The need for North American based uranium supply is becoming more and more important. Which is exactly why Uranium Energy is scaling up their domestic operations.
What’s happening:
- Uranium Energy (NYSE: UEC) has received approval from the state of Wyoming to increase their uranium production to 4M pounds of uranium annually at their Irigaray Processing Plant
By the numbers:
- Uranium Energy previously had approval for their Wyoming uranium facility to produce 2.5 million pounds of uranium annually
- Uranium Energy recently announced the purchase of the Sweetwater Plant from Rio Tinto (NYSE: RIO) which is also located in Wyoming and will bring their total combined annual uranium production to approximately 12M pounds annually upon closing
Why it matters:
- The flurry of new deals for nuclear power from large publicly listed technology companies such as Microsoft (NASDAQ: MSFT), Amazon (NASDAQ: AMZN) and Google (NASDAQ: GOOG) will all ultimately require tremendous amounts of uranium, which is becoming increasingly difficult to find fresh supply of within North America
Going deeper:
- Aside from their Wyoming and Texas based production facilities, Uranium Energy is also uniquely positioned for the potential boom in demand for uranium as they own a significant amount of resource stage uranium projects across North America and a major equity stake in Uranium Royalty (NASDAQ: UROY) which is one of the first ever royalty companies focused exclusively on uranium to be listed on a major stock exchange in the United States
