Energy Fuels Announces Q3-2019 Results

LAKEWOOD, CO, Nov.A 1, 2019 /CNW/ -A Energy Fuels Inc. (NYSE American: UUUU; TSX: EFR) ("Energy Fuels" or the "Company") today reported its financial results for the quarter ended SeptemberA 30, 2019. The Company's quarterly report on Form 10-Q has been filed with the U.S. Securities and Exchange Commission ("SEC") and may be viewed on the Electronic Document Gathering and Retrieval System ("EDGAR") at, on the System for Electronic Document Analysis and Retrieval ("SEDAR") at, and on the Company's website at Unless noted otherwise, all dollar amounts are in U.S. dollars.
Energy Fuels Announces Q3-2019 Results

At September 30, 2019, the Company had $41.1 million of working capital, including $14.7 million in cash, $7.8 million in marketable securities, 500,000 pounds of uranium finished goods inventory, and 1,150,000 pounds of vanadium finished goods inventory.

Vanadium production totaled 530,000 pounds of V2O5 for the quarter, and the Company expects to continue to produce 160,000 to 200,000 pounds of V2O5 per month through Q4-2019, subject to continued successful recovery and suitable sales prices.

Uranium production totaled 16,000 pounds of U3O8 during the quarter.

The Company did not complete any uranium sales during the quarter.

At the current time, the Company is selling only small quantities of vanadium, while mainly focusing on building V2O5 inventory for sale in the future to capitalize on any future price increases in vanadium markets that are often volatile.

The Company had an operating loss of $8.8 million during the quarter, due in part to an impairment to inventories of $2.3 million as a result of low uranium prices and a decrease in vanadium prices during the quarter; as well as the decision to limit uranium and vanadium sales during the quarter.

On July 12, 2019, President Donald J. Trump issued a Presidential Memorandum pursuant to Section 232 of the Trade Expansion Act of 1962 (as amended), ordering the creation of the U.S. Nuclear Fuel Working Group (the "Working Group") to "examine the current state of domestic nuclear fuel production to reinvigorate the entire nuclear fuel supply chain, consistent with United States national security and nonproliferation goals." Following an apparent extension of time to complete their report (a formal announcement was not made), we understand the Working Group currently has until approximately November 10, 2019 to present its recommendations to the President. The Company intends to continue supporting this initiative in Q4-2019 and believes it has the potential to result in actions that could provide meaningful support to the U.S. uranium mining industry.

On July 13, 2019, the Company announced that it had entered into a new processing agreement, whereby the owner of a formerly producing uranium mine in New Mexico will deliver cleanup ore material from the mine for processing and recovery of uranium at the Company's White Mesa Mill. Revenues payable to the Company are expected to be between $700,000 and $3.5 million. In addition, the Company will retain any uranium recovered from the material for its own account, which is expected to total between 8,000 and 70,000 pounds of U3O8, or approximately $200,000 to $1.75 million at today's spot prices. Deliveries began in late-June 2019, and to date total 4,600 tons of material out of an expected 10,000 to 50,000 tons of material. The Company has proposed similar services to assist in the cleanup of Cold War era abandoned uranium mines on the Navajo Nation and other lands.

As previously announced, on August 1, 2019 the Board of Directors (the "Board") of the Company appointed Mr. Alex G. Morrison to serve as a director.

Mark S. Chalmers, Energy Fuels' President and CEO stated:
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