DENVER, May 3, 2018 /PRNewswire/ - Energy Fuels Inc.
(NYSE American: UUUU; TSX: EFR) ("Energy Fuels" or the
"Company"), a leading uranium producer in the
U.S., is pleased to announce that it has closed the sale
of certain non-core uranium properties in Wyoming to Uranium Energy Corp. ("UEC") for
$5.39 million, including $2.94 million of cash and $2.45 million of shares in UEC at a deemed
issuance price of $1.5072 per share
of UEC.
The disposed properties, which are adjacent to UEC's Reno Creek
Project, are considered non-core to the Company, as they would
require extensive permitting and licensing work, and significant
time and capital, for Energy Fuels to bring them into commercial
operation as a standalone project in the future. Therefore, the
Company believes these assets are much better suited to be combined
with UEC's Reno Creek Project. In addition, the Company holds other
low cost ISR assets that are currently in production, or that can
be brought into production sooner and on a greater scale than the
disposed assets. This includes the operating and fully-permitted
Nichols Ranch ISR Project and the fully-permitted Jane Dough and
Hank properties in Wyoming, along
with the fully-constructed, licensed, and permitted Alta Mesa ISR
Project in Texas which is
currently on standby.
Mark S. Chalmers, President and
CEO of Energy Fuels stated: "Maintaining the strength of our
balance sheet is one of the central focuses of Energy Fuels.
Therefore, we are endeavoring to monetize certain assets that are
stranded or non-core to our long-term business plans. The
completion of today's transaction achieves this focus, by adding
over $5 million to our balance sheet
and reducing our holding costs. This is a remarkable time in the
U.S. uranium market, and our filing of a 232 Petition earlier this
year with the U.S. government has the strong potential to
significantly increase the value of uranium produced in
the United States. While we are
disposing of stranded and non-core assets, we are retaining
low-cost producing, constructed, and/or permitted assets. These are
the assets that will enable Energy Fuels to ramp-up production more
quickly and on a greater scale than our peers."
About Energy Fuels: Energy Fuels is a leading
integrated U.S. uranium mining company, supplying
U3O8 to major nuclear utilities. Its
corporate offices are in Denver,
Colorado, and all of its assets and employees are in the
western United States. Energy
Fuels holds three of America's key uranium production centers, the
White Mesa Mill in Utah, the
Nichols Ranch Processing Facility in Wyoming, and the Alta Mesa Project in
Texas. The White Mesa Mill is the
only conventional uranium mill operating in the U.S. today and has
a licensed capacity of over 8 million pounds of
U3O8 per year. The Nichols Ranch Processing
Facility is an in-situ recovery production center with a licensed
capacity of 2 million pounds of U3O8 per
year. Alta Mesa is an in-situ
recovery production center with a licensed capacity of 1.5 million
pounds of U3O8 per year, which is currently
on care and maintenance due to low uranium prices. Energy Fuels
also has the largest uranium resource portfolio in the U.S. among
producers, and uranium mining projects located in a number of
Western U.S. states, including one producing in-situ recovery
project, mines on standby, and mineral properties in various stages
of permitting and development. Energy Fuels also produces vanadium
as a by-product of its uranium production from certain of its mines
on the Colorado Plateau, as market conditions warrant. The primary
trading market for Energy Fuels' common shares is the NYSE American
under the trading symbol "UUUU", and the Company's common shares
are also listed on the Toronto Stock Exchange under the trading
symbol "EFR". Energy Fuels' website is
www.energyfuels.com.
Cautionary Note Regarding Forward-Looking
Statements: Certain information contained in this news
release, including any information relating to: the Company being a
leading uranium producer in the U.S.; the disposed properties being
considered stranded or non-core to the Company's business plans;
the Company's belief that the disposed properties are better suited
to be combined with UEC's Reno Creek Project; the scalability and
timing for increasing production at other of the Company's assets;
maintaining the strength of the Company's balance sheet; the
potential for the 232 Petition to increase the value of U.S.
uranium; and any other statements regarding Energy Fuels' future
expectations, beliefs, goals or prospects; constitute
forward-looking information within the meaning of applicable
securities legislation (collectively, "forward-looking
statements"). All statements in this news release that are not
statements of historical fact (including statements containing the
words "expects", "does not expect", "plans", "anticipates", "does
not anticipate", "believes", "intends", "estimates", "projects",
"potential", "scheduled", "forecast", "budget" and similar
expressions) should be considered forward-looking statements. All
such forward-looking statements are subject to important risk
factors and uncertainties, many of which are beyond Energy Fuels'
ability to control or predict. 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 factors relating to: the Company being a leading
uranium producer in the U.S.; the disposed properties being
considered stranded or non-core to the Company's business plans;
the Company's belief that the disposed properties are better suited
to be combined with UEC's Reno Creek Project; the scalability and
timing for increasing production at other of the Company's assets;
maintaining the strength of the Company's balance sheet; the
potential for the 232 Petition to increase the value of U.S.
uranium; and other risk factors as described in Energy Fuels' most
recent annual report on Form 10-K and quarterly financial reports.
Energy Fuels assumes no obligation to update the information in
this communication, except as otherwise required by law. Additional
information identifying risks and uncertainties is contained in
Energy Fuels' filings with the various securities commissions which
are available online at www.sec.gov and www.sedar.com.
Forward-looking statements are provided for the purpose of
providing information about the current expectations, beliefs and
plans of the management of Energy Fuels relating to the future.
Readers are cautioned that such statements may not be appropriate
for other purposes. Readers are also cautioned not to place undue
reliance on these forward-looking statements, that speak only as of
the date hereof.
View original
content:http://www.prnewswire.com/news-releases/energy-fuels-closes-sale-of-non-core-uranium-properties-in-wyoming-adds-5-39-million-to-balance-sheet-300641556.html
SOURCE Energy Fuels Inc.