Energy Fuels Inc. (NYSE MKT:UUUU) Q2 2020 Earnings Conference Call - Preliminary Transcript

Aug 05, 2020 • 11:00 am ET

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Energy Fuels Inc. (NYSE MKT:UUUU) Q2 2020 Earnings Conference Call - Preliminary Transcript

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Presentation
Operator
Operator

Good morning, my name's Colin[Phonetic] and I'll be your conference operator today. At this time, I would like to welcome everyone to the Energy Fuels Q2 2020 Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers remarks, there will be a question-and-answer session. [Operator Instructions]

Thank you. Mr. Chalmers, you may begin your conference.

Executive
Mark Chalmers

Thank you, Colin. And good morning, everyone, and welcome to our webcast. My name is Mark Chalmers and I'm President and CEO of Energy Fuels. Joining me today will be Dave Frydenlund, our CFO and General Counsel; Matt Tarnowski, our Chief Accounting Officer and Curtis Moore, VP of Marketing, Corporate Development.

To start off, I just want to say Energy Fuels is continuing to make big things happen. We strengthened our balance sheet. We resumed uranium production and we continued to build our industry leading uranium inventory position. One of the most exciting parts of this call is we are making phenomenal progress on rare earth elements. And I'll repeat that phenomenal progress. I look forward to providing you with this update, and as Colin said, we'll answer questions at the end of my presentation.

Very quickly, just a reminder, everyone on this call that that is -- they're controlling their own Slides. So, I'll do my best to tell you next Slide so that you can make sure that you don't get ahead or behind. But you're actually in control, not me. I have quite a bit to get through. So let's get started. So my first -- next Slide. I will be making a number of forward-looking statements today. Please review the disclaimers at the end of the presentation.

Next Slide. This Slide describes our main investment themes and many of you have seen it before. But I just want to reiterate we are, first and foremost a uranium producing company. We have more assets that can produce quicker, faster than any of our peers. We're also a leading US vanadium producer and actually, we're the leading and only conventional vanadium producer. The rare earth potential that we're working on is developing very quickly, and I'm looking forward to giving you more during the presentation on the rare earth side.

There is growing support, US government support for critical minerals as a whole, but particularly, on the uranium front for the US uranium reserve. The Nuclear Fuel Working Group was a very, very strong policy document and there is a lot happening on the Russian Suspension Agreement front.

We also have significant financial strength, and we are retiring debt. We currently have in the order of $53 million of cash securities or concentrate inventory as of June 30.

Next Slide. I'll start out talking about uranium. As I said, we resumed uranium production at White Mesa in the second quarter. Our guidance is 125,000 pounds to 175,000 pounds of uranium production in 2020, I believe, and very comfortable with this guidance. I hope it's conservative. But that