Council of Ministers gives U.S.-based Energy
Fuels the 'green light' to continue development of its world-class
Toliara titanium, zirconium and rare earth elements project
LAKEWOOD, Colo., Nov. 28,
2024 /PRNewswire/ - Energy Fuels Inc. (NYSE American:
UUUU) (TSX: EFR) ("Energy Fuels" or the "Company"), a
leading U.S. producer of uranium, rare earth elements
("REEs"), and critical minerals, is pleased to announce that
today the Madagascar Council of Ministers, as Chaired by the
President of the Republic of Madagascar, has lifted the suspension (the
"Suspension") of the Company's 100%-owned Toliara critical
minerals project (the "Toliara Project"). The Suspension was
imposed by the Government in November
2019. In October 2024, Energy
Fuels acquired Base Resources and the Toliara Project.
Mark S. Chalmers, President and
CEO of Energy Fuels stated:
"The lifting of the suspension by the Malagasy
Government is a very significant step in the development of
the Toliara rare earths, titanium, and zirconium project. The
Company can now re-commence development and other technical
activities on the ground, which are expected to include the
re-establishment of the Company's social programs, additional mine
planning and engineering, expanding the critical mineral resource
base, as well as progressing any other legal activities necessary
to progress the Toliara Project and achieve a positive financial
investment decision.
"Having closely evaluated countless mining
projects around the world during my 45-year career, I believe the
Toliara Project is truly a 'generational' mining project, having
the potential to provide the U.S. and the rest of the world with
large quantities of critical minerals for many decades, including
rare earth elements which we plan to process at our existing
facility in the U.S.
"We also believe the Toliara Project has the
strong potential to be a 'crown jewel' of Madagascar's future economy, a leader in the
global clean energy transition, and a model for sustainable mining
in Africa, harnessing the
principles and practices established and refined by Base Resources
over 11 years operating the Kwale titanium and zirconium operation
in Kenya. Energy Fuels acquired
Base Resources this past October, including its well-regarded
management and operations team which remains in place.
"We look forward to growing our partnership with
the Government of Madagascar as we
formalize the fiscal and other terms applicable to the project,
move forward with development activities, and rapidly progress
Toliara towards operation for the benefit of our host communities,
the nation of Madagascar, and our
shareholders."
Lifting the Suspension
The Toliara Project currently holds a mining permit that allows
production of titanium and zirconium minerals, including ilmenite,
rutile and zircon. In 2019, development activities at the Project
were suspended by the Government of Madagascar, pending negotiation of fiscal and
other terms applicable to the Toliara Project.
Now that the Government has lifted the suspension, the Company
can recommence development and investment in the Project,
re-establish community and social programs, and advance the
technical, environmental and social activities necessary to achieve
a positive Financial Investment Decision ("FID"), which the
Company expects to make in early 2026.
While the Project is progressing towards a FID, the Company will
continue working with the Government of Madagascar to formalize the fiscal, stability
and other terms applicable to the project, including the addition
of rare-earth element production to the existing mining permit,
through a memorandum of understanding, an investment agreement,
amendments to existing laws and other mechanisms as
appropriate.
ABOUT ENERGY FUELS
Energy Fuels is a leading US-based critical minerals company,
focused on uranium, REEs, heavy mineral sands ("HMS"),
vanadium and medical isotopes. The Company has been the leading
U.S. producer of natural uranium concentrate for the past several
years, which is sold to nuclear utilities that process it further
for the production of carbon-free nuclear energy and owns and
operates several conventional and in situ recovery
uranium projects in the western United States. The Company
also owns the White Mesa Mill in Utah, which is the only fully
licensed and operating conventional uranium processing facility
in the United States. At the Mill, the Company also
produces advanced REE products, vanadium oxide (when market
conditions warrant), and is preparing to begin pilot-scale recovery
of certain medical isotopes from existing uranium process streams
needed for emerging cancer treatments. The Company also owns the
operating Kwale HMS project in Kenya which is nearing the
end of its life and is developing three (3) additional HMS
projects, including the Toliara Project in Madagascar, the
Bahia Project in Brazil, and the Donald Project
in Australia in which the Company has the right to earn
up to a 49% interest in a joint venture with Astron Corporation
Limited. The Company is based in Lakewood, Colorado,
near Denver, with its heavy mineral sands operations primarily
managed from Perth, Australia. The primary
trading market for Energy Fuels' common shares is the NYSE American
under the trading symbol "UUUU," and the Company's common shares
are also listed on the Toronto Stock Exchange under the trading
symbol "EFR." For more information on all we do, please
visit http://www.energyfuels.com
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING
STATEMENTS
Cautionary Note Regarding Forward-Looking
Statements
This news release contains certain "Forward Looking
Information" and "Forward Looking Statements" within the meaning of
applicable United States and
Canadian securities legislation, which may include, but are not
limited to, statements with respect to: any expectation that the
Company will maintain its position as a leading U.S.-based uranium
and critical minerals company or as the leading producer of uranium
in the U.S.; any expectation that the Company will re-commence
development activities on the ground, re-establish the Company's
community programs or progress the other activities necessary to
achieve a positive FID for the Toliara Project; any expectation
that the Toliara Project is a 'generational' critical minerals
project or that it has the potential to provide the U.S. and the
rest of the world with large quantities of titanium, zirconium,
REEs and other materials for decades or at all; any expectation
that the Toliara Project has the strong potential to be a 'crown
jewel' of Madagascar's future
economy, a leader in the global clean energy transition or a model
for sustainable mining in Africa,
or that it will adopt the proven approaches from the Company's
Kwale Operation in Kenya; any
expectation that the Company will continue working with the
Government of Madagascar to
formalize fiscal and other terms applicable to the project through
a memorandum of understanding, an investment agreement, amendments
to existing laws and other mechanisms as appropriate; any
expectation that rare-earth element production will be added to the
existing mining permit; any expectation that the financial and
legal stability of the Toliara Project will be maintained; any
expectation that a positive FID will be made for the Toliara
Project and the timing of any such positive FID; and any
expectation that the Toliara Project will be developed. 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," "budgets," "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 "have the potential to." All statements, other than
statements of historical fact, herein are 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 include risks associated with: commodity
prices and price fluctuations; engineering, construction,
processing and mining difficulties, upsets and delays; permitting
and licensing requirements and delays; changes to regulatory
requirements; legal challenges; competition from other producers;
public opinion; government and political actions; the failure of
the Company to provide or obtain the necessary financing required
to develop the Project; market factors, including future demand for
REEs; and the other factors described under the caption "Risk
Factors" in the Company's most recently filed Annual Report on Form
10-K, which is available for review on EDGAR at
www.sec.gov/edgar.shtml, on SEDAR at www.sedar.com, and on the
Company's website at www.energyfuels.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. The Company assumes no
obligation to update the information in this communication, except
as otherwise required by law.
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SOURCE Energy Fuels Inc.
