Ucore Rare Metals: US DoD Approves US$1.8 Million Payment
Ucore Rare Metals has received approval from the US Department of Defense (DoD) for a US$1.8 million payment under their modified Other Transaction Agreement. This payment, bringing total receipts to US$2.3 million, is for completing milestones at their RapidSX™ Commercial Demonstration Facility in Kingston, Ontario.
The project achievements include over 2,600 hours of Demo Plant operation processing mixed rare earth elements and thousands of hours of conventional SX pilot operation. The work aligns with the 2024 National Defense Authorization Act, which will ban rare earth products imports from China for defense industry use starting January 1, 2027.
The company will continue executing the DoD heavy REE Project through first half of 2025, followed by their C$4.28M light REE demonstration project with the Government of Canada.
Ucore Rare Metals ha ricevuto l'approvazione dal Dipartimento della Difesa degli Stati Uniti (DoD) per un pagamento di 1,8 milioni di dollari nell'ambito del loro Accordo di Transazione Alternativa modificato. Questo pagamento, che porta il totale a 2,3 milioni di dollari, è destinato al completamento di obiettivi presso il loro Impianto di Dimostrazione Commerciale RapidSX™ a Kingston, Ontario.
Le realizzazioni del progetto includono oltre 2.600 ore di operazione dell'impianto dimostrativo, durante le quali sono stati trattati elementi rari della terra, e migliaia di ore di operazione pilota SX convenzionale. Il lavoro è in linea con il National Defense Authorization Act 2024, che prevede il divieto di importazione di prodotti rari della terra dalla Cina per uso nell'industria della difesa a partire dal 1 gennaio 2027.
La compagnia continuerà a realizzare il Progetto DoD sugli REE pesanti fino alla prima metà del 2025, seguito dal suo progetto di dimostrazione sui REE leggeri del valore di 4,28 milioni di dollari canadesi con il Governo del Canada.
Ucore Rare Metals ha recibido la aprobación del Departamento de Defensa de EE. UU. (DoD) para un pago de 1,8 millones de dólares bajo su Acuerdo de Transacción Alternativa modificado. Este pago, que eleva el total recibido a 2,3 millones de dólares, es para completar hitos en su Instalación de Demostración Comercial RapidSX™ en Kingston, Ontario.
Los logros del proyecto incluyen más de 2,600 horas de operación de la Planta Demostrativa procesando elementos raros de tierras mixtas y miles de horas de operación piloto SX convencional. El trabajo está alineado con el Acta de Autorización de Defensa Nacional 2024, que prohibirá las importaciones de productos de tierras raras de China para su uso en la industria de defensa a partir del 1 de enero de 2027.
La compañía continuará ejecutando el Proyecto DoD de REE pesados durante la primera mitad de 2025, seguido por su proyecto de demostración de 4,28 millones de dólares canadienses sobre REE ligeros con el Gobierno de Canadá.
Ucore Rare Metals는 미국 국방부(DoD)로부터 의 수정된 기타 거래 계약에 따른 지불 승인을 받았습니다. 이 지불은 총 수익을 2.3백만 달러로 늘리며, 온타리오 킹스턴에 있는 RapidSX™ 상업 시연 시설의 이정표를 완료하기 위한 것입니다.
프로젝트 성과에는 혼합 희토류 원소를 처리하는 데 2,600시간 이상의 시연 공장 운영과 수천 시간의 전통적인 SX 파일럿 운영이 포함됩니다. 이 작업은 2024년 국가 방어 승인 법안과 일치하며, 2027년 1월 1일부터 방위 산업에서 사용하기 위해 중국에서의 희토류 제품 수입을 금지할 것입니다.
회사는 2025년 상반기까지 DoD 중량 REE 프로젝트를 계속 진행하며, 이어서 캐나다 정부와 함께하는 4.28M 캐나다 달러의 경량 REE 시연 프로젝트를 진행할 것입니다.
Ucore Rare Metals a obtenu l'approbation du Département de la Défense des États-Unis (DoD) pour un paiement de 1,8 million de dollars dans le cadre de leur Accord de Transaction Alternatif modifié. Ce paiement, qui porte le total des recettes à 2,3 millions de dollars, est destiné à atteindre des étapes clés dans leur Installation de Démonstration Commerciale RapidSX™ à Kingston, Ontario.
Les réalisations du projet comprennent plus de 2 600 heures de fonctionnement de l'usine de démonstration traitant des éléments de terres rares mélangés, et des milliers d'heures d'opération pilote SX conventionnelle. Le travail est en accord avec le National Defense Authorization Act 2024, qui interdira l'importation de produits de terres rares en provenance de Chine pour un usage dans l'industrie de la défense à partir du 1er janvier 2027.
La société continuera à exécuter le projet DoD sur les REE lourds jusqu'à la première moitié de 2025, suivi de son projet de démonstration sur les REE légers d'une valeur de 4,28 millions de dollars canadiens avec le gouvernement du Canada.
Ucore Rare Metals hat die Genehmigung des US-Verteidigungsministeriums (DoD) für eine Zahlung von 1,8 Millionen US-Dollar im Rahmen ihres modifizierten Alternativen Transaktionsvertrags erhalten. Diese Zahlung, die die Gesamteinnahmen auf 2,3 Millionen US-Dollar erhöht, dient dem Abschluss von Meilensteinen in ihrer RapidSX™-Kommerzielle Demonstrationsanlage in Kingston, Ontario.
Die Erfolge des Projekts umfassen über 2.600 Stunden Betrieb der Demopflanze zur Verarbeitung von gemischten Seltenen Erden und Tausende von Stunden konventionellen SX-Pilotbetriebs. Die Arbeit steht im Einklang mit dem National Defense Authorization Act 2024, das ab dem 1. Januar 2027 die Einfuhr von Seltenen Erden-Produkten aus China für die Verteidigungsindustrie verbieten wird.
Das Unternehmen wird das DoD-Projekt für schwerere REEs bis zur ersten Hälfte des Jahres 2025 fortsetzen, gefolgt von seinem C$4,28 Millionen schweren REE-Demonstrationsprojekt mit der kanadischen Regierung.
- Secured US$1.8M payment from US Department of Defense
- Total payments received under DoD agreement reach US$2.3M
- Successfully completed over 2,600 hours of Demo Plant operation
- Positioned to benefit from 2027 Chinese rare earth import ban for defense industry
- None.
Halifax, Nova Scotia--(Newsfile Corp. - December 13, 2024) - Ucore Rare Metals Inc. (TSXV: UCU) (OTCQX: UURAF) ("Ucore" or the "Company") is pleased to advise that the US Department of Defense (the "DoD") has approved modifications to the Company's existing Other Transaction Agreement (the "OT Agreement" or "Award") and the corresponding payment of US
The Award was made through the Company's wholly owned subsidiary, Innovation Metals Corp., to conduct rare earth element ("REE") separation work at the Company's RapidSXTM Commercial Demonstration Facility ("CDF") in Kingston, Ontario.
As previously reported, the Company was awarded the US
- The capability to commercially deploy a sustainable domestic (United States and Canada) processing facility for converting heavy and light rare earth feedstock sources to salable individual rare earth products.
- A new, innovative refining/separation process that increases the ability to create domestic rare earth processing plants.
The modifications amended the existing agreement to more closely align payment milestones to the commercial objectives of the project, including:
- significant business progress towards the establishment of a Western Supply chain
- over 2,600 hours of Demo Plant operation in a simulated commercial environment processing tonnes of mixed rare earth elements
- 1,000s of hours of conventional SX pilot operation for direct comparative analysis
The payment will bring the total payments received to date under the OT Agreement to US
The supply of rare earth products has been the subject of increasing attention and is highlighted in the 2024 National Defense Authorization Act, which will implement a ban on the import of rare earth products from China and other covered countries for use in the National Defense Industry. The ban is scheduled to take effect from January 1, 2027.
"We are tremendously appreciative of the support that we have received from the US DoD," stated Pat Ryan, Chairman and CEO of Ucore. "The need for a domestic rare earth supply chain, as highlighted in the 2024 National Defense Authorization Act has never been higher. We look forward to continuing our work with the DoD and other industry participants to ensure domestic supply of these critical materials."
The Company will continue the execution of its DoD heavy REE Project through the first half of 2025 and then transition to the completion of its previously announced C
# # #
About Ucore Rare Metals Inc.
Ucore is focused on rare- and critical-metal resources, extraction, beneficiation, and separation technologies with the potential for production, growth, and scalability. Ucore's vision and plan is to become a leading advanced technology company, providing best-in-class metal separation products and services to the mining and mineral extraction industry.
Through strategic partnerships, this plan includes disrupting the People's Republic of China's control of the North American REE supply chain through the near-term establishment of a heavy and light rare-earth processing facility in the U.S. State of Louisiana, subsequent Strategic Metal Complexes in Canada and Alaska and the longer-term development of Ucore's
Ucore is listed on the TSXV under the trading symbol "UCU" and in the United States on the OTC Markets' OTCQX® Best Market under the ticker symbol "UURAF."
For further information, please visit www.ucore.com.
Forward-Looking Statements
This press release includes certain statements that may be deemed "forward-looking statements." All statements in this release (other than statements of historical facts) that address future business development, technological development and/or acquisition activities (including any related required financings), timelines, events, or developments that the Company is pursuing are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance or results, and actual results or developments may differ materially from those in forward-looking statements.
Regarding any disclosure in the press release above about the US Department of Defense or the Government of Canada Programs and the expected successful progress and resulting milestone payments from these Programs, the Company has assumed that the Programs (including each of their milestones) will be completed satisfactorily. For additional risks and uncertainties regarding the Company, the CDF, the Demo Plant and ongoing Programs (generally), see the risk disclosure in the Company's MD&A for Q3-2024 (filed on SEDAR on November 18, 2024) (www.sedarplus.ca) as well as the risks described below.
Regarding the disclosure above in the "About Ucore Rare Metals Inc." section, the Company has assumed that it will be able to procure or retain additional partners and/or suppliers, in addition to Innovation Metals Corp. ("IMC"), as suppliers for Ucore's expected future Strategic Metals Complexes ("SMCs"). Ucore has also assumed that sufficient external funding will be found to complete the Demo Plant demonstration schedule and also later prepare a new National Instrument 43-101 ("NI 43-101") technical report that demonstrates that the Bokan Mountain Rare Earth Element project ("Bokan") is feasible and economically viable for the production of both REE and co-product metals and the then prevailing market prices based upon assumed customer offtake agreements. Ucore has also assumed that sufficient external funding will be secured to continue the development of the specific engineering plans for the SMCs and their construction. Factors that could cause actual results to differ materially from those in forward-looking statements include, without limitation: IMC failing to protect its intellectual property rights in RapidSX™; RapidSX™ failing to demonstrate commercial viability in large commercial-scale applications; Ucore not being able to procure additional key partners or suppliers for the SMCs; Ucore not being able to raise sufficient funds to fund the specific design and construction of the SMCs and/or the continued development of RapidSX™; adverse capital-market conditions; unexpected due-diligence findings; the emergence of alternative superior metallurgy and metal-separation technologies; the inability of Ucore and/or IMC to retain its key staff members; a change in the legislation in Louisiana or Alaska and/or in the support expressed by the Alaska Industrial Development and Export Authority ("AIDEA") regarding the development of Bokan; the availability and procurement of any required interim and/or long-term financing that may be required; and general economic, market or business conditions.
Neither the TSXV nor its Regulation Services Provider (as that term is defined by the TSXV) accept responsibility for the adequacy or accuracy of this release.
CONTACTS
Mr. Michael Schrider, P.E., Ucore Vice President and Chief Operating Officer, is responsible for the content of this news release and may be contacted at 1.902.482.5214.
For additional information, please contact:
Mark MacDonald
Vice President, Investor Relations
Ucore Rare Metals Inc.
1.902.482.5214
mark@ucore.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/233667
FAQ
How much did the US DoD approve in payments for Ucore (UURAF) in December 2024?
What is the total amount Ucore (UURAF) has received from the DoD agreement to date?
When will the US ban on Chinese rare earth products for defense industry take effect?
How long has Ucore's (UURAF) Demo Plant been operating for the DoD project?
What is the timeline for Ucore's (UURAF) DoD heavy REE Project completion?
