Texas Rare Earth Resources, AREVA Unit Sign Uranium Offtake Agreement

(RTTNews) - Texas Rare Earth Resources Corp. (TRER), an exploration company targeting the heavy rare earths, said it has entered into a uranium offtake agreement with a subsidiary of AREVA, the world's largest nuclear and renewables energy company, headquartered in France.

According to the agreement, TRER will supply up to 300,000 pounds of natural uranium concentrates or U308 per year based upon a pricing formula indexed to U308 spot prices at the times of delivery.

The agreement is for a term of five years commencing in 2018 or as soon thereafter, contingent upon development and production at its Round Top project.

Other terms and conditions of the agreement reflect industry standards. According to Ux Consulting, a leading uranium industry data provider, the closing spot price of U308 on March 30, 2015 was $39.50 per pound.