Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR) released results from an updated feasibility study for its 100%-owned Vara Mada heavy mineral sands project in Madagascar, confirming exceptional project economics, world-class rare earth, titanium, and zircon mineral reserves and resources, and an initially modeled 38-year mine life with potential for further expansion. The study outlines a post-tax net present value of approximately $1.8 billion at a 10% discount rate, or $7.30 per share, and projects ramp-up to more than $500 million in annual EBITDA from the project alone.
The feasibility study highlights plans to process monazite produced at Vara Mada through the company’s White Mesa Mill in Utah, positioning Energy Fuels to supply a significant portion of projected U.S. demand for both light and heavy rare earth oxides while supporting secure, U.S.-centered critical mineral supply chains. This development is crucial for reducing reliance on foreign sources of rare earth elements, which are essential for various high-tech and defense applications.
Energy Fuels is a leading U.S.-based critical materials company, focused on uranium, rare earth elements (REEs), heavy mineral sands, vanadium, and medical isotopes. The company owns and operates several conventional and in-situ recovery uranium projects in the western United States and has been the leading U.S. producer of natural uranium concentrate for the past several years. Its White Mesa Mill in Utah is the only fully licensed and operating conventional uranium processing facility in the United States, where it also produces advanced REE products and vanadium oxide when market conditions warrant.
Beyond the Vara Mada Project, Energy Fuels is developing two other heavy mineral sands projects: the 100% owned Bahia Project in Brazil and the Donald Project in Australia, where Energy Fuels has the right to earn up to a 49% interest in a joint venture with Astron Corporation Limited. These projects underscore the company's strategic focus on securing critical mineral supply chains outside of China.
The updated feasibility study for Vara Mada represents a significant milestone for Energy Fuels, as it not only confirms the project's economic viability but also its potential to become a major supplier of rare earth materials to the U.S. market. With the White Mesa Mill's processing capabilities, the company is well-positioned to integrate upstream mining with downstream processing, creating a vertically integrated supply chain for rare earth oxides.
For more details on the full press release, visit https://ibn.fm/0lpS1. The latest news and updates relating to UUUU are available in the company’s newsroom at http://ibn.fm/UUUU.
