Business
UrAsia Energy Ltd. announces five new sales contracts
UrAsia Energy Ltd. announces five new sales contracts.
About this update from Uranium One Mining Corp.
[{"type":"text","content":"\n\n\n\n\nTrading Symbol (TSXV: UUU and AIM: UUU)\n\nVANCOUVER, Nov. 9 /CNW/ - UrAsia Energy Ltd. (the \"Company\" or \"UrAsia\")\nannounced that it has entered into five additional agreements for the supply\nof uranium concentrates from its Akdala uranium mine in the Republic of\nKazakhstan. The Company has a 70% interest in the Betpak Dala Joint Venture,\nwhich has a 100% interest in the Akdala uranium mine \"Akdala\".\nThe new contracts, all with North American utilities, are for the total\npurchase of approximately 5,750,000 pounds U3O8 for delivery during the period\n2007 to 2016. The contract terms range in length from three to nine years; the\nquantity of material in each new contract ranges from 600,000 pounds U3O8 to\napproximately 2,200,000 pounds U3O8. All of the new contracts have market\nrelated pricing terms. The Company remains an unhedged producer in a market\nwhere uranium prices continue to rise as primary supply concerns within the\nindustry continue to escalate (TradeTech Weekly Spot Price Indicator US$60.25\nas of November 3, 2006).\nThe Company's contracts (see News Releases dated, February 27, April 6\nand August 2, 2006) represent the sale of 100% of Akdala's annual production\nfor 2006. This includes the additional delivery this year of approximately\n600,000 pounds U3O8 to an Asian utility under an existing sales contract which\nwas announced in August. Akdala has been producing at an annualized rate of\n2,600,000 pounds U3O8 per annum since April this year.\nCommenting on the new sales contracts, Phillip Shirvington, President and\nChief Executive Officer, said \"UrAsia is experiencing strong demand from North\nAmerican and European utilities for long term contracts for delivery into an\nincreasingly tight market. As a result, the Company has been able to secure\nits five new sales contracts in the past month when the market has tightened\nsignificantly following primary supply concerns\".\nUrAsia is a Canadian-based uranium producer that offers investors\nexposure to low-cost, uranium production and growth. The Company creates\nshareholder value by focusing on the development and operation of low-cost,\nin-situ leach uranium projects in Central Asia.\nUrAsia is listed on the TSX Venture Exchange and the Alternative\nInvestment Market (AIM) of the London Stock Exchange, trading under the symbol\nUUU.\n...