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Energy Fuels Awarded Contract to Sell $18.5 Million of Uranium to U.S. Uranium Reserve
DOE program supports critical domestic clean energy & national security priorities Pending membership in DOE HALEU Consortium to support fuel for next generatio
About this update from Energy Fuels Inc.
[{"type":"text","content":" DOE program supports critical domestic clean energy & national security priorities Pending membership in DOE HALEU Consortium to support fuel for next generation advanced nuclear reactors LAKEWOOD, Colo., Dec. 16, 2022 /CNW/ - Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR) (\"Energy Fuels\" or the \"Company\"), a leading U.S. producer of uranium and rare earth elements (\"REE\"), today announced that it has been awarded a contract to sell $18.5 million of natural uranium concentrates (\"U3O8\") to the U.S. government for the establishment of a strategic uranium reserve (the \"Uranium Reserve\"). The U.S. National Nuclear Security Administration (\"NNSA\"), an office within the U.S. Department of Energy (\"DOE\"), is the agency tasked with purchasing domestic U3O8 and conversion services for the Uranium Reserve. The Uranium Reserve is intended to be a backup source of supply for domestic nuclear power plants in the event of a significant market disruption. Additionally, the Company announced its application for membership in the DOE's newly created HALEU Consortium. Uranium Reserve Award: Energy Fuels expects to complete the sale of uranium for the Uranium Reserve to NNSA during Q1-2023 and realize total gross proceeds of $18.5 million. The U3O8 the Company expects to sell to the U.S. government is currently held in the Company's inventory at the Metropolis Works Conversion Facility, located in Metropolis, Illinois. The sale does not involve the physical movement of material, so the sale and transfer can be completed quickly. Mark S. Chalmers, President and CEO of Energy Fuels stated: \"Energy Fuels is pleased to contribute to U.S. energy security by supplying U.S.-origin uranium to the U.S. uranium reserve. Russia's invasion of Ukraine has highlighted America's troubling dependence on Russia and its allies for our nuclear fuel and uranium supply, and the need for the U.S. to rebuild its uranium and nuclear fuel capabilities. Today, nuclear energy provides the U.S. with roughly 20% of all electricity, and 50% of our clean, carbon-free electricity. U.S. and European nuclear industries are actively working to shift away from Russian uranium supply, but the process will be difficult and lengthy. The U.S. can rely on supply from allies like Canada, Australia and others for a large proportion of our uranium and nu...