Athabasca Minerals Inc. Announces Strategic In-Basin Sand Supply Offtake Agreement with Shell Canada Energy and Launch of a Strategic Review
Retrieved on:
Tuesday, February 11, 2020
AMI believes that the Agreement will serve as a catalyst to AMIs growth program to supply local premium domestic in-basin sand to offset US imports.
Key Points:
- AMI believes that the Agreement will serve as a catalyst to AMIs growth program to supply local premium domestic in-basin sand to offset US imports.
- The Agreement with Shell provides for the procurement of frac sand from the Duvernay Project by a world-class investment-grade company.
- The Agreement is underpinned by a committed volume requirement that de-risks AMIs corporate and project financing options at an improved cost-of-capital.
- The commercial terms of the Agreement also provide Shell with optionality to procure sand from AMI Silicas future Montney Frac Sand Project (the Montney Project).