Conference Call and Webcast on May 6, 2024 LAKEWOOD, Colo., May 3, 2024 /CNW/ - Energy Fuels Inc. (NYSE:UUUU) (TSX:EFR) ("Energy Fuels" or the "Company") today reported its financial results for the quarter ended March 31, 2024. 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 www.sec.gov/edgar, on the System for Electronic Data Analysis and Retrieval + ("SEDAR+") at www.sedarplus.ca, and on the Company's website at www.energyfuels.com. Unless noted otherwise, all dollar amounts are in U.S. dollars. Recorded Net Income of Over $3 Million: During the three months ended March 31, 2024, the Company earned net income of $3.64 million, or $0.02 per common share, including operating income of $2.02 million. Robust Balance Sheet with Over $220 million of Liquidity and No Debt: As of March 31, 2024, the Company had $222.54 million of working capital including $54.78 million of cash and cash equivalents, $140.80 million of marketable securities (uranium stocks and interest-bearing securities), $28.25 million of inventory, and no debt. Over $20 Million of Additional Liquidity from Market Value of Inventory: At current commodity prices, the Company's product inventory has a market value of approximately $40.82 million, while the balance sheet reflects product inventory carried at cost of $19.96 million. Uranium Drives Revenue: The Company sold 300,000 pounds of uranium concentrates ("U3O8") at a weighted average price of $84.38 per pound for $25.31 million, which resulted in a gross profit of $14.26 million and an average gross margin of 56%. SX "Phase 1" REE Separation Circuit Development Completed: The Phase 1 modification and enhancements to the existing solvent extraction ("SX") circuit at the Company's White Mesa Mill (the "Mill") were completed in Q1-2024, and the Mill expects to complete commissioning of the new circuit in Q2-2024. Well-Stocked to Capture Market Opportunities: As of March 31, 2024, the Company held 385,000 pounds of finished U3O8, 905,000 pounds of finished vanadium ("V2O5"), and 11 tonnes of finished high purity, partially separated mixed rare earth carbonate ("RE Carbonate") in inventory. The Company holds an additional 495,000 pounds of U3O8 as raw materials and work-in-progress inventory (for total finished, raw material and work-in-progress inventory of 880,000 pounds of U3O8), along with an estimated 1 - 3 million pounds of solubilized V2O5 in tailings solutions that could be recovered in the future. Additionally, at March 31, 2024 the Company had 480 tonnes of REE raw materials (monazite concentrate) in inventory. Capitalizing on Strong Uranium Pricing: During the three months ended March 31, 2024, the Company sold 300,000 pounds of U3O8 for $25.31 million or a realized sales price of $84.38 per pound. These sales resulted in a gross profit of $14.26 million ($47.54 per pound of U3O8), or a 56% gross margin. The Company recently renewed an alternate feed agreement with one of our key customers, providing the Company with an estimated long-term, multi-year, low-cost source of 11,000 to 30,000 pounds of U3O8 per year. During the three months ended March 31, 2024, the Company continued uranium ore production at its Pinyon Plain (Arizona), La Sal (Utah) and Pandora (Utah) mines. Once production is fully ramped up at these mines, which is expected by mid- to late-2024, the Company expects to be mining at a run-rate of 1.1 to 1.4 million pounds of newly mined U3O8 per year. During 2024, the Company expects to produce approximately 150,000 to 500,000 pounds of finished U3O8 from newly mined conventional ore, stockpiled ore, and recycled alternate feed materials, depending on the timing of the ramp up of production at the Company's Pinyon Plain, La Sal and Pandora mines, and Mill schedule, while increasing to higher levels of production in 2025 and beyond. The Company expects to offer to buy uranium and uranium/vanadium ore from third-party miners in the vicinity of the Mill during 2024, which has the potential to contribute to the Company's production profile. On April 30, the U.S. Senate approved by unanimous consent the Prohibiting Russian Uranium Imports Act, which bans the import of Russian uranium products into the U.S. Under the ban, which commences 90 days after enactment and terminates in 2040, all imports of uranium products from Russia will be banned, subject to waivers in the event "no alternative viable source of low-enriched uranium is available to sustain the continued operation of a nuclear reactor or U.S. nuclear energy company." The Company expects President Joe Biden to sign the bill into law in the coming days. In anticipation of continued strength in uranium markets, the Company is preparing two additional mines in Colorado and Wyoming (Whirlwind and Nichols Ranch) for expected production in 2025. If market conditions remain strong, the Whirlwind and Nichols Ranch mines could potentially increase Energy Fuels' uranium production to a run-rate of over two million pounds of U3O8 per year as early as 2025. The Company is advancing permitting and other pre-development activities on its large-scale Roca Honda, Sheep Mountain and Bullfrog uranium properties for additional uranium production in the future, which could expand the Company's uranium production to a run-rate of up to five million pounds of U3O8 per year in the coming years. The Company continues to evaluate uranium resource and development acquisition and other potentially accretive opportunities as they may arise. As of May 1, the spot price of U3O8 was $92.00 per pound and the long-term price of U3O8, which is the price most relevant for long-term uranium sales contracts, was $80.00 per pound, according to data from TradeTech. Rare Earth Element Ramp-Up: The Mill's REE production is complementary to its uranium production and does not diminish the Mill's uranium capacity or production profile in any way. The development of the "Phase 1" REE Separation circuit at the Mill was completed on-schedule at the end of Q1-2024, at a cost that is expected to be $7 million to $9 million below the $25 million budget. During Q2-2024, the Company expects to produce about 25 – 35 tonnes of separated neodymium praseodymium ("NdPr") oxide and 10 to 20 tonnes of a "heavy" samarium plus ("SM+") mixed rare earth carbonate as it commissions the Phase 1 REE Separation circuit, after which time the Company expects to begin processing uranium ore and alternate feed materials for the large-scale production of uranium at the Mill for the remainder of the year and through mid-2026. The Mill's Phase 1 REE separation circuit is expected to have the capacity to produce approximately 800 to 1,000 tonnes of separated NdPr oxide per year. For reference, 1,000 tonnes of NdPr can be used in enough permanent REE magnets to power up to 1 million electric vehicles  ("EVs") per year. Subject to securing sufficient monazite feed, "Phase 1" capacity is expected to position Energy Fuels in the coming years as one of the world's leading producers of separated NdPr outside of China. Due to the significant opportunity in REEs, Energy Fuels is engineering further enhancements at the Mill to increase NdPr oxide production capacity to approximately 4,000 tonnes – 6,000 tonnes per year by 2027 ("Phase 2"), and to add a separate crack and leach circuit to allow for the simultaneous operation of the Mill's conventional ore and REE processing circuits. The Company also intends to produce separated dysprosium ("Dy"), terbium ("Tb") and potentially other advanced REE materials in the future from monazite and potentially other REE process streams by 2028 ("Phase 3"). Phase 2 and Phase 3 are subject to permitting, financing and receipt of sufficient monazite feed. To secure cost-effective and reliable supplies of monazite ore, Energy Fuels is securing positions in several heavy mineral sand ("HMS") deposits around the World, which produce monazite sand as a low-cost byproduct of primary ilmenite and rutile (titanium) and zircon (zirconium) production. Monazite sands are a rich source of the 'magnetic' REEs used in EVs and a variety of clean energy and advanced technologies. The Company has made significant progress in developing its Bahia HMS project in Brazil (the "Bahia Project"). Based on preliminary, historical resource estimates, the Company believes the Bahia Project has the potential to supply approximately 3,000 – 10,000 tonnes per year ("tpa") of monazite sand concentrate to the Mill (depending on production rates), containing approximately 1,500 – 5,000 tonnes of total rare earth oxides ("TREO") per year potentially for decades.1 During the first half of 2023, the Company completed 2,266 meters of sonic drilling to confirm and further delineate the rare earth, titanium, and zirconium mineralization. The Company is currently awaiting the results from the 2023 drilling campaign. In Q1-2024, the Company commenced further sonic drilling. Additionally, the Company completed bulk test work on a 2.5 tonne sample in March 2024 and is currently collecting a larger 15 tonne sample for additional process test work. The Company expects to complete a U.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. On April 21, 2024, the Company announced that it had executed a definitive Scheme Implementation Deed (the "SID") with Base Resources Limited (ASX: BSE) (AIM: BSE) ("Base Resources") pursuant to which Energy Fuels has agreed to acquire 100% of the issued shares of Base Resources (the "Transaction") in consideration for (i) 0.0260 Energy Fuels common shares (the "Share Consideration") and (ii) AUS$0.065 in cash, payable by way of a special dividend by Base Resources to its shareholders (the "Cash Consideration", and together with the Share Consideration, the "Scheme Consideration") for each Base Resources ordinary share held, for a total equity value at the time of announcement of approximately AUS$375 million. The Transaction will be effected by way of a scheme of arrangement under Australia's Corporations Act (the "Scheme") and is subject to a number of conditions precedent, including the receipt of certain government approvals and the approval of the shareholders of Base Resources. Base Resources owns the Toliara Mineral Sand Project in Madagascar (the "Toliara Project"), which is a world-class, advanced-stage, low-cost, and large-scale HMS project. In addition to its stand-alone, ilmenite, rutile (titanium) and zircon (zirconium) production capability, the Toliara Project also contains large quantities of monazite. According to a Definitive Feasibility Study (the "Toliara DFS2") on titanium and zirconium minerals and a Preliminary Feasibility Study (the "Toliara Monazite PFS") on monazite, the Toliara Project boasts a net present value ("NPV") of $2.0 billion at a 10% discount rate, with expected monazite production of approximately 17,000 tpa in its first phase, ramping up to a maximum of 27,795 tpa in its second phase, averaging 21,800 tpa over the life of the project.2 Energy Fuels believes its U.S.-based REE separation capabilities have the potential to increase these valuations materially. The Toliara Project is subject to negotiation of fiscal terms applying to the Project with the Madagascar government and the receipt of certain Madagascar government approvals and actions, including the lifting of a suspension on development at the Toliara Project pending negotiation of fiscal terms and the addition of Monazite recovery to the existing mine permit, before development may commence. On December 27, 2023, the Company announced that it had entered into a non-binding Memorandum of Understanding ("MOU") with Astron Corporation Limited ("Astron") to jointly develop the Donald Project in Australia. The Donald Project is a well-known HMS and rare earth deposit that the Company believes could provide the Mill with another near-term, low-cost, and large-scale source of monazite sand for the recovery of REE oxides along with the contained uranium. The Donald Project has most licenses and permits in place (or at an advanced stage of completion). The MOU sets out in broad terms the basis upon which the parties would enter into an Australian incorporated Venture under which Energy Fuels would invest up to AUS$180 million (approximately $117 million at current exchange rates) to earn up to a 49% interest in the Venture. In addition, the Company would issue to Astron common shares having a value of up to $17.5 million. Based on a Definitive Feasibility Study (the "Donald DFS"), the Donald Project has the potential to produce approximately 7,000 to 8,000 tonnes of monazite per year during its first phase, and 13,000 to 14,000 tonnes during its second phase,3 and is expected by the Company to be another low-cost source of feed for the Mill's REE production. Although the Company is currently in the process of completing due diligence and negotiating definitive agreements with Astron, there ...