Encore Energy Corp. · TSXV:EU
Encore Energy — Investor Presentation (April 2024)
40 slides from Encore Energy's investor presentation, Apr 26, 2024
Slide 1: Uranium Production in the USA
Uranium Production in the USA April 2024 NASDAQ:EU | TSX.V:EU encoreuranium.com
Slide 2: Disclaimer
Disclaimer ©2024 enCore Energy Corp., All rights reserved. Unless otherwise noted, “enCore” and all other marks used in this presentation are trademarks of enCore Energy (the “Company”). Any reproduction or dissemination of any feature of this presentation, in whole or in part, or any use of this pr
Slide 3: United States Uranium Supply and Demand
United States Uranium Supply and Demand The World’s Largest Consumer and Minimal Uranium Production Declining US Supply: -200K lbs/yr Increasing US Demand: +48 MM lbs/yr Uranium concentrate production in the United States, 2000 to fourth-quarter 2023 P = Preliminary data Data source: U.S. Energy Inf
Slide 4: enCore Energy: America's Clean Energy Company
enCore Energy: America’s Clean Energy Company Reliable, Responsible Domestic Uranium South Texas Production: Advanced Assets: US In-Situ Recovery: Uranium Rosita CPP in production with Production Pipeline Extraction process with proven Alta Mesa planned for Q2/24 74.41 Mlbs - M&I category economic a
Slide 5: enCore Energy: America's Clean Energy Company
enCore Energy: Uranium Spot Price (USD$) 150 America’s Clean Energy Company 100 URANIUM enCore’s Goal: Establish an annual 50 production rate of 3 million pounds U3O8 per year by the end of 2026 and 5 million pounds U3O8 per year by the end of 2028. 0 2004 2006 2008 2010 2012 2014 2016 2018 2020 202
Slide 6: enCore Corporate Summary
enCore Corporate Summary Analyst Coverage NASDAQ:EU | TSX.V:EU Marcus Giannini Market Capitalization (@$4.46 USD)* $ 808,896,583 USD Haywood Securities Inc. Shares Issued & Outstanding 181,366,947 Mike Kozak Warrants 23,112,684 Cantor Fitzgerald Options 8,096,085 Chris Thompson Fully Diluted 212,575
Slide 7: Board of Directors
Board of Directors Richard M. Cherry, MSc, PE William M. Sheriff, MSc Director Founder & Executive Chairman Mr. Cherry is a veteran executive with over 40-years of experience in the As a pioneer in the uranium renaissance, he co-founded and nuclear industry, having worked for Cotter Corp and Nuclear
Slide 8: Management
Management Paul Goranson, MSc, PE Shona Wilson Chief Executive Officer Chief Financial Officer Mr. Goranson has over 30 years of mining, processing and regulatory experience in the uranium Ms. Wilson has a distinguished career spanning over extraction industry that includes both conventional two dec
Slide 9: enCore Energy in the Nuclear Fuel Cycle
enCore Energy in the Nuclear Fuel Cycle NASDAQ:EU | TSX.V:EU 9
Slide 10: The Production Pipeline
The Production Pipeline GOAL : 3 million pounds U3O8/year production rate by 2026 5 million pounds U3O8/year production rate by 2028 NASDAQ:EU | TSX.V:EU 10
Slide 11: In-Situ Recovery (ISR)
In-Situ Recovery (ISR) environmentally superior & economically competitive Injection wells which add oxygen and carbon dioxide creating a lixiviant solution; uranium dissolves into the solution. Recovery wells pump the solution back to the surface to a processing facility. Monitoring wells sur
Slide 12: enCore's Contract and Sales Strategy
enCore’s Contract and Sales Strategy A blend of contracts with pricing collars and significant exposure to spot • 4.2 million pounds U3O8 in firm deliveries from 2023 to 2033; 1.6 optional ‘26-’32; • 6 sales agreements with 5 U.S. nuclear utilities including 3 large multi-reactor operators and one l
Slide 13: South Texas
South Texas A prolific US district for sandstone-hosted ISR production with historic production of ~80 million pounds. Most progressive permitting and production jurisdiction in the US. 47 identified deposits with ~60 million pounds of in-situ mineralization remaining. The USGS estimates the
Slide 14: Rosita CPP and Satellite Wellfields
Rosita CPP and Satellite Wellfields Now in Production: Rosita ISR Uranium Central Processing Plant Satellite Wellfield Plant NASDAQ:EU | TSX.V:EU 14
Slide 15: Rosita Central ISR Uranium Processing Plant (CPP)
Rosita Central ISR Uranium Processing Plant (CPP) South Texas One of enCore’s 3 licensed plants– in production as of November 2023. Located ~60 miles west of Corpus Christi, Texas; covers over 3,500 acres of mineral rights and plant facilities. A fully licensed CPP with a production capacity o
Slide 16: Alta Mesa Central ISR Uranium Processing Plant (CPP)
Alta Mesa Central ISR Uranium Processing Plant (CPP) South Texas Planned for production start in Q2/2024. Fully licensed CPP & existing resource located 80 miles from the Rosita CPP and 75 miles from the Kingsville Dome CPP. Total operating capacity of 1.5 million pounds of uranium/year; plann
Slide 17: Alta Mesa Joint Venture with Boss Energy
Alta Mesa Joint Venture with Boss Energy: Accelerating Company-Wide Production A joint venture on Alta Mesa Collaboration with enCore holding a 70% Agreement on the use joint venture interest and and joint technological remaining the project advancement of manager, and Boss Energy enCore’s proprieta
Slide 18: Dewey-Burdock Project
Dewey-Burdock Project South Dakota Edgemont uranium district in southwest South Dakota, approximately 60 miles from Cameco’s Crow Butte mine in Nebraska. Mineral rights and surface rights covering approximately 16,960 acres and 12,610 acres, respectively. 16 miles from Edgemont, serviced by two-lane
Slide 19: Dewey-Burdock Project
Dewey-Burdock Project South Dakota 2019 PRELIMINARY ECONOMICS ASSESSMENT Initial capital costs of US$31.7m is ‘sector leading’ for a project of this size Pre-tax IRR of 55% at US$55/lb long-term uranium 21 years Mine Life price (post-tax IRR of 50%) (incl. 2 year ramp-up) Annual Production 1.0 M
Slide 20: Gas Hills Project
Gas Hills Project Wyoming Located in Fremont and Natrona Counties, Wyoming. Wyoming has long history of successful ISR operations and is an Agreement state with positive permitting timelines. 100% ownership; road, power, natural gas and water access available nearby. Historic cumulative prod
Slide 21: Gas Hills Project
Gas Hills Project Mine Life 7 years Wyoming Annual Production 1.0 Mlbs/yr LOM Production 6.5 Mlbs 2021 PRELIMINARY ECONOMIC ASSSSMENT RESULTS Initial Capital Costs US$26.0M (US$3.99/lb) Potential satellite project to Dewey Burdock ISR Project Cash Operating Costs US$11.52/lb - Plant and well field
Slide 22: Crownpoint and Hosta Butte Project
Crownpoint and Hosta Butte Project New Mexico • A dominant land position in New Mexico – long term opportunity. • New Mexico’s Grants Uranium District has produced ~350 million pounds U3O8, or nearly 40% of all uranium mined in the US and is one of the largest uranium districts in the world. • A ‘ch
Slide 23: Crownpoint and Hosta Butte Project
A view of Laramide’s processing facility site on Section 24 Crownpoint and Hosta Butte Project New Mexico Crownpoint is permitted under Laramide Resources Ltd.’s Nuclear Regulatory Commission License to recover up to 3 million pounds per year. Crownpoint and Hosta Butte Current Mineral Resource Es
Slide 24: Corporate Social Responsibility
Corporate Social Responsibility As a leading In-Situ Recovery uranium producer enCore Energy has the potential to impact—and be impacted by—a range of sustainability topics. We are examining our sustainability impacts and priorities through a materiality assessment process, defining the topics that
Slide 25: Other Assets
Other Assets Exclusive access to privately-held databases of world-wide uranium data. Non-core asset divestment strategy. Investing in new technology: Group 11 Technologies, working to revolutionize environmentally-friendly mineral extraction of other metals by combining two proven technologie
Slide 26: enCore Energy: Investment Summary
enCore Energy: Investment Summary Uranium Production Accelerated Expansion Clean, Reliable Energy Commenced production at the With present 3.6 million pounds/yr Favorable conditions for South Texas Rosita CPP 11/23. production potential with ability to domestic uranium market 2024 production planned
Slide 27: Domestic Uranium Production
Domestic Uranium Production www.encoreuranium.com info@encoreuranium.com 214.295.1016 Grand Opening of the Rosita CPP NASDAQ:EU | TSX.V:EU 27
Slide 28: Pathway to production assets
enCore Energy resources Pathway to production assets NI 43-101 Mineral Resources Alta Mesa Project, South Texas Resource Category Million Tons Grade eU3O8% Attributable U3O8 (M lbs.*) Indicated mineral resource (ISR) 1.57 0.109 3.41 Inferred mineral resource (ISR) 7.00 0.120 16.79 Dewey-Burdock Proj
Slide 29: Other assets
NI 43-101 mineral resources Other assets Juniper Ridge Project, Wyoming Project Million Tons Grade eU3O8% Attributable U3O8 (M lbs.*) Indicated mineral resource (non-ISR) 5.14 0.058 6.01 Inferred mineral resource (non-ISR) 0.11 0.085 0.18 Aladdin Project, Wyoming Project Million Tons Grade eU3O8% At
Slide 30: US uranium sector renaissance
US uranium sector renaissance Global Geopolitics Domestic Supply Needed Department of Energy Nuclear Fuel Global nuclear fuel supply chain disrupted 60% of US uranium flows through Russia Strategic Uranium Reserve 2020 Energy Act: funding 3 and is “no longer a trustworthy source of Small Modular Rea
Slide 31: Global uranium & nuclear environment
Global uranium & nuclear environment Uranium supply in a ~200 nuclear reactors under construction or planned – net deficit position an increase of more than 40% of current operating nuclear fleet. “Global realignment away from Russia in the nuclear fuel supply chain…new emphasis on western, and in p
Slide 32: Uranium Spot Price: Timelines for Supply Shortage
Uranium Spot Price (USD) 150 6 100 Timelines for URANIUM 7 10 Supply 9 Shortage 5 4 50 Events in the 3 8 Uranium 1 2 March 2007- Sector: June 2009 Financial Crisis 0 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2024 History of Events 1. April 2003 McArthur River Mine Flood 6. February 2007 Rang
Slide 33: Uranium Supply & Demand Forecast
250 Million lbs U3O8 $104 Supply Gap (Required New Production) 200 Uranium Supply & 150 Demand Forecast 100 Uranium Spot Price Established Production 50 1Source: Historical Ux Weekly Prices, UxC.com as of January 12, 2024 2Source: Uranium Market Study 2022 Issue 4, TradeTech, LLC 3Source: World Nucl
Slide 34: The nuclear industry
The nuclear industry Strong public and private backing for development of Small Modular Reactors (SMRs) A key part of the Department of Energy’s goal to develop safe, clean, and affordable nuclear power options. A multi-year cost-shared funding opportunity was issued to support innovative, domes
Slide 35: United States Production History
United States Production History Among largest US ISR mines, operating until uranium prices depressed post-Fukushima 21st Century US ISR Production 24 22.0 22 20 Historic Production (Mlbs U3O8) 18 16 14 12 11.1 10 8 6 4.6 4 2.9 2.8 2 1.3 0.7 0.6 0.4 0 Smith Ranch Crow Butte Alta Mesa Lost Creek Will
Slide 36: enCore Energy: America's Clean Energy Company
enCore Energy: America’s Clean Energy Company Fully funded uranium production strategy to provide clean, reliable and carbon-free domestic energy. enCore’s Goal: Establish an annual production rate of 3 million pounds U3O8 per year by the end of 2026 and 5 million pounds U3O8 per year by the end of
Slide 37: Windmills vs nuclear energy
Windmills vs nuclear energy NASDAQ:EU | TSX.V:EU 37
Slide 38: 1 nuclear energy plant vs wind power
1 nuclear energy plant vs wind power NASDAQ:EU | TSX.V:EU 38
Slide 39: Safe nuclear power
Safe nuclear power Comparative death rates per unit of electricity production Based on deaths from accidents and air pollution per terawatt-hour (TWh) of electricity. NASDAQ:EU | TSX.V:EU 39
Slide 40: References
enCore Energy References Conoco Inc., Internal Memorandum, Treeline Uranium Property, Technical Report on the Aladdin Uranium Project, Crook County, Mine Plan - Sections 23 and 25 Ambrosia Lake, New Mexico, for Rio McKinley County, New Mexico, 1978. Wyoming, completed by Jerry D. Bush, certified Pro