Energy Fuels Surpasses Production Forecasts and Secures Long-Term Contracts

Energy Fuels CA2926717083

A recent operational update from leading US uranium producer Energy Fuels Inc. reveals the company has not only met but substantially exceeded its 2025 production targets. This performance underscores a successful transition from a development-stage company to a scalable producer, capitalizing on growing domestic utility demand for secure nuclear fuel sources.

The company confirmed it produced over 1.6 million pounds of uranium (U3O8) in the past year. This output surpasses the upper end of its initial guidance of 1.435 million pounds by more than 11%. Contributions came from multiple sites, including the Pinyon Plain Mine in Arizona and the La Sal Complex in Utah.

Processing capacity kept pace with this elevated production. The White Mesa Mill generated over one million pounds of finished U3O8 during 2025, with a significant 350,000 pounds produced in December alone.

This operational strength is translating directly to the financial statements. Energy Fuels reported a 50% quarter-over-quarter increase in sales volume for the fourth quarter. With an average realized sales price of approximately $75 per pound, the company generated about $27 million in uranium revenue during the final three months of the year.

Strengthening the Strategic Position

Beyond current production metrics, management has bolstered the company's long-term outlook. Energy Fuels announced the signing of two new supply agreements with US nuclear power plant operators. These contracts secure sales volumes for the period spanning 2027 through 2032.

This development highlights a key market trend: US utilities are actively working to reduce reliance on foreign imports. As a dominant domestic supplier, Energy Fuels is a direct beneficiary of this push for supply chain security. The market has responded positively to this progress; shares closed at $15.05 in the latest trading session, marking a year-to-date gain exceeding 172%.

Guidance for the Coming Year and Diversification Efforts

Looking ahead, the company has outlined clear objectives for 2026. It intends to maintain its current annual production rate of roughly 2 million pounds at least through the coming year. For 2026, sales of between 780,000 and 880,000 pounds are already under contract. This locked-in volume provides the flexibility to sell additional material on the spot market should prices remain elevated.

Concurrently, Energy Fuels is advancing its diversification into the rare earth elements sector. The qualification of specialized oxide products for permanent magnets is establishing a potential second revenue stream alongside its core uranium business.

Investors can anticipate the next major milestone in late February 2026, when the company is scheduled to release its complete 2025 financial report. This document will provide detailed insight into final profit margins and the advancement of the rare earths expansion initiative.