InvestorWire NewsRoom

Article

Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR) Poised for Growth as Uranium Price Expected to Increase
March 1, 2021

Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR) Poised for Growth as Uranium Price Expected to Increase

  • Industry leaders remain hopeful that 2021 will be positive year for uranium market
  • Demand outstrips supply as global push for carbon-free energy source gains momentum amid muted supply
  • As the leading U.S. uranium producer, Energy Fuels is ready to leverage growing market opportunity, remain at forefront of U.S. nuclear energy space

After years of stagnation, industry leaders are confident that the uranium market is going through a revival, heading for potentially rapid growth in the coming years. As a leading U.S. uranium producer, Energy Fuels (NYSE American: UUUU) (TSX: EFR) appears poised to seize on the growing calls for nuclear energy to be deployed to help address climate change and reduce air pollution.

Uranium prices have been depressed for several years, as demand dropped after the 2011 Fukushima disaster in Japan. However, supply shortages and the global quest for alternative, low-carbon power sources have renewed interest in this market.

A recent article published by “Investing News” cites industry leaders feeling optimistic about the direction of the market in 2021 on the back of the strong fundamentals that can drive robust growth. Increasingly recognized as an essential part of the clean energy mix, nuclear energy could significantly increase its share of global electricity production from the current 10%. Nuclear provides 20% of U.S. electricity, and 55% of the carbon-free electricity produced in the country.

The uranium price has increased by more than 20% over the past year to around $30 as longer-term fundamentals are expected to remain strong for the sector (https://ibn.fm/MTv5D). Based on cost-curve support calculations, the long-term sustainable uranium spot price is most likely in the $40–$50 per pound range with a potential multiyear spike to $80/lb, according to a recent industry research (https://ibn.fm/ag0AA).

The article features Energy Fuels vice president of marketing and corporate development Curtis Moore, who points out that years of stagnation have potentially led to uranium’s moment as demand continues to exceed supply. Inventory reduction, deposit depletion and continued high grading indicate the potential for strong price performance in the coming years.

Moore also notes that prices are still below the level needed to accelerate production. Despite activity increasing in 2020, there are still inventories available in the market, he notes, but they are being depleted and at some point will need to be replaced. This could happen at a price that incentivizes mine production, and this price is much higher than what we see reported today, he said.

“We think there are definitely better uranium markets ahead,” said Moore. “The realizable sales price for uranium is below most miners’ cost of production, which is unsustainable. In many ways, history is repeating, and we might be in the beginning of the next run in uranium prices. We don’t know when the market will recover, but it will.”

As a leading uranium producer, Energy Fuels appears well positioned to seize the market opportunity as the industry heads for a potential price surge.

For more information, visit the company’s website at www.EnergyFuels.com.

NOTE TO INVESTORS: The latest news and updates relating to UUUU are available in the company’s newsroom at http://ibn.fm/UUUU       

About InvestorWire

InvestorWire is the wire service that gives you more. From regional releases to global announcements presented in multiple languages, we offer the wire-grade dissemination products you’ll need to ensure that your next press release grabs the attention of your target audience and doesn’t let go. While our competitors look to nickel and dime you with hidden fees and restrictive word limits, InvestorWire keeps things transparent. We offer UNLIMITED Words on all domestic releases. While other wire services may provide a basic review of your release, InvestorWire helps you put your best foot forward with complimentary Press Release Enhancement.

With our competitors, the work is done the second your release crosses the wire. Not with InvestorWire. We include follow-up coverage of every release by leveraging the ever-expanding audiences of the 50+ brands that make up the InvestorBrandNetwork.

Get more out of your next press release with InvestorWire. It’s unlike anything you’ve seen before.

For more information, please visit https://www.investorwire.com

Please see full terms of use and disclaimers on the InvestorBrandNetwork website applicable to all content provided by IBN, wherever published or re-published: http://ibn.fm/Disclaimer

InvestorWire (IW)
8033 Sunset Blvd Suite 1037-IW
Los Angeles, CA 90046
310.299.1717 Office
www.investorwire.com
[email protected]

InvestorWire is part of the InvestorBrandNetwork.

Get Started with InvestorWire

To distribute a release in the next 24 hours. Contact our client services team.

(310) 299-1717

Distribute a press release. Submit your release to get started.

Submit Press Release

Set up a Live demonstration. Schedule a date and time that works for you.

Schedule a LIVE Demo

Press Distribution

Explore Press Distribution Solutions

All releases include an unlimited word count* with full wire-grade syndication, our press release enhancement service, and a follow-up InvestorNewsBreak article distributed to thousands of editorial syndication partners.

Discover Add-on Solutions

Increase the impact of your achievements by adding these exclusive solutions from InvestorWire, delivered in conjunction with the InvestorBrandNetwork (IBN).