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Sep 30, 2022
Ur-Energy Q3 2022 Earnings Report
Ur-Energy reported Q3 2022 results, highlighting advancements in construction and drilling and the promotion of Steve Hatten to Chief Operating Officer.
Key Takeaways
Ur-Energy Inc. reported its Q3 2022 results, focusing on continued progress in construction and drilling at the Lost Creek Mine, awaiting the outcome of the DOE NNSA Uranium Reserve contract awards, and a new multi-year sales agreement with a leading U.S. nuclear utility. The company also announced the promotion of Steve Hatten to Chief Operating Officer.
Advanced construction and drilling at Lost Creek Mine in preparation for ramp up.
Signed a new multi-year sales agreement with a leading U.S. nuclear utility for annual delivery of 200,000 pounds of uranium concentrates over six years beginning in the second half of 2023.
Awaiting outcome of DOE NNSA Uranium Reserve contract awards.
Steve Hatten promoted to Chief Operating Officer.
Ur-Energy
Ur-Energy
Forward Guidance
Ur-Energy is advancing preparations at Lost Creek, progressing hiring, and awaiting the outcome of contract awards by NNSA. The company is also working to optimize processes and refine production plans to expand Lost Creek production to an annualized run rate of up to 1.2 million pounds.
Positive Outlook
- Global recognition of nuclear energy’s role in achieving net-zero carbon emissions continues to expand.
- The Biden Administration also continues to voice support for clean energy and the nuclear industry.
- The sustained support for nuclear energy has prompted financial funds and uranium ETFs to purchase uranium inventories thereby supporting the uranium spot price.
- Rally in uranium spot prices which began in 2021 continues in 2022, with price per-pound during the quarter remaining in the upper $40s and lower $50s.
- Nuclear utilities and other purchasers are back in the market, resulting in some strengthening of term pricing.
Challenges Ahead
- There can be no assurance that the Company will be a successful bidder for DOE NNSA contract awards.
- The company is awaiting the outcome of contract awards by NNSA.
- Until market conditions signal a decision for the return to production operations, we will focus on maintaining safe and compliant operations while continuing to enhance and leverage our operational readiness.
- There can be no assurance that the Company will be a successful bidder.
- The company is focused on maintaining safe and compliant operations.