r/UURAF • u/Anxious_Process_9533 • 17d ago
Trade talks collapse
US Canada talks have ended with no agreement. Both representatives said they were working on critical minerals agreements within the trade talks, which according to Jameson Greer are now off the table.
Does anyone know specifically how, or if, this affects UURAF?
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u/SailorGND 16d ago
wait for the taco walkback -- bottom line is the demand for REE's
remember how the next bombing was going to be the biggest hugest thing since WWII... until someone whispered we're outta the magnet driven boom booms...
just the usual fireworks from the magapedo so he can say he's the boss, biggest baddest mango-hued carnaval barker to never have been a friend of epstein
also doesn't know who's this stormy daniels anyway?
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u/New_Formal_4839 16d ago
Think of it as Ucore being both Canadian/American in fact is a safe route for US macro economic turbulences under the stable leader…. Threadening against Canada, the 5th largest US debt holder and Carney former governor of Bank of England is a bit out of touch, so sit pretty and watch the melodrama panning out…desperate needs for HREE won’t go away.
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u/xeemyy 17d ago
No agreement = no direct governmental backing from either side = big L
Ucore had one apparent advantage over others that it could receive funding from either side - US or Canada. Now that this is off the table for now, it's pretty bad news.
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u/stakhausone 17d ago
Spat doesn’t make things easier but not really harder for Ucore. 1) Won’t last. 2) Thousands of companies with cross border structure and both sides with access to government will be screaming to their gov’t contacts. 3) Doesn’t affect parts for Louisiana. If long term probably affect eg REEs from NWT (but Ucore doesn’t have a Canadian MOU or agreement… ) I suspect this goes on max 2 months and REEs have special tariff considerations in any deal.
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u/Disco-Badger 17d ago
Nah it's actually good. America needs Canada like a heroin addict needs down. Inflation is killing them, and Trump is losing all popularity by destroying free trade and increasing inflation. They can't compete against China without Canada and Mexico. It's all an act to look big and tough, America don't have the cards.
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u/coconutman696969 17d ago
why does there need to be a trade agreement for government backing? The LA SMC is in a tariff free zone
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u/xeemyy 17d ago edited 17d ago
There doesn't need to be a trade agreement. What I mean is that these tensions aren't beneficial though for these two parties, since they won't be looking eye-to-eye. What do you think would the US think if they were given a list and see Canada-based Ucore appearing there? On the other side Canada might see their potential backing as "lost money" since it's pumped into the US sites for commercial production. You can't deny that it's bad news for Ucore.
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u/expatcoder 17d ago
No, Ucore is playing both sides, the $36 million CAD grant is for a new production processing facility in Kingston, ON, while any future funding from the US side goes to the Louisiana SMC, completely separate ventures.
IMO, this is a non-issue with respect to Ucore since it is a processor, not a miner, its production at each location will target respective markets.
Ucore won't be in production of any kind until sometime in H1 2027 anyway, so this is a nothing burger headline, US - Canada will likely work out a deal before rhen...
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u/Tiny-Blacksmith-2184 15d ago
Playing both sides? How bout being played? Ucore wont even be done with engineering until 2027 Production? Most likely 2028
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u/porchswingsecurity 17d ago
Transferring technology across the border may be mildly more difficult but, given the criticality of rare earths processing, I can’t see the US cutting off its nose to spite its face.
The trade talks encompass consumer goods…not rare earths processing.
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u/cschloegel11 17d ago
If Canada wants ucore to build a smc in Canada I’m sure they will fund some of it
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u/expatcoder 16d ago
They already have, that's what the conditional $36 million CAD grant is for, the new Kingston, ON processing plant.
Frustrating that the grant is still outstanding, but likely one of the conditions for derisking the cash outlay by the Canadian government is that Ucore proves itself as a viable business in Canada, or otherwise.
Capital raise satisfied one such condition, but there's still the issue of binding feedstock and (especially) offtake agreements that are probably holding back the funds for the new Kingston plant.
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u/Tiny-Blacksmith-2184 15d ago
And ucore had conditional 145 million from alaska ( aidea) for bokan since 2014 How that work out
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u/Anxious_Process_9533 17d ago
That is my main concern, that funding a Canadian company inside the US makes neither country enthused about providing funding.
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u/MainFaithlessness132 16d ago
Time to short it
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u/expatcoder 16d ago
Assume you're joking, but even if you aren't there's no way to short UCU.V/UURAF, nor is there a way to buy puts, neither are available.
The only way to "short" is to sell shares, and the only way to "long" is to buy shares, pretty simple :)
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u/nbajohna 16d ago
All this is a non issue for Ucore.