July 8 (Reuters) - Element 25 Ltd E25.AX :
* HAS ENTERED INTO AN OPTION AGREEMENT WITH RAREX PTY LTD
* E25 HAS GRANTED RAREX AN EXCLUSIVE 90 DAY OPTION TO ACQUIRE 100% OF CUMMINS RANGE FOR UP TO $3M
* RAREX TO PAY E25 A $50,000 OPTION FEE WITHIN TWO BUSINESS DAYS OF DATE OF AGREEMENT