Energy Fuels Inc (NYSEAMERICAN: UUUU) recently announced its financial results for the second quarter of 2021. The company’s report on Form 10-Q was filed with the US Securities and Exchange Commission and may be viewed on EDGAR (Electronic Document Gathering and Retrieval System.
Financial summary
At the end of the second quarter, the company had $98.8 million of working capital, including an inventory of $29.2 million and $74.9 million of marketable securities and cash. The company’s inventory has an estimated value of $39.1 million at current commodity prices.
In the second quarter, the company reported a net loss of $10.8 million, including a $3.6 million non-cash mark-to-market increase in warrant liabilities. This was a result of the company’s remarkable increase in share prices.
Second-quarter updates
With a few existing uranium mines on standby and significant existing inventories of the Company-produces US-origin uranium, the company continues to deliver uranium to improved global markets and the proposed US uranium reserve once it gets approval from the US government.
Partnerships
In the first six months of 2021, the company began ramping up to the commercial-scale production of a mixed earth carbonate and element (REE and RE carbonate) to complement its uranium business. In July, the company began supplying its Re carbonate to a facility in Europe for separation.
The company also entered into a definitive agreement to sell a package of its non-core conventional projects in Colorado and Utah to International Consolidated Uranium Inc. From CUR’s current share price, exchange rates, and the assumption that the agreement finalizes and performs, the current proforma value for this divestment is an estimated $24 million.
Energy Fuels further entered into a strategic alliance agreement with RadTran, LLC, a private tech development company, to explore the potential recovery of radium and thorium from its carbonate and uranium processes. These compounds can be used in the production of medical isotopes for emerging targeted alpha therapy cancer therapeutics.
CEO’s remarks
According to Mark S, Chalmers, president and CEO, the company’s successful production of carbonate is a significant milestone. He adds that the company’s strategic alliance agreement with RadTran LLC will impact cancer treatment.
