10:55 AM EST, 12/05/2024 (MT Newswires) -- Energy Fuels ( UUUU ) on Thursday said it has entered into a Memorandum of Understanding with the Government of Madagascar relating to the Toliara titanium project. The MOU is the culmination of several years of negotiations with the government, which only recently lifted the Nov. 2019 suspension on the project.

Energy Fuels ( UUUU ) has agreed to pay a 5% royalty on mining products and deliver US$80 million after Project Certification in development, community, and social project funding, spread over four years. The company has also agreed to spend at least $1 million prior to the final investment decision (FID) in the Atsimo Andrefana Region on community and social investments, and $4 million annually thereafter, indexed at 2% per annum, from start of construction after a positive FID.

The FID is expected to be made in 14 months.

The company's shares was last seen down $0.36 or 3.7% to $9.28, on the TSX.

Price: 9.30, Change: -0.34, Percent Change: -3.53