Get the Latest Investment Ideas Delivered Straight to Your Inbox.

News Update

TICKERS: EFR; UUUU

Uranium Miner Updates PFS on Wyoming Project
News Update

Source:

Energy Fuels' new report includes changes made to the mine plan.

Energy Fuels Inc. (EFR:TSX; UUUU:NYSE.American) updated the preliminary feasibility study (PFS) on its Sheep Mountain uranium project in Wyoming, it announced in a news release.

Sheep Mountain encompasses a proposed open-pit mine, the Congo Pit, and a Sheep underground mine reopening. The PFS included changes to the project mine plan.

As far as Probable mineral reserves, they remain unchanged from the previous PFS of 2012. Congo Pit contains an estimated 3,955,000 tons of uranium equivalent with an average grade of 0.115%, containing 9,117,000 pounds of uranium. Sheep contains about 3,498,000 tons of uranium equivalent with an average grade of 0.132% containing 9,248,000 pounds of uranium.

For Sheep Mountain, the PFS outlined an annual average recovery of about 1.4 million pounds U3O8 over a 12-year mine life. Assuming a $60 per pound selling price, operating costs were projected to be $36.80 per pound of recovered uranium. Capital expenditures for the life of the project were forecast to be about $152.6 million.

Energy Fuels reported two differences between the 2012 study and the update. In the new PFS, the pre-tax internal rate of rate of return is 28%, down from 35%. Similarly, the net present value (at a 7% discount rate) is lower at $114.5 million, down from $173.5 million.

"The lowered economics are mainly due to a decrease in the assumed uranium sales price from $65 per pound to $60 per pound, an increase in direct costs from $32.31 per pound to $36.80 per pound and an increase in total capital expenditures from $122.4 million to $152.6 million," the release explained.

[NLINSERT]

Disclosure:
1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Energy Fuels. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article until three business days after the publication of the interview or article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.




Learn More about Which Online Broker is Right for You?

Want to read more about Uranium investment ideas?
Get Our Streetwise Reports Newsletter Free and be the first to know!

A valid email address is required to subscribe