Energy Fuels Inc. has released results from an updated feasibility study for its fully owned Vara Mada heavy mineral sands project in Madagascar, confirming what the company describes as exceptional project economics and world-class reserves of rare earth elements, titanium, and zircon. The study outlines a post-tax net present value of approximately $1.8 billion at a 10% discount rate, equating to $7.30 per share, and projects the operation could ramp up to generate more than $500 million in annual EBITDA. The initial modeled mine life is 38 years, with potential for further expansion.
The importance of this development extends beyond the project's financial metrics. Energy Fuels plans to process monazite, a rare earth-bearing mineral produced at Vara Mada, through its White Mesa Mill in Utah. This integrated strategy is designed to position the company as a major supplier of both light and heavy rare earth oxides, materials essential for modern technologies including electric vehicles, wind turbines, and defense systems. By processing the material domestically, the project supports the establishment of secure, U.S.-centered critical mineral supply chains, reducing reliance on foreign sources, particularly China, which currently dominates the global market.
The project's scale and longevity underscore its potential impact. The confirmed reserves and resources at Vara Mada are characterized as world-class, suggesting a long-term, stable source of critical minerals. For investors and the industry, the study provides a detailed economic blueprint, with the net present value and EBITDA projections offering a clear picture of the project's potential contribution to Energy Fuels' financial performance. The company's broader strategy involves developing multiple heavy mineral sands projects, including interests in Brazil and Australia, but Vara Mada appears to be the most advanced and economically significant.
For the United States, the successful development of Vara Mada, coupled with domestic processing at White Mesa, represents a tangible step toward securing a portion of the rare earth supply chain. This is critical for national security and the competitiveness of U.S. manufacturing in high-tech and green energy sectors. The latest news and updates relating to Energy Fuels are available in the company’s newsroom at http://ibn.fm/UUUU. The full press release detailing the feasibility study can be viewed at https://ibn.fm/0lpS1. The announcement was disseminated through Rocks & Stocks, a specialized communications platform within the IBN network, whose full terms of use and disclaimers are available at https://RocksAndStocks.news/Disclaimer.
