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Note 16 - Subsequent Events
12 Months Ended
Dec. 31, 2023
Notes to Financial Statements  
Subsequent Events [Text Block]

NOTE 16 – SUBSEQUENT EVENTS

 

On February 8, 2024, International Isotopes Inc. (“INIS”) and its wholly-owned subsidiary International Isotopes Fluorine Products, Inc. (together with INIS, the “Company”) entered into an Asset Purchase Agreement (the “APA”) with American Fuel Resources, LLC (“AFR”), pursuant to which the Company agreed to sell to AFR all the assets and certain specified liabilities of the Company’s depleted uranium deconversion and fluorine extraction plant (the “DUF6 Plant”), subject to the terms and conditions set forth in the APA (the “Transaction”). The Company expects to close the Transaction in approximately 12 to 24 months, subject to satisfaction of certain closing conditions (the “Closing”).

 

The purchase price to be paid by AFR in the Acquisition will consist of (i) $50,000 to be paid within five business days of execution of the APA (the “Prepayment”), and (ii) $12,500,000 paid at the Closing, less the Prepayment. The APA contains customary representations and warranties, covenants and indemnification provisions for a transaction of this nature. Closing of the Transaction is also subject to certain closing conditions, including (i) transfer of the U.S. Nuclear Regulatory Commission (NRC) license related to the DUF6 Plant (the “NRC License Transfer”) and (ii) transfer of Purchased Assets (as defined in the APA), which includes licenses, patents, agreements, and other records of the DUF6 Plant.

 

The APA may be terminated, among other things, (i) upon mutual written consent by the parties to the APA, (ii) by either party upon material breach of the APA by the other party, subject to applicable cure periods, and (iii) by AFR if there is reason to believe that the NRC License Transfer will not be completed by March 31, 2026.

 

In February 2024, the 2013 Promissory Note was modified to extend the maturity date to  March 31, 2026, with all remaining terms unchanged.

 

In February 2024, the 2018 Promissory Note was modified to extend the maturity date to  March 31, 2026, with all remaining terms unchanged.

 

In February 2024, the 2019 Promissory Note was modified to extend the maturity date to  March 31, 2026, with all remaining terms unchanged.