NexGen Announces First Uranium Sales Contracts for 5 Million Pounds with Major US Utilities
NexGen Energy (TSX: NXE) has secured its first uranium sales agreements with major US nuclear utility companies, covering 5 million pounds of uranium delivery. The contracts feature market-related pricing mechanisms at delivery time, with 1M lbs U3O8 per annum scheduled from 2029 to 2033.
The pricing structure varies based on uranium market prices, ranging from $79/lb at $80 market price to $150/lb at $175 market price. The company maintains 231,660,000 lbs U3O8 in uncommitted Probable Mineral Reserves from the Rook I Project. These strategic agreements position NexGen to maximize value in a strengthening uranium market while establishing itself as a reliable Western World nuclear fuel source from Saskatchewan, Canada.
NexGen Energy (TSX: NXE) ha stipulato i suoi primi contratti di vendita di uranio con importanti aziende di energia nucleare degli Stati Uniti, per una consegna di 5 milioni di libbre di uranio. I contratti prevedono meccanismi di prezzo legati al mercato al momento della consegna, con 1 milione di libbre di U3O8 all'anno programmati dal 2029 al 2033.
La struttura dei prezzi varia in base ai prezzi di mercato dell'uranio, oscillando tra 79 $/libbra a un prezzo di mercato di 80 $ e 150 $/libbra a un prezzo di mercato di 175 $. L'azienda mantiene 231.660.000 libbre di U3O8 in riserve minerali probabili non impegnate dal progetto Rook I. Questi accordi strategici posizionano NexGen per massimizzare il valore in un mercato dell'uranio in espansione, stabilendosi come fonte affidabile di combustibile nucleare nel mondo occidentale dalla Saskatchewan, Canada.
NexGen Energy (TSX: NXE) ha asegurado sus primeros acuerdos de venta de uranio con importantes compañías de servicios públicos nucleares de EE. UU., cubriendo 5 millones de libras de entrega de uranio. Los contratos cuentan con mecanismos de precios relacionados con el mercado en el momento de la entrega, con 1 millón de libras de U3O8 programadas anualmente desde 2029 hasta 2033.
La estructura de precios varía según los precios de mercado del uranio, que oscilan entre 79 $/libra a un precio de mercado de 80 $ y 150 $/libra a un precio de mercado de 175 $. La empresa mantiene 231,660,000 libras de U3O8 en reservas minerales probables no comprometidas del Proyecto Rook I. Estos acuerdos estratégicos posicionan a NexGen para maximizar el valor en un mercado de uranio en fortalecimiento, estableciéndose como una fuente confiable de combustible nuclear del mundo occidental desde Saskatchewan, Canadá.
NexGen 에너지 (TSX: NXE)는 주요 미국 원자력 유틸리티 회사들과 500만 파운드의 우라늄 공급 계약을 체결했습니다. 이 계약은 납품 시점의 시장 관련 가격 메커니즘을 특징으로 하며, 2029년부터 2033년까지 매년 100만 파운드의 U3O8가 예정되어 있습니다.
가격 구조는 우라늄 시장 가격에 따라 달라지며, 80달러 시장 가격에서 79달러/파운드, 175달러 시장 가격에서 150달러/파운드로 다양합니다. 이 회사는 Rook I 프로젝트에서 231,660,000 파운드의 U3O8를 확정되지 않은 가능성 있는 광물 매장량으로 보유하고 있습니다. 이러한 전략적 계약은 NexGen이 강력해지는 우라늄 시장에서 가치를 극대화하고 캐나다 사스카체완에서 신뢰할 수 있는 서방 세계의 원자력 연료 공급원으로 자리 잡도록 합니다.
NexGen Energy (TSX: NXE) a sécurisé ses premiers contrats de vente d'uranium avec de grandes entreprises de services publics nucléaires américains, portant sur la livraison de 5 millions de livres d'uranium. Les contrats comprennent des mécanismes de prix liés au marché au moment de la livraison, avec 1 million de livres de U3O8 programmés par an de 2029 à 2033.
La structure tarifaire varie en fonction des prix du marché de l'uranium, allant de 79 $/livre à 80 $ de prix de marché à 150 $/livre à 175 $ de prix de marché. L'entreprise détient 231.660.000 livres de U3O8 en réserves minérales probables non engagées du projet Rook I. Ces accords stratégiques positionnent NexGen pour maximiser la valeur sur un marché de l'uranium en renforcement tout en se positionnant comme une source fiable de combustible nucléaire dans le monde occidental, en provenance de la Saskatchewan, Canada.
NexGen Energy (TSX: NXE) hat seine ersten Uranverkaufsverträge mit großen US-amerikanischen Atomversorgungsunternehmen gesichert, die die Lieferung von 5 Millionen Pfund Uran abdecken. Die Verträge beinhalten marktbezogene Preismechanismen zum Zeitpunkt der Lieferung, mit 1 Million Pfund U3O8 pro Jahr, die von 2029 bis 2033 geplant sind.
Die Preisstruktur variiert je nach Uranmarktpreis und reicht von 79 $/Pfund bei einem Marktpreis von 80 $ bis zu 150 $/Pfund bei einem Marktpreis von 175 $. Das Unternehmen hält 231.660.000 Pfund U3O8 in ungebundenen wahrscheinlichen Mineralreserven aus dem Rook I-Projekt. Diese strategischen Vereinbarungen positionieren NexGen, um den Wert in einem sich stärkenden Uranmarkt zu maximieren und sich als zuverlässige Atomkraftstoffquelle in der westlichen Welt aus Saskatchewan, Kanada, zu etablieren.
- Secured first major uranium sales contracts with US utilities for 5M pounds
- Market-related pricing mechanism protects upside potential
- Large uncommitted reserves of 231.66M lbs U3O8 available for future contracts
- Scheduled deliveries starting 2029 provide long-term revenue visibility
- No immediate revenue impact as deliveries start in 2029
- Pricing structure caps potential upside at $150/lb even if market prices exceed $175/lb
Insights
This landmark uranium sales agreement marks a significant strategic achievement for NexGen. The company has secured contracts for 5 million pounds of uranium delivery spanning 2029-2033 at 1 million pounds per year, with market-related pricing mechanisms that provide strong upside exposure. The pricing structure shows potential realized prices ranging from
The contracts represent only a small portion of NexGen's total probable reserves of 231.66 million pounds, leaving significant uncommitted inventory for future agreements. This conservative approach to contract allocation allows NexGen to maintain flexibility and capitalize on potentially higher uranium prices in the future. The market-linked pricing mechanism, rather than fixed-price contracts, positions the company well to benefit from the current strong uranium market fundamentals and growing nuclear energy demand.
The timing of these inaugural contracts is strategically significant given the current uranium market dynamics. With growing concerns over supply security and increasing demand from nuclear power expansion and data centers, NexGen is positioning itself as a important Western supplier. The focus on US utility companies is particularly noteworthy as it aligns with the broader geopolitical shift toward securing uranium supply chains from stable jurisdictions.
The Rook I Project's location in Saskatchewan, Canada, offers a significant competitive advantage as utilities seek to diversify away from traditional centralized sources. The market-related pricing mechanism reflects strong confidence in future uranium price appreciation and demonstrates NexGen's bargaining power in negotiations. The ongoing discussions with additional utilities across US, Europe and Asia suggest potential for more favorable contracts ahead.
- Contracts feature market-related pricing mechanisms at time of delivery aligned with NexGen's stated marketing strategy
- Strategic short-term agreements position NexGen to maximize value in strengthening uranium market
These inaugural awards all incorporate market-related pricing mechanisms at the time of delivery. They reflect NexGen's long stated focus of maximizing leverage to future uranium prices and the Company's positioning as a new reliable Western World source of nuclear fuel incorporating the highest standards of technical, environmental and social inclusion from the tier one jurisdiction of
The table below sets out the aggregate delivery quantities of uranium contemplated in the sales agreements, together with the expected gross sales revenue based on various assumed spot prices:
Realised Weighted Volume Average Price Realised Table (excludes escalation):
1M lbs U3O8 per annum
Uranium Price ($/lbs. U3O8) | 2029 | 2030 | 2031 | 2032 | 2033 |
*excludes ancillary commissions and costs of delivery |
Uncommitted pounds of Probable Mineral Reserves remaining (as per NI 43-101 Rook I Project Feasibility Study): 231,660,000 lbs U3O8
Leigh Curyer, Chief Executive Officer, commented: "These offtake awards with premier US utilities represents a pivotal moment for NexGen. They underscore the premier quality and scalability of the Rook I Project, whilst offering diversification of supply from existing centralised sources. Further, the terms of these awards reflect market related pricing mechanisms at the time of delivery reflecting NexGen's long-term stated strategy of optimizing the value of each pound produced.
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.
The contract awards are in parallel to ongoing discussions and negotiations with additional US, European and Asian utilities, which further complement NexGen's strong financial position and construction-ready status at Rook I. The Project is poised to become one of the largest and most environmentally sustainable uranium operations globally. This milestone is another reflection of NexGen's ability to execute on its strategic vision in advancing its position as a global leader in the nuclear fuel supply chain."
About NexGen
NexGen Energy is a Canadian company focused on delivering clean energy fuel for the future. The Company's flagship Rook I Project is being optimally developed into the largest low cost producing uranium mine globally, incorporating the most elite standards in environmental and social governance. The Rook I Project is supported by a NI 43-101 compliant Feasibility Study which outlines the elite environmental performance and industry leading economics. NexGen is led by a team of experienced uranium and mining industry professionals with expertise across the entire mining life cycle, including exploration, financing, project engineering and construction, operations and closure. NexGen is leveraging its proven experience to deliver a Project that leads the entire mining industry socially, technically and environmentally. The Project and prospective portfolio in northern
NexGen is listed on the Toronto Stock Exchange, the New York Stock Exchange under the ticker symbol "NXE" and on the Australian Securities Exchange under the ticker symbol "NXG" providing access to global investors to participate in NexGen's mission of solving three major global challenges in decarbonization, energy security and access to power. The Company is headquartered in
Forward-Looking Information
The information contained herein contains "forward-looking statements" within the meaning of applicable
Forward-looking information and statements are based on NexGen's current expectations, beliefs, assumptions, estimates and forecasts about its business and the industry and markets in which it operates. Forward-looking information and statements are made based upon numerous assumptions, including, among others, that, third-party contractors, including Thyssen, will perform their contracts as expected and on time, the results of planned exploration and development activities will be as anticipated and on time; the price of uranium; the cost of planned exploration and development activities; that, as plans continue to be refined for the development of the Rook I Project, there will be no changes in costs, engineering details or specifications that would materially adversely affect its viability; that financing will be available if and when needed and on reasonable terms; that third-party contractors, equipment, supplies and governmental and other approvals required to conduct NexGen's planned exploration and development activities will be available on reasonable terms and in a timely manner; that there will be no revocation of government approvals; that general business, economic, competitive, social and political conditions will not change in a material adverse manner; the assumptions underlying the Company's mineral reserve and resource estimates; assumptions made in the interpretation of drill results and other geological information; the ability to achieve production on the Rook I Project; and other estimates, assumptions and forecasts disclosed in the Feasibility Study for the Rook I Project. Although the assumptions made by the Company in providing forward-looking information or making forward-looking statements were considered reasonable by management at the time they were made, there can be no assurance that such assumptions will prove to be accurate.
Forward-looking information and statements also involve known and unknown risks and uncertainties and other factors, which may cause actual results, performances and achievements of NexGen to differ materially from any projections of results, performances and achievements of NexGen expressed or implied by such forward-looking information or statements, including, among others, negative operating cash flow and dependence on third-party financing, uncertainty of additional financing, the risk that pending assay results will not confirm previously announced preliminary results, the imprecision of mineral reserve and resource estimates, the price and appeal of alternate sources of energy, sustained low uranium prices, aboriginal title and consultation issues, exploration and development risks, climate change, uninsurable risks, reliance upon key management and other personnel, risks related to title to its properties, information security and cyber threats, failure to manage conflicts of interest, failure to obtain or maintain required permits and licences, changes in laws, regulations and policy, competition for resources, political and regulatory risks, general inflationary pressures, industry and economic factors that may affect the business, and other factors discussed or referred to in the Company's most recent Annual Information Form under "Risk Factors" and management's discussion and analysis under "Other Risks Factors" filed on SEDAR+ at www.sedarplus.ca and 40-F filed on Edgar at www.sec.gov.
Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking information or statements or implied by forward-looking information or statements, there may be other factors that cause results not to be as anticipated, estimated or intended. Readers are cautioned not to place undue reliance on forward-looking information or statements due to the inherent uncertainty thereof.
There can be no assurance that forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking statements or information. The Company undertakes no obligation to update or reissue forward-looking information as a result of new information or events except as required by applicable securities laws.
View original content to download multimedia:https://www.prnewswire.com/news-releases/nexgen-announces-first-uranium-sales-contracts-for-5-million-pounds-with-major-us-utilities-302322113.html
SOURCE NexGen Energy Ltd.
FAQ
What is the total volume of NexGen's (NXE) first uranium sales contracts?
When will NexGen (NXE) begin uranium deliveries under the new contracts?
What is the pricing structure for NexGen's (NXE) uranium sales contracts?
How many uncommitted pounds of uranium reserves does NexGen (NXE) have?
