In January, Paladin Energy signed an agreement to sell stake in Langer Heinrich uranium mining operation to CNNC.

Under the off take component of the deal, CNNC will be able to buy its pro-rata share of product at the existing market spot price.

Paladin also has an opportunity to secure additional long term offtake arrangements with CNNC, which would support the development of the Langer Heinrich operations.

Paladin Energy said, in a statement, "Settlement will take place on July 23, 2014 and a high level CNNC delegation will be in attendance in Perth for the signing/settlement ceremony."

For the transaction, China Uranium selected CNNC Overseas Uranium Holding.

Langer Heinrich had a design capacity of 5.2Mlb of uranium per year, and Paladin expects 5.7Mlb of production in fiscal 2014 following successful optimisation and debottlenecking.