Uranium Energy Corp Signs First Multi-Year Sales Contract

Uranium Energy Corp (AMEX:UEC) reports that it has signed its first multi-year uranium sales contract.

The press release is quoted as saying:

The sales contract provides for the delivery of 300,000 pounds of U₃O₈ over a period of three years starting in August 2011 from its Hobson processing facility, with the price to be based on published market price indicators at the time of delivery. 

Uranium Energy’s President and CEO, Amir Adnani says:

“The Company’s first-ever sales contract is a significant achievement and further validates our status as North America’s newest emerging uranium producer.  The agreement provides for the Company as the seller to dictate when deliveries will occur.  This unique feature will allow us to manage our cash flow more effectively as we pursue our corporate objectives.  Moving forward, we anticipate that our uncommitted production will be sold through a combination of spot market sales and long-term contracts towards establishing a balanced portfolio of sales points and prices for our uranium production.”

Click here to access the entire news release.