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enCore Energy Files Dewey-Burdock S-K 1300 Technical Resource Summary

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enCore Energy has filed a new S-K 1300 Technical Report Summary for its Dewey-Burdock Project in South Dakota. The project shows Measured and Indicated Resources of 17,122,147 lbs eU3O8 at 0.12% average grade, and Inferred Resources of 712,624 lbs eU3O8 at 0.06% grade.

The preliminary economic assessment demonstrates strong economics with an after-tax Net Present Value of $133.6 million (8% discount rate) and an IRR of 33%. The project has received its Source Material License, Aquifer Exemption, and Underground Injection Control Permits. The Central Processing Plant will have a capacity to process 1 million pounds of uranium annually, with total expected recovery exceeding 14 million pounds.

The estimated total capital costs are $264.2M with operating costs of $23.81/lb of U3O8. Construction is anticipated to commence in early 2027, with permitting completion expected in Q3 2026.

enCore Energy ha presentato un nuovo riepilogo del Rapporto Tecnico S-K 1300 per il suo Progetto Dewey-Burdock nel South Dakota. Il progetto mostra Risorse Misurate e Indicate di 17.122.147 lbs di eU3O8 con un grado medio dello 0,12%, e Risorse Indeterminate di 712.624 lbs di eU3O8 con un grado dello 0,06%.

La valutazione economica preliminare dimostra un'economia forte con un Valore Attuale Netto dopo le tasse di 133,6 milioni di dollari (tasso di sconto dell'8%) e un IRR del 33%. Il progetto ha ricevuto la sua Licenza per Materiali di Fonte, l'Esenzione dell'Acquifero e i Permessi per il Controllo dell'Iniezione Sotterranea. L'Impianto di Elaborazione Centrale avrà una capacità di elaborare 1 milione di libbre di uranio all'anno, con un recupero totale previsto di oltre 14 milioni di libbre.

I costi totali di capitale stimati ammontano a 264,2 milioni di dollari con costi operativi di 23,81 dollari/lb di U3O8. Si prevede che la costruzione inizi all'inizio del 2027, con il completamento dei permessi previsto per il terzo trimestre del 2026.

enCore Energy ha presentado un nuevo Resumen del Informe Técnico S-K 1300 para su Proyecto Dewey-Burdock en Dakota del Sur. El proyecto muestra Recursos Medidos e Indicados de 17,122,147 lbs de eU3O8 con una ley promedio del 0.12%, y Recursos Inferidos de 712,624 lbs de eU3O8 con una ley del 0.06%.

La evaluación económica preliminar demuestra un sólido rendimiento económico con un Valor Presente Neto después de impuestos de $133.6 millones (tasa de descuento del 8%) y una TIR del 33%. El proyecto ha recibido su Licencia de Material de Fuente, Exención de Acuífero y Permisos de Control de Inyección Subterránea. La Planta de Procesamiento Central tendrá una capacidad para procesar 1 millón de libras de uranio anualmente, con una recuperación total esperada que supera las 14 millones de libras.

Los costos totales de capital estimados son de $264.2M con costos operativos de $23.81/lb de U3O8. Se anticipa que la construcción comenzará a principios de 2027, con la finalización de los permisos prevista para el tercer trimestre de 2026.

enCore Energy는 사우스다코타의 Dewey-Burdock 프로젝트에 대한 새로운 S-K 1300 기술 보고서 요약을 제출했습니다. 이 프로젝트는 0.12% 평균 품위의 17,122,147 lbs eU3O8의 측정 및 지시 자원과 0.06% 품위의 712,624 lbs eU3O8의 추정 자원을 보여줍니다.

예비 경제 평가는 세후 순현재가치가 1억 3천3백6십만 달러(8% 할인율)이고 내부수익률(IRR)이 33%로 강력한 경제성을 입증합니다. 이 프로젝트는 원자료 라이센스, 수분함양 면제 및 지하 주입 제어 허가를 받았습니다. 중앙 처리 공장은 매년 100만 파운드의 우라늄을 처리할 수 있는 능력을 가지며, 전체 예상 회수량은 1,400만 파운드를 초과합니다.

추정된 총 자본 비용은 2억 6천4백20만 달러이며 U3O8 1파운드당 운영 비용은 23.81달러입니다. 건설은 2027년 초에 시작될 예정이며, 허가는 2026년 3분기에 완료될 것으로 예상됩니다.

enCore Energy a déposé un nouveau résumé de rapport technique S-K 1300 pour son Projet Dewey-Burdock dans le Dakota du Sud. Le projet présente des Ressources Mesurées et Indiquées de 17.122.147 lbs d'eU3O8 avec une teneur moyenne de 0,12 %, et des Ressources Inférées de 712.624 lbs d'eU3O8 avec une teneur de 0,06 %.

L'évaluation économique préliminaire démontre une forte rentabilité, avec une valeur actuelle nette après impôts de 133,6 millions de dollars (taux d'actualisation de 8 %) et un taux de rentabilité interne de 33%. Le projet a obtenu sa licence de matériel source, l'exemption d'aquifère et les permis de contrôle des injections souterraines. L'usine de traitement central aura une capacité de traitement d'un million de livres d'uranium par an, avec un total de récupération prévu dépassant 14 millions de livres.

Les coûts totaux de capital estimés s'élèvent à 264,2 millions de dollars, avec des coûts d'exploitation de 23,81 dollars/lb d'U3O8. La construction devrait commencer début 2027, et l'achèvement des permis est attendu pour le troisième trimestre 2026.

enCore Energy hat einen neuen S-K 1300 technischen Bericht für sein Dewey-Burdock-Projekt in South Dakota eingereicht. Das Projekt weist gemessene und angezeigte Ressourcen von 17.122.147 lbs eU3O8 mit einem durchschnittlichen Gehalt von 0,12% und vermutete Ressourcen von 712.624 lbs eU3O8 mit einem Gehalt von 0,06% aus.

Die vorläufige Wirtschaftlichkeitsbewertung zeigt eine starke Wirtschaftlichkeit mit einem nach Steuer Nettobarwert von 133,6 Millionen Dollar (8% Diskontsatz) und einer Rendite (IRR) von 33%. Das Projekt hat seine Lizenz für Quellmaterial, Aquiferschutz und Genehmigungen für die unterirdische Injektion erhalten. Die zentrale Verarbeitungsanlage wird eine Kapazität von 1 Million Pfund Uran pro Jahr haben, mit einer insgesamt erwarteten Rückgewinnung von über 14 Millionen Pfund.

Die geschätzten Gesamtkapitalkosten belaufen sich auf 264,2 Millionen Dollar bei Betriebskosten von 23,81 Dollar/lb U3O8. Der Baubeginn wird für Anfang 2027 erwartet, die Genehmigungen sollen im 3. Quartal 2026 abgeschlossen sein.

Positive
  • Strong after-tax NPV of $133.6M with 33% IRR
  • Significant resource base of 17.1M lbs U3O8 in Measured & Indicated category
  • All major regulatory permits already secured
  • Processing capacity of 1M pounds uranium annually
  • Expected 80% recovery rate of in-situ resources
Negative
  • High initial capital costs of $264.2M
  • Production not expected to start until after 2027
  • Operating costs of $23.81/lb U3O8

Insights

The Dewey-Burdock project's updated technical report reveals compelling economics with an after-tax NPV of $133.6 million at an 8% discount rate and an IRR of 33%. The project's measured and indicated resources of 17.1 million pounds of U3O8 at a grade of 0.12% represent a significant domestic uranium asset. Operating costs of $23.81 per pound position the project competitively in the current uranium market.

For retail investors, the robust IRR suggests strong potential returns, while the substantial resource base provides long-term production visibility. The project's advanced permitting status, including NRC and EPA approvals, significantly de-risks the development timeline. The projected annual capacity of 1 million pounds represents approximately 5% of current U.S. reactor uranium demand, making this a strategically important domestic supply source.

The technical parameters of the Dewey-Burdock project demonstrate favorable characteristics for ISR mining. The average grade-thickness (GT) of 0.66 for M&I resources exceeds typical economic thresholds for ISR operations. The 80% recovery assumption is conservative and achievable based on industry standards. The phased development approach, with a central processing plant and satellite facility, optimizes capital efficiency while maintaining operational flexibility.

Think of ISR mining like making coffee - you're essentially pumping a solution through the uranium-bearing sandstone (like water through coffee grounds) to extract the uranium. The project's average thickness of 5.65 feet and grade of 0.12% are well-suited for this method, potentially leading to efficient extraction and lower operational costs compared to conventional mining methods.

The strategic value of the Dewey-Burdock project extends beyond its economic metrics. With mounting concerns over uranium supply chain security, particularly regarding Russian and Kazakh imports, domestic U.S. uranium production capabilities are becoming increasingly critical. The project's location in South Dakota, combined with its advanced permitting status, positions enCore advantageously amid growing bipartisan support for nuclear energy and domestic uranium production.

Recent geopolitical tensions have highlighted vulnerabilities in the global uranium supply chain. This project's potential to supply approximately 1 million pounds annually could play a important role in reducing U.S. dependency on foreign uranium sources, particularly as nuclear power gains prominence in clean energy initiatives.

NASDAQ:EU
TSXV:EU
www.encoreuranium.com

DALLAS, Jan. 16, 2025 /PRNewswire/ - enCore Energy Corp. (NASDAQ: EU) (TSXV: EU) (the "Company" or "enCore"), America's Clean Energy Company™, today reports that it has filed a new S-K 1300 Technical Report Summary ("TRS") for its Dewey-Burdock Project ("Project") located in South Dakota, USA, with the United States (U.S.) Securities & Exchange Commission ("SEC"). This filing discloses an updated mineral resource and preliminary economic assessment for the Company's key pipeline In-Situ Recovery ("ISR") uranium project located in South Dakota. The report provides the following:

  • The Dewey-Burdock Project has received its Source Material License from the U.S. Nuclear Regulatory Commission ("NRC"), its Aquifer Exemption and its Class III and V Underground Injection Control ("UIC") Permits from the U.S. Environmental Protection Agency ("EPA") Region 8.
  • Measured and Indicated Resources for the Project are 17,122,147 lbs. eU3O8 or 7,388,222 tons at 0.12% average grade eU3O8.
  • Inferred Resource for the Project are 712,624 lbs. eU3O8 or 656,546 tons at 0.06% eU3O8.
  • A preliminary economic assessment of the Project, excluding the Inferred Resource, and using the current cost environment, which demonstrates robust economics for the Project with an after-tax Net Present Value ("NPV") of $133.6 million using an 8% discount rate and a project Internal Rate of Return ("IRR") of 33%.

Paul Goranson, enCore's Chief Executive Officer, stated, "This S-K 1300 Technical Report Summary for our Dewey-Burdock Project continues to demonstrate the Project's robust economics for supporting enCore's uranium production pipeline. At a time when continued and unprecedented geopolitical events demonstrate the value of domestically produced uranium to support America's increasing demand for energy, we expect that the Dewey-Burdock Project has the potential to become a significant supplier of fuel for clean and reliable nuclear power."

Prior to January 1, 2025, as a Canadian domiciled company, the mineral resource for the Dewey-Burdock Project has been disclosed solely under National Instrument 43-101. As of January 1, 2025, as a U.S. domestic issuer, enCore Energy Corp. is now also reporting all mineral resources in accordance with Item 1302 of Regulation S-K ("S-K 1300"). S-K 1300 was adopted by the SEC to modernize mineral property disclosure requirements for mining registrants and to align U.S. disclosure requirements for mineral properties more closely with current industry and global regulatory standards. The mineral resource estimates set forth in this TRS have not previously been reported under the S-K 1300 format.

This TRS was prepared under S-K 1300 and filed with the SEC through EDGAR on Form 8-K. In addition, a Canadian technical report, entitled "Dewey-Burdock Project, South Dakota, USA, National Instrument 43-101 Preliminary Economic Assessment Technical Report", dated January 6, 2025 (the "Canadian Technical Report") was filed with Canadian securities regulators on SEDAR. The TRS and Canadian Technical Report were prepared by SOLA Project Services, LLC of Casper, Wyoming, with Stuart Bryan Soliz, P.G., Principal of SOLA Project Services, LLC being the Qualified Person for the purposes of National Instrument 43-101.

Dewey-Burdock Project
The Dewey-Burdock Project is an advanced-stage uranium exploration project located in southwest South Dakota and forms part of the northwestern extension of the Edgemont Uranium Mining District, about 13 miles north-northwest of Edgemont and is wholly owned by enCore. The Project is amenable for extraction of uranium using In-Situ Recovery technology ("ISR") (see below). enCore controls over 16,000 acres in the area, of which over 10,500 acres are within the Project's permit boundary. Mineral title is controlled by federal mining claims and private lease agreements.

Mineral Resource Summary

ISR Resources

Measured

Indicated

M&I

Inferred

Lbs (U3O8)

14,285,988

2,836,159

17,122,147

712,624

Tons

5,419,779

1,968,443

7,388,222

645,546

Avg. GT

0.73

0.41

0.66

0.32

Avg. Grade (% U3O8)

0.13 %

0.07 %

0.12 %

0.06 %

Avg. Thickness (ft)

5.56

5.74

5.65

5.87

Notes:

1.

Effective date of mineral resource is October 8, 2024.

2.

enCore reports mineral reserves and mineral resources separately. Reported mineral resources do not include mineral reserves.

3.

The geological model used is based on geological interpretations on section and plan derived from surface drillhole information.

4.

Mineral resources have been estimated using a minimum grade-thickness cut-off of 0.20 ft% U3O8.

5.

Mineral resources are estimated based on the use of ISR for mineral extraction.

6.

Inferred mineral resources are estimated with a level of sampling sufficient to determine geological continuity but less confidence in grade and geological interpretation such that inferred resources cannot be converted to mineral reserves.

7.

Mineral resources that are not mineral reserves do not have demonstrated economic viability.

Results of the Preliminary Economic Assessment ("PEA")
The scenario used for the economic assessment for the Dewey-Burdock Project assumes a specific timeline in order to determine the appropriate economic results. It assumes that permitting and licensing actions are ongoing and forecasted completion is Q3 2026. Within the PEA, engineering is anticipated to commence by early 2026, and construction of the Dewey-Burdock ISR Uranium Central Processing Plant ("CPP") along with wellfield construction is anticipated to commence early in 2027. The PEA does not include any portion of the inferred resource. Using these assumptions, the PEA provides the following economic estimates:

  • Estimated total capital costs: $264.2 M over the life of the Project;
  • The estimated operating cost is expected to be $23.81/lb of U3O8 including CPP and wellfield operations, administrative costs, reclamation and decommissioning;
  • 80% recovery of in situ mineral resources is expected;
  • Pre-tax NPV: $180.1M with IRR 39%, net cash flow $476.8M;
  • After-tax NPV: $133.6M with IRR 33%, net cash flow $363.4 M.

Current and future activities to proceed on schedule:

  • Finalizing state and federal permitting and licensing work;
  • Core drilling and analysis to finalize design plans and recovery parameters.

Expected Production Facility Design and Capacity Parameters:

  • The CPP is to be constructed on the Dewey portion of the project area; it will have Ion Exchange ("IX")recovery trains and yellowcake processing facilities;
  • A satellite facility is to be constructed on the Burdock portion of the project area where IX resin is to be transported to the CPP for processing into yellowcake;
  • Total flow capacity of 4,000 gpm;
  • Annual capacity to process 1 million pounds of uranium per year;
  • Over 14 million pounds of expected uranium recovery based on current plans.

Technical information in this news release was approved by John M. Seeley, Ph.D., P.G., C.P.G., enCore's Manager of Geology and Exploration, and a Qualified Person of the Company and a Qualified Person as defined in NI43-101. Stuart Bryan Soliz, P.G., Principal of SOLA Project Services, LLC was the Qualified Person under National Instrument 43-101 that prepared the Canadian Technical Report.

About In-Situ Recovery Technology
In-Situ Recovery (ISR) offers a minimally intrusive, eco-friendly, and economically competitive approach to mineral extraction. It's been proven a successful technique for obtaining uranium that replaces conventional open pit or underground workings with wellfield technology. ISR does not involve open pits, waste dumps, or tailings, making it more environmentally considerate. This method also streamlines the permitting, development, and remediation processes. With ISR, uranium is extracted without disturbing the surface, and once the process is complete, the land is restored to its original state and purpose.

About enCore Energy Corp.
enCore Energy Corp., America's Clean Energy Company™, is committed to providing clean, reliable, and affordable fuel for nuclear energy as the only United States uranium company with multiple Central Processing Plants in operation. The enCore team is led by industry experts with extensive knowledge and experience in all aspects of ISR uranium operations and the nuclear fuel cycle. enCore solely utilizes ISR for uranium extraction, a well-known and proven technology co-developed by the leaders at enCore Energy.

Following upon enCore's demonstrated success in South Texas, future projects in the production pipeline include the Dewey-Burdock Project in South Dakota and the Gas Hills project in Wyoming. The Company holds other assets including non-core assets and proprietary databases. enCore is committed to working with local communities and indigenous governments to create positive impact from corporate developments.

www.encoreuranium.com

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Cautionary Note Regarding Forward Looking Statements: 

Certain information contained in this news release, including: statements regarding future or potential production, and any other statements regarding future expectations, beliefs, goals or prospects; may constitute "forward-looking information" and "forward-looking statements" within the meaning of applicable Canadian and United States securities laws and regulations (collectively, "forward-looking statements"). All statements in this news release that are not statements of historical fact (including , but not limited to, statements regarding the potential for future production at the Project, the success of current and future ISR operations, our future production plans and associated economics, initial economic assessment of the Project, continued demonstration of robust economics of the Project, after-tax NPV, project IRR, that the Project will be a reliable supplier of fuel, the expected timing of a commercial operation, engineering and construction, estimated mineral resources and financials, expected major plant aspects, that the Project will be a successfully operable ISR operation and other statements identified by the words "expects", "is expected", "does not expect", "plans", "anticipates", "does not anticipate", "believes", "intends", "estimates", "projected", "continues", "potential", "scheduled", "forecast", "budget" and similar expressions or variations (including negative variations) of such words and phrases, or statements that certain actions, events or results "may", "could", "would", "might" or "will" be taken) should be considered forward-looking statements. All such forward-looking statements are subject to important risk factors and uncertainties, many of which are beyond the Company's ability to control or predict. Forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with assumptions regarding project economics; discount rates; expenditures and the current cost environment; timing and schedule of the Project, general economic conditions; adverse industry events; future legislative and regulatory developments; the ability of enCore to implement its business strategies; and other risks. A number of important factors could cause actual results or events to differ materially from those indicated or implied by such forward-looking statements, including without limitation exploration and development risks, changes in commodity prices, access to skilled personnel, the results of exploration and development activities; production risks; uninsured risks; regulatory risks; defects in title; the availability of materials and equipment, timeliness of government approvals and unanticipated environmental impacts on operations; litigation risks; risks posed by the economic and political environments in which the Company operates and intends to operate; increased competition; assumptions regarding market trends and the expected demand and desires for the Company's products and proposed products; reliance on industry equipment manufacturers, suppliers and others; the failure to adequately protect intellectual property; the failure to adequately manage future growth; adverse market conditions, the failure to satisfy ongoing regulatory requirements and factors relating to forward looking statements listed above which include risks as disclosed in the Company's filings on SEDAR and with the SEC, including its management discussion and analysis and annual information form. Should one or more of these risks materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. The Company assumes no obligation to update the information in this communication, except as required by law. Additional information identifying risks and uncertainties is contained in filings by the Company with the various securities commissions which are available online at www.sec.gov and www.sedarplus.ca. Forward-looking statements are provided for the purpose of providing information about the current expectations, beliefs and plans of management. Such statements may not be appropriate for other purposes and readers should not place undue reliance on these forward-looking statements, that speak only as of the date hereof, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement.

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SOURCE enCore Energy Corp.

FAQ

What is the total resource estimate for enCore's Dewey-Burdock Project (EU)?

The Dewey-Burdock Project has Measured and Indicated Resources of 17,122,147 lbs eU3O8 at 0.12% average grade, plus Inferred Resources of 712,624 lbs eU3O8 at 0.06% grade.

When will enCore Energy (EU) begin construction at Dewey-Burdock?

Construction of the Dewey-Burdock ISR Uranium Central Processing Plant and wellfield is anticipated to commence in early 2027.

What is the expected annual production capacity of Dewey-Burdock for enCore (EU)?

The Central Processing Plant will have an annual capacity to process 1 million pounds of uranium per year.

What is the economic outlook for enCore's (EU) Dewey-Burdock Project?

The project shows robust economics with an after-tax NPV of $133.6 million (8% discount rate) and an IRR of 33%, with total capital costs of $264.2M.

What permits has enCore (EU) secured for the Dewey-Burdock Project?

The project has received its Source Material License from the NRC, Aquifer Exemption, and Class III and V Underground Injection Control Permits from the EPA Region 8.

enCore Energy Corp.

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