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Energy Fuels lowers operating cost estimate 11% at Roca Honda uranium project

Energy Fuels Inc. updated the preliminary economic assessment for its wholly owned Roca Honda uranium project in New Mexico, and now expects 11% lower operating costs at US$33.27 per pound of uranium compared to the previous PEA.

The project is expected to have a nine-year production life, with average annual production of 2.6 million pounds of uranium per year, according to a Dec. 23 statement.

Production in the first year is expected to total 1.4 million pounds of uranium, increasing to an average of 2.8 million pounds of uranium per year thereafter.

The life-of-mine capital costs are expected to total US$13.88 per pound of uranium.

The assessment is based on the same mineral resource estimate as before, totaling about 14.6 million pounds of uranium within 1.5 million tonnes of measured and indicated mineral resources averaging 0.48% U3O8 equivalent.

The Roca Honda project also has about 11.2 million pounds of uranium contained in about 1.2 million tonnes of inferred mineral resources averaging 0.47% U3O8 equivalent.