Energy Fuels Announces Q3-2024 Results, Including Active Uranium Mining and Processing, Successful Rare Earth Production, and Continuing to Build a World-Scale Rare Earth Supply Chain Centered in the U.S.
Energy Fuels Inc. (NYSE: UUUU) reported Q3-2024 financial results, highlighting uranium and rare earth elements production. The company maintained a strong balance sheet with $183.16M in working capital, including $47.46M cash and no debt. Q3 saw a net loss of $12.08M, primarily due to transaction costs. The company sold 50,000 pounds of U3O8 at $80/pound, securing a new long-term uranium contract with a U.S. utility. Successfully commissioned Phase 1 REE separation circuit, producing 38 tonnes of NdPr. Completed acquisition of Base Resources, adding the Toliara heavy mineral sands project in Madagascar to its portfolio.
Energy Fuels Inc. (NYSE: UUUU) ha riportato i risultati finanziari del terzo trimestre 2024, evidenziando la produzione di uranio e di elementi delle terre rare. L'azienda ha mantenuto un solido bilancio con 183,16 milioni di dollari in capitale circolante, di cui 47,46 milioni di dollari in contante e senza debiti. Nel terzo trimestre si è registrata una perdita netta di 12,08 milioni di dollari, principalmente a causa dei costi di transazione. L'azienda ha venduto 50.000 libbre di U3O8 a 80 dollari per libbra, assicurandosi un nuovo contratto a lungo termine per l'uranio con una utility statunitense. Ha commissionato con successo il Circuito di separazione delle terre rare Fase 1, producendo 38 tonnellate di NdPr. Ha completato l'acquisizione di Base Resources, aggiungendo al proprio portafoglio il progetto di sabbia minerale pesante Toliara in Madagascar.
Energy Fuels Inc. (NYSE: UUUU) reportó los resultados financieros del tercer trimestre de 2024, destacando la producción de uranio y elementos de tierras raras. La empresa mantuvo un sólido balance con $183.16M en capital de trabajo, incluyendo $47.46M en efectivo y sin deudas. En el tercer trimestre, se registró una pérdida neta de $12.08M, principalmente debido a costos de transacción. La empresa vendió 50,000 libras de U3O8 a $80/libras, asegurando un nuevo contrato a largo plazo de uranio con una utility de EE.UU. Se puso en funcionamiento con éxito el circuito de separación de tierras raras Fase 1, produciendo 38 toneladas de NdPr. Se completó la adquisición de Base Resources, agregando el proyecto de arenas minerales pesadas Toliara en Madagascar a su cartera.
Energy Fuels Inc. (NYSE: UUUU)는 2024년 3분기 재무 결과를 발표하면서 우라늄과 희토류 생산을 강조했습니다. 이 회사는 1억 8316만 달러의 운전 자본을 포함하여 4746만 달러의 현금을 보유하고 있으며 부채가 없습니다. 3분기에는 1208만 달러의 순손실이 발생했으며, 이는 주로 거래 비용 때문입니다. 이 회사는 50,000파운드의 U3O8를 파운드당 80달러에 판매하여 미국 공공 유틸리티와의 새로운 장기 우라늄 계약을 확보했습니다. 1단계 REE 분리 회로의 가동을 성공적으로 완료하여 38톤의 NdPr을 생산했습니다. 또한, 마다가سك의 톨리아라 중금속 샌드 프로젝트를 포트폴리오에 추가하는 Base Resources의 인수를 완료했습니다.
Energy Fuels Inc. (NYSE: UUUU) a annoncé les résultats financiers du troisième trimestre 2024, mettant en avant la production d'uranium et d'éléments des terres rares. L'entreprise a maintenu un solide bilan avec 183,16 millions de dollars de capital de travail, dont 47,46 millions de dollars en espèces et aucune dette. Le troisième trimestre a enregistré une perte nette de 12,08 millions de dollars, principalement en raison des coûts de transaction. L'entreprise a vendu 50 000 livres de U3O8 à 80 dollars/livre, obtenant ainsi un nouveau contrat à long terme pour l'uranium avec une entreprise de services publics américaine. Elle a réussi à mettre en service le circuit de séparation des terres rares Phase 1, produisant 38 tonnes de NdPr. L'acquisition de Base Resources a été finalisée, ajoutant le projet de sables minéraux lourds de Toliara à son portefeuille.
Energy Fuels Inc. (NYSE: UUUU) hat die finanziellen Ergebnisse für das dritte Quartal 2024 veröffentlicht und die Produktion von Uran und Seltenen Erden hervorgehoben. Das Unternehmen wies eine starke Bilanz auf mit 183,16 Millionen Dollar Betriebskapital, davon 47,46 Millionen Dollar Bargeld und keine Schulden. Im dritten Quartal verzeichnete das Unternehmen einen Nettoverlust von 12,08 Millionen Dollar, hauptsächlich aufgrund von Transaktionskosten. Das Unternehmen verkaufte 50.000 Pfund U3O8 zu 80 Dollar pro Pfund und sicherte sich einen neuen langfristigen Uranvertrag mit einem US-Versorgungsunternehmen. Es wurde erfolgreich die Phase 1 der REE-Trennungsanlage in Betrieb genommen, die 38 Tonnen NdPr produzierte. Außerdem wurde die Übernahme von Base Resources abgeschlossen, wodurch das Projekt für schwere Mineralsande Toliara in Madagaskar in das Portfolio aufgenommen wurde.
- Strong balance sheet with $183.16M working capital and zero debt
- Secured new long-term uranium contract for up to 550,000 pounds delivery through 2029
- Successfully commissioned Phase 1 REE separation circuit, producing 38 tonnes of NdPr
- Uranium spot sale of 50,000 pounds achieved 54% gross margin
- Significant inventory position: 1,040,000 pounds of U3O8, 905,000 pounds of V2O5, and 38 tonnes of NdPr
- Net loss of $12.08M in Q3-2024 ($0.07 per share)
- Uranium production guidance reduced to 150,000-200,000 pounds for 2024 due to transportation delays
- 18% decrease in working capital from December 2023
- Revenue declined from $10.99M in Q3-2023 to $4.05M in Q3-2024
Insights
The Q3 results reveal a mixed financial picture. While maintaining a robust balance sheet with
The completion of Base Resources acquisition positions UUUU for significant growth in rare earth elements and heavy mineral sands, though integration costs impacted current quarter results. The successful commissioning of the REE separation circuit and production of 38 tonnes of NdPr marks a strategic milestone, setting the stage for commercial-scale operations.
The company's planned production ramp-up to 1.1-1.4M pounds of U3O8 annually by late 2024, with potential expansion to 5M pounds, indicates strong growth trajectory amid rising uranium prices (
The operational developments are significant with active mining at multiple sites and successful commissioning of new processing capabilities. The Pinyon Plain mine stockpile containing 180,000 pounds of U3O8 and positive drill results at Nichols Ranch demonstrate solid resource base. However, transportation delays affecting 2024 production guidance (reduced to 150,000-200,000 pounds) need monitoring.
The Base Resources acquisition, particularly the Toliara Project, transforms UUUU's market position in critical minerals. The addition of experienced HMS operations team and multiple project pipeline (Donald Project, Bahia Project) creates a vertically integrated supply chain. Key risk factors include pending Madagascar government approvals and fiscal terms negotiation for Toliara development.
"Uranium drives our current financial outlook, while rare earth elements and heavy mineral sand products are significantly adding to our long-term value and growth strategy," said Mark Chalmers, Energy Fuels' President and Chief Executive Officer. "This quarter, we maintained our clean balance sheet while adding a new long-term
"We invite all stakeholders to join us in our upcoming November 1, 2024, earnings call, details of which are below, to learn more about these exciting achievements."
Q3-2024 Highlights
Unless noted otherwise, all dollar amounts are in
- Robust Balance Sheet with Over
of Liquidity and No Debt: As of September 30, 2024, the Company had$180 million of working capital including$183.16 million of cash and cash equivalents,$47.46 million of marketable securities (interest-bearing securities and uranium stocks),$101.15 million of inventory, and no debt.$35.91 million - Over
of Additional Liquidity from Market Value of Inventory: At October 28, 2024 commodity prices, the Company's product inventory has a market value of approximately$10 Million , while the balance sheet reflects product inventory carried at cost of$23.79 million .$13.38 million - Incurred Net Loss of
Million: During the three months ended September 30, 2024, the Company incurred a net loss of$12 , or$12.08 million per common share, primarily due to transaction and integrations costs related to the Donald Project joint venture (described below), the acquisition of Base Resources (described below) and recurring operating expenses, partially offset by sales of natural uranium concentrates ("U3O8").$0.07 - Uranium Continues to Drive Revenue: The Company sold 50,000 pounds of U3O8 on the spot market at a realized sales price of
per pound of U3O8 for total proceeds of$80.00 , which resulted in a gross profit of$4.00 million and a gross margin of$2.15 million 54% . - New Long-Term Uranium Sales Contract with
U.S. Utility: The Company added a fourth long-term uranium sales contract to its existing portfolio. Under the contract, the Company expects to deliver a total of 270,000 to 330,000 pounds of uranium between 2026 and 2027, and potentially an additional 180,000 to 220,000 pounds until 2029, under a "hybrid" pricing formula, subject to floor and ceiling prices, that maintains exposure to further uranium market upside and protection from inflation. - "Phase 1" REE Separation Circuit Successfully Commissioned: Final commissioning of the Phase 1 REE separation circuit at the Company's White Mesa Mill (the "Mill") was successfully completed during the quarter resulting in the production of approximately 38 tonnes of 'on-spec' separated NdPr.
- Samples of NdPr Actively Being Qualified by Potential Customers: NdPr produced at the Mill is currently being qualified with permanent magnet manufacturers and other potential customers to set the stage for potential offtake in the future.
- Well-Stocked to Capture Market Opportunities: As of September 30, 2024, the Company held 235,000 pounds of finished U3O8 and 805,000 pounds of U3O8 in ore and raw materials and work-in-progress inventory for a total of 1,040,000 pounds of U3O8 in inventory. This inventory increased from last quarter due to Pinyon Plain, La Sal and Pandora mine ore production and additional alternate feed materials received, partially offset by our spot sale during Q3-2024. The Company expects these uranium inventories to continue increasing as we continue to mine additional ore. The Company also held 905,000 pounds of finished vanadium ("V2O5"), 38 tonnes of finished separated neodymium praseodymium ("NdPr") and 9 tonnes of finished high purity, partially separated mixed rare earth carbonate ("RE Carbonate") in inventory.
Capitalizing on Strong Uranium Pricing:
- Due to uranium market tailwinds and upcoming commitments in long-term contracts with
U.S. nuclear utilities, the Company is currently mining and stockpiling uranium ore from its Pinyon Plain, La Sal and Pandora mines and plans to ramp up to a production run-rate of approximately 1.1 to 1.4 million pounds of U3O8 per year by late-2024. - The Company expects to produce a total of 150,000 to 200,000 pounds of finished U3O8 during 2024 from stockpiled alternate feed materials and newly mined ore, which is at the lower end of our previous guidance of 150,000 to 500,000 pounds of finished U3O8 during 2024, due to delays in transporting ore from the Pinyon Plain mine to the White Mesa Mill, which is expected to be resolved in Q4-2024. Mining continues at the Pinyon Plain mine, with mined ore being stockpiled at the mine site, containing approximately 180,000 pounds of U3O8 at September 30, 2024, which is expected to be processed at the Mill later in 2024 or in early 2025.
- During Q3-2024, the Company received positive results from drill holes during ongoing preparations at its Nichols Ranch in situ recovery ("ISR") Project in
Wyoming . Both the Nichols Ranch Project and Whirlwind Mine inColorado are being prepared for production and are within one year of a "go" decision, as market conditions warrant. Production from these mines, when combined with alternate feed materials, uranium from monazite, and 3rd party uranium ore purchases, would be expected to increase the Company's production run-rate to roughly two million pounds per year by as early as 2026. - The Company continued advancing permitting and other pre-development activities on its large-scale Roca Honda, and Bullfrog uranium projects in Q3-2024, which together with its Sheep Mountain Project, have the potential to expand the Company's uranium production to a run-rate of up to five million pounds of U3O8 per year in the coming years.
- As of October 28, 2024, the spot price of U3O8 was
per pound and the long-term price of U3O8 was$81.00 per pound, according to data from TradeTech.$82.00
Rare Earth Element Production Milestones:
- The Company produced about 38 tonnes of separated NdPr from its newly commissioned Phase 1 REE separation circuit at the Mill in Q2- and Q3-2024.
- Samples of the Company's NdPr product have been sent to permanent magnet and other companies around the world for product qualification, and initial testing responses have been positive.
- The Company is currently in the process of updating the White Mesa Mill's AACE International ("AACE") Class 4 Pre-Feasibility Study (not a Pre-Feasibility Study subject to or intended to be compliant with NI 43-101 or S-K 1300), originally released in Q2-2024 to increase throughput to a total of 60,000 tpa of monazite, producing roughly 6,000 tpa of NdPr, 150 to 225 tpa of Dy, and 50 to 75 tpa of Tb, of which the existing commissioned Phase 1 circuit will constitute about
17% of this amount (10,000 tpa of monazite). The Mill PFS referenced above can be viewed on the Company's website, www.energyfuels.com.
Heavy Mineral Sands:
- On October 2, 2024, the Company announced it completed its previously announced acquisition of all the issued and outstanding shares of Base Resources Ltd. ("Base Resources"), which is expected to transform the Company into a global leader in critical minerals production, including HMS (titanium and zirconium), REEs and uranium. The acquisition of Base includes the advanced, world-class Toliara HMS project in
Madagascar . In addition to its stand-alone, ilmenite, rutile (titanium) and zircon (zirconium) production capability, the Toliara Project also contains a long-life, high-value and low-cost monazite (REEs) stream, produced as a byproduct of primary titanium and zirconium production. Toliara's monazite is expected to be processed at the Mill into separated REE products, along with uranium, at globally competitive capital and operating costs. The Toliara Project is subject to negotiation of fiscal terms with theMadagascar government and the receipt of certainMadagascar government approvals and actions before a current suspension on activities at the Toliara Project will be lifted and development may occur. The transaction also includes Base's management, mine development and operations teams, who have a successful track-record of designing, constructing, and profitably operating a world-class HMS operation inKenya . - The Company continued to advance the Donald Project (the "Donald Project"), a large monazite-rich HMS project in
Australia , pursuant to its joint venture with Astron Corporation limited, announced in Q2-2024. The Company expects that a final investment decision ("FID") will be made on the Donald Project as early as 2025. - During Q3-2024, the Company also continued to advance its wholly owned Bahia HMS project in
Brazil (the "Bahia Project") with its Phase 2 drilling campaign, which is expected to continue through the rest of the year. Additionally, the Company completed bulk test work on a 2.5 tonne sample in March 2024, and recently shipped a larger 15 tonne sample to theU.S. for additional process test work. The Company expects to complete aU.S. Subpart 1300 of Regulation S-K ("S-K 1300") and Canadian National Instrument 43-101 ("NI 43-101") compliant mineral resource estimate on the Bahia Project during 2024.
Vanadium Highlights:
- The Company chose not to execute any vanadium sales during Q3-2024 and holds about 905,000 pounds of V2O5 in inventory.
- As of October 28, 2024, the spot price of V2O5 was
per pound, according to data from Fastmarkets.$5.25
Medical Isotope Highlights:
- On August 19, 2024, the Company announced it acquired RadTran LLC ("RadTran"), a private company specializing in the separation of critical radioisotopes, to further the Company's plans for development and production of medical isotopes used in cancer treatments. RadTran's expertise includes separation of radium-226 ("Ra-226") and radium-228 ("Ra-228") from uranium and thorium process streams. This acquisition is expected to significantly enhance Energy Fuels' planned capabilities to address the global shortage of these essential isotopes used in emerging targeted alpha therapies ("TAT") for cancer treatment.
- The Company continues to utilize its research and development ("R&D") license for the recovery of R&D quantities of Ra-226 at the Mill. Activities to set up the pilot facility at the Mill continued in Q3-2024 and are expected to progress through the end of the year, with the goal of producing R&D quantities of Ra-226 for testing by end-users of the product in late 2024 or early 2025.
Mr. Chalmers continued:
"During the quarter, we achieved numerous additional milestones to bring the Energy Fuels' vision to fruition for our innovative, low-cost,
"These developments have the potential to transform Energy Fuels into a world leader in titanium, zirconium, and rare earth elements production, while maintaining our position as a
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The Company's Quarterly Report on Form 10-Q has been filed with the
Selected Summary Financial Information:
Three Months Ended September 30, | |||
(In thousands, except per share data) | 2024 | 2023 | |
Results of Operations: | |||
Uranium concentrates revenues | $ 4,000 | $ 10,473 | |
RE Carbonate revenues | — | 288 | |
Total revenues | 4,047 | 10,987 | |
Gross profit | 2,200 | 5,439 | |
Operating loss | (11,913) | (6,944) | |
Net income (loss) attributable to the company | (12,060) | 10,563 | |
Basic net income (loss) per common share | (0.07) | 0.07 | |
Diluted net income (loss) per common share | (0.07) | 0.07 |
(In thousands) | September 30, 2024 | December 31, 2023 | Percent Change | ||
Financial Position: | |||||
Working capital | $ 183,155 | $ 222,335 | (18) % | ||
Current assets | 193,923 | 232,695 | (17) % | ||
Mineral properties, net | 124,856 | 119,581 | 4 % | ||
Property, plant and equipment, net | 43,548 | 26,123 | 67 % | ||
Total assets | 400,404 | 401,939 | — % | ||
Current liabilities | 10,768 | 10,360 | 4 % | ||
Total liabilities | 23,717 | 22,734 | 4 % |
ABOUT ENERGY FUELS
Energy Fuels is a leading US-based critical minerals company, focused on uranium, REEs, HMS, vanadium and medical isotopes. The Company has been the leading
Cautionary Note Regarding Forward-Looking Statements: This news release contains certain "Forward Looking Information" and "Forward Looking Statements" within the meaning of applicable
1 The information relating to the Donald Project's estimated monazite production is based on the Donald DFS prepared on June 27, 2023. This study constituted a "Feasibility Study" for the purposes of JORC, and the Ore Reserves underpinning this study were estimated in accordance with JORC. The results from this study may not be comparable to (as the case may be) data or estimates under either NI 43-101 or S-K 1300– see disclosure under "Technical Information."
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SOURCE Energy Fuels Inc.
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