NYSE American: EU
TSXV:
EU
www.encoreuranium.com
DALLAS,
Texas, June 6, 2023 /CNW/ - enCore Energy
Corp. ("enCore" or the "Company") (NYSE American:
EU) (TSXV: EU) announced today it has entered into a
definitive agreement with Anfield Energy Inc. ("Anfield") (TSXV: AEC) (OTCQB: ANLDF)
whereby Anfield will acquire, from
enCore, the Marquez-Juan Tafoya Uranium Project located in
New Mexico in exchange for
C$5,000,000 in cash and 185,000,000
of its common shares. This is the third transaction in enCore's
ongoing program of divesting uranium assets that are not in its
production pipeline.
William M. Sheriff, enCore's
Executive Chairman stated: "enCore has acquired a series of quality
U.S. projects through several mergers and acquisitions at a time
when there were few competitors due to the industry downturn of
recent years. We are now capitalizing on those assets that do not
meet our criteria for development such as early-stage projects and,
in this case, an advanced project that is conventional in nature
rather than In-Situ Recovery (ISR)-amenable."
"By gaining a significant equity interest in Anfield, a company dedicated to conventional
uranium development, we gain an immediate cash payment and
participation as a significant shareholder in their broad portfolio
of advanced projects in the southwestern United States. Anfield holds one of the very few licensed
conventional uranium mills in the US making them a logical and
desirable developer of the Marquez-Juan Tafoya asset. With board
representation, and the right to maintain our leading shareholder
position, we look forward to our involvement with Anfield as they advance this key project along
with their other conventional assets," Sheriff said.
Pursuant to the Agreement, on closing of the Transaction, enCore
will have the right to one seat on the board of directors of
Anfield, which will be ongoing for
so long as enCore holds at least 10% of the issued shares of
Anfield. enCore will have the right to maintain its percentage
equity interest in Anfield in
subsequent share issuances as long as it holds at least 10% of the
issued shares of Anfield.
Pursuant to the agreement, Anfield will, on closing, acquire all of the
issued and outstanding shares of Neutron Energy, Inc.
("Neutron"), a wholly-owned subsidiary of the Company (the
"Transaction") which holds the Marquez-Juan Tafoya Uranium
Project as its sole asset.
Closing of the Transaction is anticipated to take place on or
before July 21, 2023 and is subject
to stock exchange approval and other customary conditions. Red
Cloud Securities Inc. acted as an advisor in connection with the
Transaction.
About enCore Energy
Corp.
enCore Energy Corp. is committed to providing clean, reliable,
and affordable domestic nuclear energy by becoming the next
United States uranium producer in
2023. enCore solely utilizes In-Situ Recovery (ISR) for uranium
extraction, a well-known and proven technology co-developed by the
leaders at enCore Energy. In-Situ Recovery extracts uranium in a
non-invasive process using natural groundwater and oxygen, coupled
with a proven ion exchange process, to recover the uranium. Uranium
production is planned at enCore's licensed and past-producing South
Texas Rosita Processing Plant in 2023, and at its licensed and
past-producing South Texas Alta Mesa Processing Plant in 2024.
Future projects in enCore's production pipeline include the
Dewey-Burdock project in South
Dakota and the Gas Hills project in Wyoming, along with significant uranium
resource endowments in New Mexico
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.
enCore diligently works to realize value from other owned assets,
including our proprietary uranium database that includes technical
information from many past producing companies, from our various
non-core assets, and by leveraging our ISR expertise in researching
opportunities that support the use of this technology as applied to
other metals. enCore is also committed to working with local
communities and indigenous governments to create positive impact
from corporate developments.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Cautionary Note Regarding Forward
Looking Statements:
Certain information contained in this news release, including:
statements pertaining to the Transaction, the Company and
Anfield's ability to satisfy the
closing conditions of the Transaction, the Company and Anfield's ability to obtain necessary
approvals from the TSX Venture Exchange, any information relating
to the Company being a leading uranium company; and any other
statements regarding future expectations, beliefs, goals or
prospects; may constitute "forward-looking information" and
"forward-looking statements" within the meaning of applicable
Canadian and United States
securities laws and regulations (collectively, "forward-looking
statements"). All statements in this news release that are not
statements of historical fact (including statements containing the
words "expects", "is expected", "does not expect", "plans",
"anticipates", "does not anticipate", "believes", "intends",
"estimates", "projects", "potential", "scheduled", "forecast",
"budget" and similar expressions or variations (including negative
variations) of such words and phrases, or statements that certain
actions, events or results "may", "could", "would", "might" or
"will" be taken) should be considered forward-looking statements.
All such forward-looking statements are subject to important risk
factors and uncertainties, many of which are beyond the company's
ability to control or predict. Forward-looking statements
necessarily involve known and unknown risks, including, without
limitation, risks associated with general economic conditions;
adverse industry events; future legislative and regulatory
developments; the ability of enCore to implement its business
strategies; and other risks. A number of important factors could
cause actual results or events to differ materially from those
indicated or implied by such forward-looking statements, including
without limitation exploration and development risks, changes in
commodity prices, access to skilled mining personnel, the results
of exploration and development activities; production risks;
uninsured risks; regulatory risks; defects in title; the
availability of materials and equipment, timeliness of government
approvals and unanticipated environmental impacts on operations;
risks posed by the economic and political environments in which the
Company operates and intends to operate; increased competition;
assumptions regarding market trends and the expected demand and
desires for the Company's products and proposed products; reliance
on industry equipment manufacturers, suppliers and others; the
failure to adequately protect intellectual property; the failure to
adequately manage future growth; adverse market conditions, the
failure to satisfy ongoing regulatory requirements and factors
relating to forward looking statements listed above which include
risks as disclosed in the Company's annual information form
filings. Should one or more of these risks materialize, or should
assumptions underlying the forward-looking statements prove
incorrect, actual results may vary materially from those described
herein as intended, planned, anticipated, believed, estimated or
expected. The Company assumes no obligation to update the
information in this communication, except as required by law.
Additional information identifying risks and uncertainties is
contained in filings by the Company with the various securities
commissions which are available online at www.sec.gov and
www.sedar.com. Forward-looking statements are provided for the
purpose of providing information about the current expectations,
beliefs and plans of management. Such statements may not be
appropriate for other purposes and readers should not place undue
reliance on these forward-looking statements, that speak only as of
the date hereof, as there can be no assurance that the plans,
intentions or expectations upon which they are based will occur.
Such information, although considered reasonable by management at
the time of preparation, may prove to be incorrect and actual
results may differ materially from those anticipated.
Forward-looking statements contained in this news release are
expressly qualified by this cautionary statement.
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SOURCE enCore Energy Corp.