Uranium Energy Advances with Strategic Integration and Robust Production

Uranium Energy Corp. is broadening its operational foundation through a significant push toward vertical integration, a move that could substantially elevate its position within the American nuclear fuel sector. This strategy, centered on major investments in Wyoming and Texas alongside the formation of a new refining subsidiary, unfolds alongside continued production growth and a strong balance sheet.

The company's financial position as of October 31, 2025, provides a solid platform for its ambitions. Uranium Energy reported:
* Total assets valued at $698 million, comprising cash, uranium inventories, and marketable securities.
* Zero debt obligations.
* A capital markets transaction completed during the quarter, raising $234 million.

CEO Amir Adnani emphasized that this debt-free status is intended to fund both production expansion and the new integration strategy. Notably, the firm holds its uranium inventory unhedged, without long-term price contracts. This positions the company to potentially benefit from an anticipated supply deficit and possible price increases, particularly ahead of an upcoming U.S. government Section 232 decision concerning uranium supply security.

Operational Momentum and Cost Efficiency

For the first quarter of fiscal year 2026 (ended October 31, 2025), Uranium Energy continued ramping up its In-Situ Recovery (ISR) operations in Wyoming. Production reached 68,612 pounds of uranium concentrate (U₃O₈), reinforcing its profile as a relatively cost-efficient producer.

Key operational metrics for the ISR production include:
* Total cost per pound: $34.35
* Cash cost per pound: $29.90
* Non-cash costs per pound: $4.45
* Cumulative production since restart (Christensen Ranch, August 2024): approximately 199,000 pounds of uranium concentrate.

A significant milestone was the completion of a full overhaul of the yellowcake thickener and calciner at the central Irigaray processing plant, enabling 24/7 operations. Between November 13 and 30, 2025, the plant dried and drummed roughly 49,000 pounds of U₃O₈.

The Vertical Integration Strategy: UR&C

The quarter's most strategically notable development was the establishment of a wholly-owned subsidiary, United States Uranium Refining & Conversion Corp (UR&C). This entity is tasked with studying the feasibility of a new U.S.-based facility for uranium refining and conversion.

This initiative aims to position Uranium Energy as the only fully integrated U.S. uranium platform, spanning from extraction to the conversion into uranium hexafluoride (UF₆). The planned integration pathway encompasses existing and expanding mining activities, proprietary processing capacity, a proposed refining tier, and ultimate conversion to UF₆ for nuclear fuel chains. The engineering firm Fluor has been engaged for the feasibility study, while UEC expands its technical team and holds discussions with federal and state agencies, utilities, and financial institutions.

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Expansion Initiatives Across Key Regions

Substantial capital is being deployed to expand existing ISR platforms in the United States.

In Wyoming:
* Further mine development at Christensen Ranch, with wellfield installations in Fields 11 and 12.
* Construction of six new header houses for the ISR system.
* Commencement of exploration and delineation drilling at the Ludeman project in November 2025.
* Expansion of the Wyoming workforce to 84 employees.

In South Texas:
* Construction of the Burke Hollow ion exchange plant remains on schedule.
* All major tanks are installed, three-phase power is connected, and the facility is energized.
* The local team has been increased to 86 personnel to prepare for production start-up.

Concurrently, the Roughrider project in Canada's Athabasca Basin is advancing. Since October 2025, a 34,000-meter core drilling program has been underway to convert resources from the inferred to the indicated category, forming the basis for a Pre-Feasibility Study (PFS). Tetra Tech Canada Inc. has been awarded the technical lead responsibilities.

Supportive Market and Policy Backdrop

The company's strategy aligns with broader U.S. energy and security policy, where uranium has been designated a critical mineral. The pending Section 232 decision could provide further support for domestic producers. Market fundamentals also offer a strong tailwind, with the global uranium sector remaining in a structural supply deficit where demand for reactor fuel exceeds existing production capacity.

Catalysts and Forward Look

Uranium Energy hosted a conference call today at 11:00 a.m. Eastern Time to discuss quarterly results and the path forward. Several near-term operational and regulatory catalysts are in focus:
* The planned production start at the Burke Hollow plant in South Texas.
* The U.S. government's Section 232 decision.
* Progress on the UR&C feasibility study and vertical integration build-out.
* Results from the 34,000-meter drill program and the subsequent Roughrider PFS.

Entering the remainder of fiscal 2026, Uranium Energy operates with three ISR hub-and-spoke platforms in Texas and Wyoming, several permitted satellite projects, Canadian exploration assets, and a debt-free balance sheet with nearly $700 million in assets. This provides significant financial flexibility to pursue its clear strategy of expansion and value-chain integration.