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The call emphasized strong strategic and operational momentum — a major greenfield production start (Burke Hollow), industry-leading cumulative unit costs, substantial liquidity with no debt, accelerated project activity across ISR and conventional assets, staffing and in-house construction scale-up, and regulatory/licensing progress for a domestic conversion initiative (URNC). Near-term challenges include a quarter-specific spike in unit costs (to $54.61/lb) driven by regulatory timing and higher state taxes, limited Q3 volumes (32k lbs) that produced temporary cost volatility, and mark-to-market equity volatility (~$19M). Given that most negatives were characterized as temporary/timing-related and management highlighted multiple durable strategic positives (asset base, liquidity, no debt, production ramp underway, and policy alignment), the overall tone is Positive.
Guidance emphasized higher production and lower unit costs in fiscal Q4 and beyond as new capacity comes online: Burke Hollow began production on 04/08/2026 and is expected to contribute in FY‑Q4, Christensen Ranch received approvals for 3 additional header houses (5 more under construction, 1 completed and on standby; Wellfield 11’s 3 header houses started at quarter end) and Ludeman/Sweetwater delineation drilling (Ludeman 240‑hole program complete; Sweetwater 200‑hole program completed, second 200‑hole to start July) will support ramp‑up. Management expects cost per pound to improve from Q3’s 32,000 lb at $54.61 total / $46.69 cash to levels nearer the since‑commissioning average of $39.30 total / $32.40 cash across ~276–277k lb produced, while balance‑sheet and inventory metrics provide flexibility: $794M liquid assets (including $488M cash), no debt, ~1.4M lb U3O8 inventory (~$127M value) plus ~277k lb precipitated/dried U3O8 at Irigaray, ~12M lb combined license capacity, 10 permitted U.S. projects, >80% of Rough Rider’s 35,000‑m drill program complete, NRC docket received for URNC and a conversion/class‑of‑cost study targeted in H1 2027; note a 4‑year industry factor increase for Wyoming taxes, workforce growth from 103 to 185, and ~ $19M of equity mark‑to‑market volatility in the quarter.
Commenced production at Burke Hollow on 04/08/2026 — the largest greenfield ISR uranium project in the U.S. in over a decade; expected to contribute to fiscal Q4 2026 volumes and expand UEC's hub-and-spoke platform to 2 of 3 U.S. hubs operating.
Ended the quarter with $794 million in liquid assets (including $488 million in cash), no debt, and 1.4 million pounds of U3O8 inventory valued at approximately $127 million (excluding ~277k lbs precipitated/dried at Irigaray).
Since commissioning, cumulative total cost per pound is $39.30 and cumulative cash cost per pound is $32.40 across ~276,000 lbs produced, positioning UEC as a low-cost domestic producer.
Produced 32,000 lbs of uranium concentrate in the quarter; management attributes near-term cost volatility to timing/regulatory delays rather than structural issues.
United States Uranium Refining & Conversion Corp (URNC) advanced: received a U.S. NRC docket number (first NRC licensing milestone), developed a final shortlist of candidate locations, and accelerated engineering with Fluor; conversion/class of cost study targeted in H1 2027.
Significant drilling and construction progress: Ludeman 240-hole delineation drilling completed; Sweetwater 200-hole program completed (second 200-hole program scheduled for July 2026); Rough Rider >80% of core drilling for a 35k-meter program completed to support a planned PFS (targeting end of calendar 2026).
Independent report found Alto Parana (Paraguay) to be a globally significant critical-minerals platform for titanium and vanadium; critical-mineral portfolio (including West Bear) aligns with U.S. supply-chain/security priorities.
Expanded operations team in Wyoming and Texas from 103 to 185 employees year-over-year (~+80%), increased in-house construction/drilling capacity, and have multiple header houses under construction (5 under construction; several near completion).
Company stock cited as up ~68% year-over-year on management/analyst question; management maintained an unhedged sales strategy, preserving inventory to capture opportunistic realized pricing.
Good day, and welcome to the Uranium Energy Corp's Third Quarter Earnings Conference Call. All participants will be in listen-only mode. Note this event is being recorded. Would now like to turn the conference over to Amir Adnani, Uranium Energy Corp's founder and CEO. Please go ahead.
Thank you, operator, and good morning, everyone. A presentation accompanying today's call is available on our website. Some of the commentaries today will include forward-looking statements. And I would encourage everyone to review the cautionary language on Slide 2 of the presentation. With that, let's begin with highlights from the quarter. This quarter was marked by several defining milestones along the continued execution of our long-term strategy, to become America's first and only vertically integrated uranium company. From mining and processing through refining and conversion. We are also pleased to provide an update on our critical mineral portfolio.
The commencement of production at Burke Hollow is a significant achievement for UEC. And an important milestone for domestic uranium production in the United States. It is the largest greenfield ISR uranium project to come into production in more than a decade. It has been incredible to see our team develop the project from a grassroots discovery in 2012 to production in 2026. Let that sink in for a moment. It took 14 years to bring a new uranium mine online. That timeline highlights the scarcity and strategic value of fully permitted and operating uranium mines, not only in the United States, but globally. It also underscores a significa...