Subject to a definitive contract being executed, NioCorp would be positioned to sell out of its planned critical minerals products for the first 10 years of operation, following the successful completion of project financing and commencement of commercial production.
NioCorp has already placed under contract 75% of its planned ferroniobium production and 12% of its planned scandium oxide production.
Traxys could also become a shareholder of NioCorp, while also playing a key role in President Trump’s recently announced Project Vault, which aims to facilitate sales of critical minerals between large manufacturers and critical minerals producers.
The Term Sheet provides for Traxys to become the exclusive global marketing partner and sales channel for a wide range of products expected to be produced at NioCorp’s Elk Creek Project.
If definitive agreements are executed, this expanded arrangement, together with the Company’s existing ferroniobium offtake agreement with Thyssen Metallurgical Products GmbH, would result in all planned production from the Elk Creek Project being subject to offtake arrangements for the first ten years of operations.
The Term Sheet also contemplates a potential strategic equity investment by Traxys of up to $30 million in NioCorp, subject to due diligence, negotiation, and execution of definitive agreements, regulatory approvals, and other customary closing conditions.
