurately reflects the value of reclamation liabilities carried on the Company’s balance sheet. Prior bonding arrangements, covering all of the Company’s mines and mills, required Energy Fuels to post 100% cash collateral to back the currently outstanding US$28 million bond liability. The bond restructuring was completed at an average annual premium of 1.71% of the total bonded amount or US$479,965; a competitive market rate for the program. The US$12.3 million of released funds provides Energy Fuels with additional operational and development flexibility as it continues to position its projects to increase uranium production as market conditions warrant.
Click here to read the Energy Fuels Inc. (TSX:EFR,NYSEMKT:UUUU) press release
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