Lotus Resources, through its subsidiary of 85% Lotus Africa, signed a uranium discharge agreement binding with a North American public service.
This contract implies the sale of 600,000 lb of triuranium octoxide (u3O8) of the Kayelekera project, planned for delivery between 2026 and 2029.
The agreement reflects a fixed price in US dollars based on long -term market prices, with an applied minor discount.
The contract includes a percentage of climbing at a fixed price per year, aligned with the long -term inflation objective of the reserve bank of the Reserve, applicable from the first year of delivery.
This price was obtained thanks to competitive discussions, guaranteeing favorable terms for Lotus resources.
Lotus director general, Greg Bittar, said: “Formalization of this leave arrangement with a key customer is an important step for Lotus while we continue to progress the production plans in Kayelekera to our third quarter 2025 objective.
“Despite the recent weakness of punctual prices, our commitment with customers and potential customers, mainly including public services in North America, has demonstrated continuous force on the term contract market, while uranium customers continue to obtain long -term contracts and actively seek to support a new offer.”
In addition, Lotus formalized an agreement announced previously with Curzon in an “agreement to take or pay”.
This agreement covers a minimum of 700,000 lb of uranium for 2026–29, with a potential escalation to a million pounds (MLB) by 2032.
The price structure reflects the conditions for climbing at a fixed price of the North American public service agreement.
These agreements, as well as announced above PSEG nuclear shift mandaterepresents the sale up to 3.2 mlb of uranium, with a minimum of 2.9 mlb, to be produced in Kayelekera from 2026.
Lotus Resources continues to refine its leave strategy, prioritizing long -term prices compared to dependence on the cash market to reach premium prices with reduced volatility.
Lotus remains actively engaged with potential leave clients, focusing in particular on public nuclear energy services3O8 from Kayelekera.
The company aims to take advantage of the continuing demand for contract price according to the fixed and long -term prices of uranium, thus minimizing its exposure to unlocated or cash flow fluctuations.
Lotus should start producing its first uranium from the Kayelekera project in the third quarter of 2025.
“Lotus Resources signs the uranium leave agreement with North American Power Utility” was created and published by Operating technologyA brand belonging to GlobalData.
