[ad_1]
OUTSTANDING
- 5E signs Letter of Intent with Estes Energetics to collaborate on advanced pine materials for solid rocket motors to support US space and military industries
- The collaboration is consistent with the US government’s initiatives and programs to produce critical materials onshore and to reduce reliance on the Chinese supply chain
- Estes Energetics is an American company and supplier to the US Department of Defense
- LOI is aligned with the 5E strategy to become a vertically integrated global leader in the supply of specialty pine and advanced materials
HOUSTON, Dec. 13, 2022 (GLOBE NEWSWIRE) — 5E Advanced Materials, Inc. (FEAM) (ASX: 5EA) (“5E” or the “Company”), a boron and lithium company with a U.S. Government Critical Infrastructure Designation for its 5E Boron Americas Complex (Fort Caddy), has entered into a non-binding Letter of Intent (“LOI”) with Estes Energetics to collaborate on the production of advanced pine materials for solid rocket motors to support the US space and military industries.
Under the terms of the LOI, 5E and Estes will work toward a binding agreement to supply advanced pine materials, which are used in the manufacture of igniters for solid rocket motors. 5E and Estes Energetics will also consider a broader collaboration focused on partnering on manufacturing facilities, business development activities and sharing technical know-how to develop advanced pine materials and proprietary intellectual property aimed at aerospace and military applications. The advanced pine materials used by Estes Energetics and under the terms of the LOI are aligned with recent US government initiatives and programs as they are critical in military munitions and civilian applications and are subject to supply risk given the concentration of overseas supply and US reliance on imports.
Estes Energetics is a defense and industrial company that researches, designs, engineers, manufactures, tests and integrates solid-propellant rocket motors, energy, critical chemicals and related technologies for government and commercial clients. It combines hands-on development of propulsion solutions with advanced aerospace research and development under one team. Estes Energetics has engineering, manufacturing and testing facilities in Penrose, Colorado and Minden, Louisiana. Estes Energetics was spun off from Estes Industries, a world leader in rocket modeling with more than 60 years of experience in the production of solid propellant rocket engines.
Commenting on the LOI with Estes Energetics, Dr. Dino Gnanamgari, Chief Commercial Officer of 5E noted:
“We look forward to a broad collaboration with Estes that focuses on advanced pine materials necessary for aerospace and military applications.” Estes is an industry leader in the solid fuel and aerospace markets.
An important consideration of the collaboration is our combined mission to land critical materials and technologies that serve the critical needs of the US government. We intend to have a long-term partnership with Estes as we focus on continuous innovation in the advanced pine materials space.
Today’s announcement continues to deliver on our strategy to become a vertically integrated global leader in the supply of specialty pine and advanced materials.”
Commenting on the LOI with 5E, Carl Kulling, Chief Executive Officer of Estes noted:
“Awareness of supply chain risk is growing in the US. By partnering with 5E, we are building a supply chain that starts with the domestic mine and continues all the way to products that are widely used in solid rocket motors, pyrotechnics and other applications. Advanced pine materials complement our existing manufacturing and research efforts in critical chemicals and solid rocket motors. Boron is used in mature products and holds great promise in high-performance fuels.“
About 5E Advanced Materials, Inc.
5E Advanced Materials, Inc. (FEAM) (ASX: 5EA) is focused on becoming a vertically integrated global leader and supplier of specialty and advanced boron materials, complemented by the production of lithium co-products. The company’s mission is to become a supplier of these critical materials to the global decarbonization, food and homeland security industries. Boron and lithium products will target applications in the areas of electric transportation, clean energy infrastructure such as solar and wind energy, fertilizers and homeland security. The business strategy and objectives are to develop capabilities ranging from the extraction and sale of boric acid products, lithium carbonate and potentially other co-products, to the advanced processing and development of downstream boron materials. The business is based on our large domestic boron and lithium resource, located in Southern California and designated as critical infrastructure by the Department of Homeland Security’s Cybersecurity and Infrastructure Security Agency.
Forward-Looking Statements and Disclosures
This press release includes “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. All statements other than statements of historical fact included in this press release regarding our business strategy, plans, goals and objectives are forward-looking statements. When used in this press release, the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “budget,” “goal,” “goal,” “strategy,” “estimate”, “plan”, “guidelines”, “prospects”, “intend”, “may”, “should”, “could”, “will”, “would”, “will”, “will continue” , “will likely result” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. These forward-looking statements are based on 5E’s current expectations and assumptions about future events and are based on currently available information about the outcome and timing of future events. We caution you that these forward-looking statements are subject to all risks and uncertainties, most of which are difficult to predict and many of which are beyond our control, incident to the extraction of critical materials that we intend to produce and advanced manufacturing and development materials. These risks include, but are not limited to: our limited operating history in the borate and lithium industries and no revenue from our proposed extraction operations on our properties; our need for significant additional financing to execute our business plan and our ability to access capital and financial markets; our status as an exploration-stage company dependent on a single project with no known Regulation SK 1300 mineral reserves and the inherent uncertainty in mineral resource estimates; our lack of mineral production history and significant risks associated with achieving our business strategies, including our downstream processing ambitions; our incurred significant net operating losses to date and plans for continued losses in the foreseeable future; risks and uncertainties related to the development of the Fort Caddy project, including our ability to timely and successfully complete our small pine facility; and other risks. If one or more of these risks or uncertainties occur, or if underlying assumptions prove incorrect, our actual results and plans could differ materially from those expressed in any forward-looking statements. No representation or warranty (express or implied) is made and no reliance should be placed on any information, including projections, estimates, targets and opinions contained herein, and no liability is accepted for any errors, omissions, or misstatements statements contained in this document. You are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date of this press release.
For additional information regarding these various factors, you should carefully review the risk factors and other disclosures in the Company’s Form 10-K filed on September 28, 2022. 5E also discloses additional risks in its filings with the U.S. Securities and Exchange Commission throughout including Form 10-K, Form 10-X and Form 8-X, as well as in its filings with the Australian Securities Exchange. All forward-looking statements are made only as of the date of this announcement. Except as required by law, 5E expressly disclaims any obligation to update or revise such forward-looking statements. In addition, 5E undertakes no obligation to comment on the analysis or statements of third parties regarding the actual or anticipated financial or operating results of 5E or its securities.
Authorized for issue by: David Salisbury, Chairman of the Board of Directors
For further information please contact:
[ad_2]
Source link
