Welcome!

.NET Authors: Jim Kaskade, Adine Deford, TJ Randall, Sandi Mappic, Ivan Antsipau

News Feed Item

Energy Fuels Announces FY-2012 Annual Results

TORONTO, ONTARIO -- (Marketwire) -- 12/22/12 -- Energy Fuels Inc. (TSX:EFR) ("Energy Fuels" or the "Company") today reported its financial results for the quarter and year-ended September 30, 2012 ("FY-2012"). The Company's Audited Annual Consolidated Financial Statements, along with Management's Discussion and Analysis and Annual Information Form, have been filed on the System for Electronic Document Analysis and Retrieval and may be viewed at www.sedar.com. Unless noted otherwise, all dollar amounts are in US dollars.

Transformational Year for Energy Fuels

The past year was transformational for Energy Fuels, as the Company attained a dominant production and resource position within the uranium sector's single largest market, the United States. In a period of less than six months between February 2012 and July 2012, Energy Fuels augmented its business, successfully capitalizing on growth opportunities in a highly dynamic market environment. Within this short period of time, Energy Fuels became the largest conventional uranium producer in the US, one of the largest holders of NI 43-101 compliant uranium resources in the US, and completed two capital market financings that raised aggregate gross proceeds of over Cdn $30 million.

Through the acquisition of all of the US-based uranium mining and production assets of Denison Mines Corp. (the "Denison Acquisition") in June 2012, Energy Fuels now owns and controls the White Mesa uranium mill ("White Mesa Mill"), which is the only operating uranium mill in the US. When combined with the Company's large, proximal resource base, the White Mesa Mill positions Energy Fuels to provide a long-term supply of uranium production from conventional ore as market conditions warrant.

In addition, through its February 2012 acquisition of Titan Uranium Inc. (the "Titan Acquisition"), Energy Fuels acquired the Sheep Mountain Project, one of the largest uranium development projects in the US. The Sheep Mountain Project has 30.3 million pounds of uranium oxide ("U3O8"), contained in approximately 12.9 million tons of Measured and Indicated Resources with an average grade of 0.12% U3O8. Shortly after completing the Titan Acquisition, Energy Fuels completed a pre-feasibility study on the Sheep Mountain Project. Using a 7% discount rate and a $60 per pound uranium price (which is the current Ux long-term price of uranium), the Sheep Mountain Project's estimated net present value is $161 million which, in itself and excluding Energy Fuels' other assets, represents a substantial premium to the Company's current market capitalization.

Despite being the world's largest producer of nuclear energy, the US currently imports over 90% of the uranium required to fuel its reactors. The Company believes its US-based portfolio of assets represents a important source of domestic supply, which should be expected to grow in strategic importance following the expected discontinuation of the US-Russia HEU agreement in December 2013, which currently provides approx. 45% of the uranium supply for the United States.

Selected Annual Information

The following selected financial information was obtained from or calculated using the Company's consolidated financial statements for the following fiscal years:


----------------------------------------------------------------------------
                                Year ended      Year ended       Year ended 
$000, except per share       September 30,   September 30,    September 30, 
 data                                 2012            2011         2010 (1) 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Results of Operations:                                                      
  Total revenues           $        25,028 $             -  $             - 
  Net income (loss)                 16,973          (3,567)          (4,315)
  Basic and diluted                                                         
   earnings (loss) per                                                      
   share                              0.06           (0.04)           (0.05)
----------------------------------------------------------------------------
----------------------------------------------------------------------------
                                                                            
----------------------------------------------------------------------------
                                     As at           As at            As at 
                             September 30,   September 30,    September 30, 
                                      2012            2011         2010 (1) 
----------------------------------------------------------------------------
Financial Position:                                                         
  Working capital          $        44,080 $         6,788  $         3,158 
  Property, plant and                                                       
   equipment                       133,085          33,292              480 
  Total assets                     239,808          43,493           33,793 
  Total long-term                                                           
   liabilities                      38,447             452              333 
----------------------------------------------------------------------------
(1)  As reported under Canadian GAAP                                        

Financial and Operational Highlights for FY-2012


--  Completed the Denison Acquisition and Titan Acquisition on June 29, 2012
    and February 29, 2012, respectively. 
--  Energy Fuels' sales, following completion of the Denison Acquisition,
    were 447,000 pounds U3O8 at an average realized price of $55.83 per
    pound for the quarter and year-ended September 30, 2012. Approximately
    44% of these sales were under existing uranium supply contracts.
--  Energy Fuels' production at the White Mesa Mill, following the
    completion of the Denison Acquisition, totaled 310,480 pounds of U3O8
    for the quarter and year-ended September 30, 2012. Production included
    79,764 lbs U3O8 from alternate feed materials and 230,716 lbs U3O8 from
    Arizona 1 and Daneros conventional ore. Production cash cost was
    $44.26(1) per lb U3O8 for the quarter and year-ended September 30, 2012.
--  As of September 30, 2012, the Company had working capital of $44.1
    million, including cash and cash equivalents of $13.7 million,
    marketable securities of $1.6 million and 225,000 pounds of U3O8
    inventory. Based on spot market prices at September 30, 2012, this
    inventory had a value of $10.5 million. 
--  Raised aggregate gross proceeds of Cdn $30.2 million through a Cdn $8.2
    million equity financing in June 2012 and a Cdn $22 million unsecured,
    subordinated convertible debenture offering in July 2012. 
--  Subsequent to September 30, 2012, Energy Fuels announced that, in order
    to manage the current challenging uranium market environment, the
    Company would focus on its lower cost sources of production at its
    Arizona Strip mines and alternate feed production. As announced on
    October 17, 2012, the Company placed its Daneros and Beaver mines on
    standby. In December 2012, the Pandora mine was also placed on standby.

Reconciliation of non-GAAP financial measures

The Company has included certain non-GAAP financial measures in this news release. These measures are not defined under International Financial Reporting Standards ("IFRS") and should not be considered in isolation. The Company believes that these measures, together with measures determined in accordance with IFRS, provide investors with an improved ability to evaluate the underlying performance of the Company. The inclusion of these measures is meant to provide additional information and should not be used as a substitute for performance measures prepared in accordance with IFRS. These measures are not necessarily standard and therefore may not be comparable to other issuers.


----------------------------------------------------------------------------
(1)  Cash cost of production per pound is a non-GAAP financial measure      
     defined as the costs of mining the ore fed to the mill in the year,    
     which include fair value adjustments to beginning stockpile            
     inventories, plus the costs of milling less a credit for vanadium      
     produced in the period and excluding depreciation and amortization,    
     divided by lbs. of U3O8 produced during the year.                      

Energy Fuels Outlook for FY-2013

Energy Fuels will continue to manage its operations in a prudent, conservative manner until the expected improvement in the uranium market is observed and sustained. This strategy entails operations that will focus on lower cost sources of production and levels of output that are generally tailored toward fulfilling the Company's delivery requirements under its uranium supply contracts. As such, Energy Fuels expects that 90-95% of its FY-2013 sales will be pursuant to existing term contracts. Development and maintenance of the Company's asset portfolio is expected to continue to position Energy Fuels to increase production upon the occurrence of improved market conditions. Highlights for Energy Fuels' outlook for FY-2013 are as follows:


--  FY-2013 Sales: Uranium sales are estimated to be 1,000,000 to 1,050,000
    lbs U3O8, of which 957,000 lbs is expected to be sold under uranium
    supply contracts and the remainder is expected to be sold into the spot
    market. Vanadium sales ("V2O5") are estimated to be between 1,900,000
    and 2,000,000 lbs. 
--  FY-2013 Production: Uranium production is estimated to be approximately
    1,000,000 lbs U3O8 sourced from both conventional ore and alternate feed
    sources. Conventional ore production is expected to include the Beaver
    and Pandora ore contained in stockpile as of September 30, 2012, as
    well as the Beaver and Pandora ore mined during FY-2013. Given the
    expected U3O8 production from Beaver and Pandora ores, Energy Fuels
    estimates that it will produce between 1,900,000 and 2,000,000 lbs of
    V2O5 in FY-2013. 
--  FY-2013 Mining Activities: Mining on the Arizona Strip is expected to
    continue during FY-2013 at the Arizona 1 and Pinenut mines, although
    this ore is not expected to be milled until FY-2014, in addition to the
    Daneros ore currently stockpiled. Effective October 17, 2012, the
    Company placed the Daneros and Beaver mines on standby. The Pandora mine
    was previously expected to be shut down in mid-2013 but was placed on
    standby in December 2012. 
--  FY-2013 Project Development: Energy Fuels plans to invest in high
    priority development projects and maintain general permitting and
    exploration activities in FY-2013. Development of the Canyon mine in
    Arizona is planned to continue in FY-2013, with the start of shaft
    sinking planned to begin in early FY-2013. The estimated cost of
    development activities at the Canyon mine is expected to be $4.4 million
    for FY-2013. Energy Fuels plans to continue permitting the Sheep
    Mountain Project at an estimated cost of $1.1 million for FY-2013. Other
    permitting and exploration expenditures are estimated to be $1.8 million
    for FY-2013.

Well-Positioned for Current Market Conditions and Future Growth

Energy Fuels believes it is well positioned as the leading conventional uranium producer in the US, with the potential to become a significant uranium producer on a global scale. The Company's current production profile accounts for approx. 25% of US production, and the Company owns a portfolio of assets which provides a platform for significant production growth in the future. In the midst of relatively weak uranium spot prices, Energy Fuels is focusing on lower cost sources of production from its high-grade Arizona Strip mines and alternate feed materials in order to meet the delivery requirements under its existing uranium supply contracts. Energy Fuels has three existing contracts to deliver substantial quantities of uranium to US and international utilities. The in-place contracts include pricing terms which provide a premium to the current uranium spot price, which helps mitigate the challenges of current market conditions. In the event uranium spot prices return to pre-Fukushima levels of $70+ per pound, Energy Fuels believes it has the ability to substantially increase production at the White Mesa Mill over time, through the Company's Arizona Strip mines, Colorado Plateau mines (which would also include significant vanadium production), Henry Mountains Complex, and increased uranium-bearing alternate feed processing. In addition, the Sheep Mountain Project, a large stand-alone uranium project, is expected to produce 1.5 million pounds U3O8 from both open-pit and underground mining operations according to its 2012 prefeasibility study. As discussed below in the Market Outlook for FY-2013, Energy Fuels believes that uranium market conditions are improving.

Market Outlook for FY-2013

Energy Fuels expects improvements in the uranium market during FY-2013. It is currently seeing increased activity in the uranium market with both spot market transaction activity recently increasing and several long-term supply contract proposals from utilities being tendered during the past couple of months. Demand fundamentals within the uranium sector are strong, with China, Russia, India, the US, the UK, Saudi Arabia and Brazil continuing to develop nuclear power plants. Globally, there are 64 nuclear reactors under construction, and 483 nuclear reactors planned or proposed. The recent Japanese election results also appear to bode well for the re-start of Japanese reactors, as the Liberal Democratic Party, a proponent of nuclear power, won via a significant majority. In terms of supply, the discontinuation of the US-Russia HEU agreement in December 2013 is expected to remove up to 18 to 24 million pounds of uranium from the market, and recently announced delays of several new uranium development projects are expected to further constrict supply over the medium- to long-term. Energy Fuels believes the aforementioned market conditions will result in modest strengthening of the uranium spot price during FY-2013 with accelerated strengthening expected beyond FY-2013.

Stephen P. Antony, P.E., President & CEO of Energy Fuels, is a Qualified Person as defined by National Instrument 43-101 and has reviewed and approved the technical disclosure contained in this document.

About Energy Fuels: Energy Fuels is America's largest conventional uranium producer, supplying approximately 25% of the uranium produced in the U.S., and is also a significant producer of vanadium. The company operates the White Mesa Mill, which is the only conventional uranium mill currently operating in the U.S., capable of processing 2,000 tons per day of uranium ore. Energy Fuels has projects located throughout the Western U.S., including producing mines and mineral properties in various stages of permitting and development.

This news release contains certain "Forward-Looking Statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended and "Forward Looking Information" within the meaning of applicable Canadian securities legislation, which may include, but is not limited to, statements with respect to the future financial or operating performance of the Company and its projects. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" "does not expect", "is expected", "is likely", "budget" "scheduled", "estimates", "forecasts", "intends", "anticipates", "does not anticipate", or "believes", or variations of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur", "be achieved" or "has the potential to". All statements, other than statements of historical fact, included herein are generally considered to be forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements express or implied by the forward-looking statements. Factors that could cause actual results to differ materially from those anticipated in these forward- looking statements are described under the caption "Risk Factors" in the Company's Annual Information Form dated as of December 20, 2012, which is available for view on the System for Electronic Document Analysis and Retrieval at www.sedar.com. Forward-looking statements contained herein are made as of the date of this news release and the Company disclaims, other than as required by law, any obligation to update any forward-looking statements whether as a result of new information, results, future events, circumstances, or if management's estimates or opinions should change, or otherwise. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

@ThingsExpo Stories
SYS-CON Events announced today that SOA Software, an API management leader, will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. SOA Software is a leading provider of API Management and SOA Governance products that equip business to deliver APIs and SOA together to drive their company to meet its business strategy quickly and effectively. SOA Software’s technology helps businesses to accelerate their digital channels with APIs, drive partner adoption, monetize their assets, and achieve a...
SYS-CON Events announced today that Aria Systems, the recurring revenue expert, has been named "Bronze Sponsor" of SYS-CON's 15th International Cloud Expo®, which will take place on November 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Aria Systems helps leading businesses connect their customers with the products and services they love. Industry leaders like Pitney Bowes, Experian, AAA NCNU, VMware, HootSuite and many others choose Aria to power their recurring revenue business and deliver exceptional experiences to their customers.
SYS-CON Events announced today that AgilePoint, the leading provider of Microsoft-centric Business Process Management software, will exhibit at SYS-CON's 2nd International @ThingsExpo which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. AgilePoint is the leading provider of Microsoft-based Business Process Management (BPM) software products, has 1,300+ on-premise and cloud deployments in 25+ countries and provides the same advanced BPM feature set as J2EE vendors like IBM and Appian for the Microsoft .NET native environment. AgilePoint customer...
The Internet of Things (IoT) promises to evolve the way the world does business; however, understanding how to apply it to your company can be a mystery. Most people struggle with understanding the potential business uses or tend to get caught up in the technology, resulting in solutions that fail to meet even minimum business goals. In his session at Internet of @ThingsExpo, Jesse Shiah, CEO / President / Co-Founder of AgilePoint Inc., will show what is needed to leverage the IoT to transform your business. He will discuss opportunities and challenges ahead for the IoT from a market and tec...
SYS-CON Events announced today that Utimaco will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Utimaco is a leading manufacturer of hardware based security solutions that provide the root of trust to keep cryptographic keys safe, secure critical digital infrastructures and protect high value data assets. Only Utimaco delivers a general-purpose hardware security module (HSM) as a customizable platform to easily integrate into existing software solutions, embed business logic and build s...
One of the biggest challenges when developing connected devices is identifying user value and delivering it through successful user experiences. In his session at Internet of @ThingsExpo, Mike Kuniavsky, Principal Scientist, Innovation Services at PARC, will describe an IoT-specific approach to user experience design that combines approaches from interaction design, industrial design and service design to create experiences that go beyond simple connected gadgets to create lasting, multi-device experiences grounded in people’s real needs and desires.
Samsung VP Jacopo Lenzi, who headed the company's recent SmartThings acquisition under the auspices of Samsung's Open Innovaction Center (OIC), answered a few questions we had about the deal. This interview was in conjunction with our interview with SmartThings CEO Alex Hawkinson. IoT Journal: SmartThings was developed in an open, standards-agnostic platform, and will now be part of Samsung's Open Innovation Center. Can you elaborate on your commitment to keep the platform open? Jacopo Lenzi: Samsung recognizes that true, accelerated innovation cannot be driven from one source, but requires a...
The Internet of Things will greatly expand the opportunities for data collection and new business models driven off of that data. In her session at Internet of @ThingsExpo, Esmeralda Swartz, CMO of MetraTech, will discuss how for this to be effective you not only need to have infrastructure and operational models capable of utilizing this new phenomenon, but increasingly service providers will need to convince a skeptical public to participate. Get ready to show them the money! Speaker Bio: Esmeralda Swartz, CMO of MetraTech, has spent 16 years as a marketing, product management, and busin...
SYS-CON Events announced today that TeleStax, the main sponsor of Mobicents, will exhibit at Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. TeleStax provides Open Source Communications software and services that facilitate the shift from legacy SS7 based IN networks to IP based LTE and IMS networks hosted on private (on-premise), hybrid or public clouds. TeleStax products include Restcomm, JSLEE, SMSC Gateway, USSD Gateway, SS7 Resource Adaptors, SIP Servlets, Rich Multimedia Services, Presence Services/RCS, Diame...
Things are being built upon cloud foundations to transform organizations. This CEO Power Panel at 15th Cloud Expo, moderated by Roger Strukhoff, Cloud Expo and @ThingsExpo conference chair, will address the big issues involving these technologies and, more important, the results they will achieve. How important are public, private, and hybrid cloud to the enterprise? How does one define Big Data? And how is the IoT tying all this together?
We certainly live in interesting technological times. And no more interesting than the current competing IoT standards for connectivity. Various standards bodies, approaches, and ecosystems are vying for mindshare and positioning for a competitive edge. It is clear that when the dust settles, we will have new protocols, evolved protocols, that will change the way we interact with devices and infrastructure. We will also have evolved web protocols, like HTTP/2, that will be changing the very core of our infrastructures. At the same time, we have old approaches made new again like micro-services...
The only place to be June 9-11 is Cloud Expo & @ThingsExpo 2015 East at the Javits Center in New York City. Join us there as delegates from all over the world come to listen to and engage with speakers & sponsors from the leading Cloud Computing, IoT & Big Data companies. Cloud Expo & @ThingsExpo are the leading events covering the booming market of Cloud Computing, IoT & Big Data for the enterprise. Speakers from all over the world will be hand-picked for their ability to explore the economic strategies that utility/cloud computing provides. Whether public, private, or in a hybrid form, clo...
SYS-CON Events announces a new pavilion on the Cloud Expo floor where WebRTC converges with the Internet of Things. Pavilion will showcase WebRTC and the Internet of Things. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devices--computers, smartphones, tablets, and sensors – connected to the Internet by 2020. This number will continue to grow at a rapid pace for the next several decades.
SYS-CON Events announced today that Gridstore™, the leader in software-defined storage (SDS) purpose-built for Windows Servers and Hyper-V, will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Gridstore™ is the leader in software-defined storage purpose built for virtualization that is designed to accelerate applications in virtualized environments. Using its patented Server-Side Virtual Controller™ Technology (SVCT) to eliminate the I/O blender effect and accelerate applications Gridsto...
SYS-CON Events announced today that Red Hat, the world's leading provider of open source solutions, will exhibit at Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Red Hat is the world's leading provider of open source software solutions, using a community-powered approach to reliable and high-performing cloud, Linux, middleware, storage and virtualization technologies. Red Hat also offers award-winning support, training, and consulting services. As the connective hub in a global network of enterprises, partners, a...
As the Internet of Things unfolds, mobile and wearable devices are blurring the line between physical and digital, integrating ever more closely with our interests, our routines, our daily lives. Contextual computing and smart, sensor-equipped spaces bring the potential to walk through a world that recognizes us and responds accordingly. We become continuous transmitters and receivers of data. In his session at Internet of @ThingsExpo, Andrew Bolwell, Director of Innovation for HP’s Printing and Personal Systems Group, will discuss how key attributes of mobile technology – touch input, senso...
The Internet of Things (IoT) is making everything it touches smarter – smart devices, smart cars and smart cities. And lucky us, we’re just beginning to reap the benefits as we work toward a networked society. However, this technology-driven innovation is impacting more than just individuals. The IoT has an environmental impact as well, which brings us to the theme of this month’s #IoTuesday Twitter chat. The ability to remove inefficiencies through connected objects is driving change throughout every sector, including waste management. BigBelly Solar, located just outside of Boston, is trans...
Connected devices and the Internet of Things are getting significant momentum in 2014. In his session at Internet of @ThingsExpo, Jim Hunter, Chief Scientist & Technology Evangelist at Greenwave Systems, will examine three key elements that together will drive mass adoption of the IoT before the end of 2015. The first element is the recent advent of robust open source protocols (like AllJoyn and WebRTC) that facilitate M2M communication. The second is broad availability of flexible, cost-effective storage designed to handle the massive surge in back-end data in a world where timely analytics...
Internet of @ThingsExpo Silicon Valley announced on Thursday its first 12 all-star speakers and sessions for its upcoming event, which will take place November 4-6, 2014, at the Santa Clara Convention Center in California. @ThingsExpo, the first and largest IoT event in the world, debuted at the Javits Center in New York City in June 10-12, 2014 with over 6,000 delegates attending the conference. Among the first 12 announced world class speakers, IBM will present two highly popular IoT sessions, which will take place November 4-6, 2014 at the Santa Clara Convention Center in Santa Clara, Calif...
From a software development perspective IoT is about programming "things," about connecting them with each other or integrating them with existing applications. In his session at @ThingsExpo, Yakov Fain, co-founder of Farata Systems and SuranceBay, will show you how small IoT-enabled devices from multiple manufacturers can be integrated into the workflow of an enterprise application. This is a practical demo of building a framework and components in HTML/Java/Mobile technologies to serve as a platform that can integrate new devices as they become available on the market.