Energy Fuels Inc. released results from an updated feasibility study for its 100%-owned Vara Mada heavy mineral sands project in Madagascar, confirming exceptional project economics and an initially modeled 38-year mine life with potential for further expansion. The study outlines a post-tax net present value of approximately $1.8 billion at a 10% discount rate, or $7.30 per share, and projects ramp-up to more than $500 million in annual EBITDA from the project alone.
The Vara Mada project contains world-class rare earth, titanium, and zircon mineral reserves and resources. The feasibility study highlights plans to process monazite produced at Vara Mada through the company's White Mesa Mill in Utah, positioning Energy Fuels to supply a significant portion of projected U.S. demand for both light and heavy rare earth oxides while supporting secure, U.S.-centered critical mineral supply chains. This strategic approach leverages existing infrastructure and processing capabilities at the White Mesa Mill, which is the only fully licensed and operating conventional uranium processing facility in the United States.
Energy Fuels is a leading U.S.-based critical materials company focused on uranium, rare earth elements, heavy mineral sands, vanadium and medical isotopes. The company owns and operates several conventional and in-situ recovery uranium projects in the western United States and has been the leading U.S. producer of natural uranium concentrate for the past several years. At the Mill, Energy Fuels produces advanced REE products, vanadium oxide when market conditions warrant, and is evaluating the potential recovery of certain medical isotopes from existing uranium process streams needed for emerging Targeted Alpha Therapy cancer treatments.
The company is also developing three heavy mineral sands projects: the 100% owned Vara Mada Project in Madagascar; the 100% owned Bahia Project in Brazil; and the Donald Project in Australia in which Energy Fuels has the right to earn up to a 49% interest in a joint venture with Astron Corporation Limited. The Vara Mada project represents a significant component of this diversified portfolio. The full press release for the Vara Mada feasibility study can be viewed at https://ibn.fm/0lpS1. The latest news and updates relating to Energy Fuels are available in the company's newsroom at http://ibn.fm/UUUU.
This development matters because it demonstrates the economic viability of a major critical minerals project that could substantially reduce U.S. dependence on foreign sources for rare earth elements essential for defense, technology, and clean energy applications. The project's long mine life and strong financial metrics suggest sustainable production potential, while the integration with existing U.S. processing facilities addresses supply chain security concerns. The announcement comes at a time when Western nations are actively seeking to diversify critical mineral supply chains away from geopolitical rivals, making domestic and allied projects increasingly strategic.
