The LOI, with a "western utility", represents up to 2.4 million pounds U₃O₈ within a multi-year delivery window beginning in 2025.

"Pricing is in the context of the market utilizing a blended formula," the company said.

The news follows Global Atomic in June signing a letter of intent from a "major North American utility" for the supply of 2.1 million lbs U­₃O­₈ over a six-year timeframe, also beginning 2025.

It also follows the company last month signing a contract for the mine's processing plant engineering, procurement, and construction management, which is to see underground mining begin next month.

Company president and CEO, Stephen G Roman, said he hopes it to be the start of a supply relationship that will last decades.

"It is becoming clear that the unprecedented geopolitical situation heightens the need for geographical diversity of economic nuclear fuel supply. Further, the landscape for nuclear power is extremely buoyant as the drive for energy independence supplements the global push for low-carbon base load power," he said.

"Our Dasa Project has a long-life expectancy, with the 12-year Phase 1 representing approximately 20% of the known deposit," he said.

Global Atomic's share price was down 3% day on day at C$3.62 (US$2.64) on 9 October. The company has a market capitalisation of C$643.1 million.