Energy Fuels Announces Strong Economics for White Mesa Rare Earth Expansion in New Feasibility Study

Energy Fuels Inc. announced the results of a new Bankable Feasibility Study for its planned Phase 2 rare earth element processing circuit expansion at its 100%-owned White Mesa Mill in Utah, confirming strong economics, competitive costs, and the potential to supply a significant share of U.S. rare earth demand. The study outlines an estimated $410 million initial capital cost, after-tax NPV of $1.9 billion at an 8% discount rate, and a 33% IRR for the Phase 2 Circuit on a standalone basis, with combined NPV rising to $3.7 billion when paired with the Vara Mada project.

Upon commissioning, the Phase 2 Circuit is expected to expand NdPr oxide production capacity to more than 6,000 tonnes per year, positioning the Mill among the world's largest and lowest-cost producers of light and heavy rare earth oxides, with regulatory approval anticipated by mid-2027 and construction and commissioning targeted by the first quarter of 2029. This expansion matters because it addresses critical supply chain vulnerabilities for rare earth elements, which are essential components in numerous high-tech and clean energy applications including electric vehicles, wind turbines, and defense systems.

The announcement is important as it represents a significant step toward reducing U.S. dependence on foreign sources for these strategically important materials. With China currently dominating global rare earth production and processing, the White Mesa Mill expansion could provide domestic manufacturers with a reliable, secure supply of these critical materials. The strong financial metrics demonstrated in the feasibility study suggest the project is economically viable and competitive on a global scale.

The implications extend beyond Energy Fuels' operations to broader economic and national security considerations. A domestic rare earth processing capability supports U.S. manufacturing competitiveness in clean energy technologies and strengthens supply chain resilience for defense applications. The project's timeline aligns with growing demand for rare earth elements driven by the global transition to renewable energy and electrified transportation. For more information, the latest news and updates relating to UUUU are available in the company's newsroom at http://ibn.fm/UUUU.