CORPUS
CHRISTI, Texas, June 28,
2022 /CNW/ - enCore Energy Corp.
("enCore" or the "Company") (TSXV: EU) (OTCQB: ENCUF)
announced today that it has secured a uranium purchase sales
agreement ("Agreement") with a United
States ("U.S.") based nuclear power company, following a
recent site visit to enCore's Texas operations. This agreement supports
enCore's business strategy of building ISR (in-situ recovery)
production in the United States at
its South Texas uranium processing
facility. The uranium sales agreement, the third such agreement
executed by enCore, is a multi-year agreement commencing in 2025.
It covers up to 600,000 pounds of U3O8 based
on market pricing with a floor price that assures our costs of
production are met in today's economic environment. The Agreement
includes an inflation adjusted ceiling price higher than the
current uranium spot market pricing providing the U.S. nuclear
power plant assurance of cost certainty.
Paul Goranson, Chief Executive
Officer of enCore Energy said, "With the supply chain
disruptions for nuclear fuel resulting from serious geopolitical
events, U.S. utilities need domestic supply to achieve greater
certainty of supply. We truly appreciate the opportunity to produce
domestically sourced uranium and provide the U.S. with a clean and
reliable energy source. This agreement supports the Company's
strategy to grow its production pipeline of ISR projects throughout
the U.S."
"enCore is committed to a balanced portfolio of sales contracts
with a portion of its production in defined agreements to ensure
stability of operations while retaining a significant portion of
production set aside to ensure participation in the upside of a
rising spot market," added Goranson. "We are also very aware of
rising inflationary pressures, so we are putting key expenditures
behind us when they are more affordable."
Rosita Central Uranium Processing
Plant (Rosita Plant)
enCore Energy's Rosita Plant, located approximately 60 miles
from Corpus Christi, Texas, is a
licensed, past-producing in-situ recovery ("ISR") uranium plant
currently under modernization and refurbishment. With a completion
deadline at the end of Q2/2022, the plant is on schedule and on
budget to meet a 2023 production target. The Rosita Plant is
designed to process uranium feed from multiple satellite
operations, all located in the South
Texas area and is 1 of the 11 licensed uranium processing
plants in the United States, 2 of
which are owned by enCore Energy.
About enCore
With approximately 90 million pounds of
U3O8 estimated in the measured and
indicated categories and 9 million pounds of
U3O8 estimated in the inferred
category1, enCore Energy is the most diversified in-situ recovery
uranium development company in the United
States. enCore is focused on becoming the next uranium
producer from its licensed and past-producing South Texas Rosita
Processing Plant by 2023. The South
Dakota-based Dewey Burdock
project and the Wyoming Gas Hills project offer mid-term production
opportunities with significant New
Mexico uranium resource endowments providing long-term
opportunities. The enCore team is led by industry experts with
extensive knowledge and experience in all aspects of ISR uranium
operations and the nuclear fuel cycle.
For more information, visit www.encoreuranium.com.
1 Mineral
resource estimates are based on technical reports prepared in
accordance with NI43-101 and available on SEDAR as well as company
websites at www.encoreuranium.com.
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SOURCE enCore Energy Corp.