Commercial-Scale 'Heavy' Rare Earth Plant Now Under Construction in Utah

Rhea-AI Summary

Energy Fuels (NYSE American: UUUU) has begun construction on a major expansion of its White Mesa Mill in Utah to add commercial-scale heavy rare earth oxide production, including terbium (Tb) and dysprosium (Dy), alongside its existing capacity of up to 1,000 tpa separated NdPr oxide.

The first phase is designed for up to 20 tpa Tb, 120 tpa Dy, 140 tpa Sm, 20 tpa Eu and 140 tpa Gd oxides, with Tb/Dy circuits targeted by end-2027 and Sm/Eu/Gd circuits by end-2028. The project’s estimated capital cost is about $104 million, expected to be largely funded by government grants and loans plus Energy Fuels’ $0.96 billion working capital as of March 31, 2026. A further 2029 expansion is planned to raise capacity to 6,294 tpa NdPr, 80 tpa Tb and 288 tpa Dy oxides.

Positive

• New heavy rare earth capacity planned: 20 tpa Tb, 120 tpa Dy, 140 tpa Sm, 20 tpa Eu, 140 tpa Gd
• Phase-one completion targets: Tb/Dy circuits by end-2027; Sm/Eu/Gd circuits by end-2028
• Estimated capex about $104 million for the initial heavy rare earth expansion
• Strong liquidity: $0.96 billion working capital as of March 31, 2026 to help fund equity portion
• Planned 2029 second expansion to 6,294 tpa NdPr, 80 tpa Tb and 288 tpa Dy oxides

Negative

• High upfront investment: approximately $104 million required for the initial heavy rare earth expansion
• Long ramp timeline: main Tb/Dy circuits expected online only by Q4 2027, others by end-2028

News Explained

Construction is underway, but maximum output and integrated supply-chain scale remain conditional on recoveries, Donald approval, financing and acquisitions.

Energy Fuels has begun construction on the White Mesa Mill expansion; the added capacity is planned, not yet commissioned, and would enable production of heavy rare-earth oxides alongside existing light-rare-earth capacity.

The listed quantities are maximum design quantities rather than guaranteed output, because they depend on the rare-earth distribution and recoveries in the feed material. A planned mixed rare-earth-carbonate circuit would also allow the Mill to produce rare-earth oxides and uranium simultaneously at commercial scale.

The project’s estimated capital cost is $104 million; its debt component is planned to use a previously announced conditional U.S. government loan commitment, while the equity component is expected to come from working capital. The next stated project gate is a Donald Project final investment decision anticipated in Q3 2026, following negotiations for project debt financing.

The broader mine-to-magnet capacity claims remain conditional on completing the planned ASM and VAC acquisitions and on market conditions, financing, offtake and/or permitting.

Market Context

Recent insider activity was Net Buying, adding supportive platform context to the construction annou...

Analysis

Recent insider activity was Net Buying, adding supportive platform context to the construction announcement. The record also showed 19.87% short interest, making financing, commissioning timing, and acquisition completion relevant items to watch.

Key Figures

Current NdPr oxide capacity: 1,000 tonnes per annum Planned heavy and additional rare-earth capacity: 20 tpa Tb; 120 tpa Dy; 140 tpa Sm; 20 tpa Eu; 140 tpa Gd Expansion completion schedule: End of 2027; end of 2028 +5 more

8 metrics

Current NdPr oxide capacity 1,000 tonnes per annum White Mesa Mill commercial capacity

Planned heavy and additional rare-earth capacity 20 tpa Tb; 120 tpa Dy; 140 tpa Sm; 20 tpa Eu; 140 tpa Gd Planned White Mesa Mill expansion

Expansion completion schedule End of 2027; end of 2028 Tb and Dy circuits; Sm, Eu and Gd circuits

Capital expenditure Approximately $104 million Total expansion project

Working capital Approximately $0.96 billion As of March 31, 2026

Donald Project monazite output Approximately 8,500 to 9,500 tonnes annually Expected beginning in 2028, subject to final investment decision

ASM feedstock coverage Roughly 70% Expected rare-earth oxide feedstock requirement

Integrated REPM capacity 15,700 tonnes per year Planned integrated mine-to-magnet supply chain

Historical Context

4 past events · Latest: Jul 23 (Neutral)

Pattern 4 events

Date	Event	Sentiment	24h Move	Catalyst
Jul 23	earnings call notice	Neutral	-2.4%	Conference call logistics for upcoming second-quarter financial results
Jun 25	director election	Positive	+1.4%	Shareholders elected all seven management-nominated directors
Jun 23	VAC acquisition	Negative	-4.0%	Proposed $1.9 billion acquisition included cash and new shares
Jun 18	government financing	Positive	+8.2%	Conditional $725 million loan commitment supported rare-earth expansion

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Recent target-specific history was mixed, with rare-earth government support followed by a +8.24% move, while the VAC acquisition announcement preceded a -4.03% move.

Key Terms

heavy rare earth oxides, monazite concentrate, mixed rare earth carbonates, coercivity, +1 more

5 terms

heavy rare earth oxides technical

"enable the large-scale production of heavy rare earth oxides"

Heavy rare earth oxides are chemical compounds made from the heavier elements in the rare earth group (like dysprosium, terbium and others) combined with oxygen; think of them as concentrated metal powders used to give magnets, lasers and other high-tech components special properties. They matter to investors because they are critical, hard-to-replace inputs in clean energy, electronics and defense supply chains, so shortages, production costs or trade shifts can quickly affect the profits and valuations of companies that make or rely on them.

monazite concentrate technical

"produce approximately 8,500 to 9,500 tonnes of monazite concentrate annually"

A heavy-mineral product made by crushing and separating ore that is rich in the mineral monazite, which contains valuable rare earth elements mixed with small amounts of thorium and uranium. It is essentially a concentrated feedstock for extracting rare earth metals used in high-tech and clean-energy products, and its radioactive content affects processing costs, environmental controls and regulatory approvals—factors that influence the economic value and marketability for investors.

mixed rare earth carbonates technical

"include a circuit for the processing of mixed rare earth carbonates"

A mixture of carbonate salts containing several rare earth elements (like neodymium, praseodymium, cerium and others) precipitated together during processing of ore or recycled material. Think of it as a raw, semi-processed ingredient that later gets separated and refined into pure rare earth metals used in magnets, electronics and catalysts; its volume, grade and origin affect supply, prices and downstream manufacturing costs for investors to watch.

coercivity technical

"increase resistance to demagnetization (coercivity)"

Coercivity is a material property that measures how strong a reverse magnetic field must be to reduce a magnetized material’s magnetization to zero. Think of it like the effort needed to erase writing on a chalkboard: higher coercivity means the magnet resists being demagnetized. For investors, coercivity matters when assessing magnetic materials, data storage, and electric motor components because it affects durability, performance, and suitability for specific applications.

final investment decision financial

"Subject to a positive final investment decision"

A final investment decision is the point at which a person or organization chooses to move forward with a particular project or purchase after reviewing all the necessary information and options. It is like deciding to buy a house after considering all the costs, benefits, and alternatives. This decision is important because it determines whether and when the investment will be made, impacting future financial plans and outcomes.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Energy Fuels to build terbium (Tb) and dysprosium (Dy) oxide production capacity - one of the final steps in the Company's integrated mine-to-magnet platform

DENVER, July 29, 2026 /PRNewswire/ - Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR), a leading U.S.-based critical materials company, today announced that construction has begun on an expansion of its White Mesa Mill in Utah (Mill) to enable the large-scale production of heavy rare earth oxides, which are planned to be used by Energy Fuels to produce rare earth metals, alloys and magnets essential to the automotive, robotics, data center, energy and defense industries. The expansion of the Company's existing light-rare earth oxide production capacity to also produce heavy-rare earth oxides is a critical step in the execution of Energy Fuels' integrated mine-to-magnet program.

"Heavy rare earth production is a severe pinch point in North American and European permanent magnet supply chains," said Ross Bhappu, President and Chief Executive Officer of Energy Fuels. "Given our ongoing success in piloting heavy rare earth oxides, we are now ready to advance to commercial-scale production. This is an exciting moment for Energy Fuels as we continue to build a fully integrated Western mine-to-magnet rare earth platform with proven commercial expertise at each step of the supply chain. The production of both light and heavy rare earth oxides is a key differentiator of Energy Fuels' strategy to build an integrated rare earth supply chain that is expected to be completed upon the anticipated closing of our pending acquisitions of Australian Strategic Materials (ASM) and Vacuumschmelze (VAC)¹."

The Mill has the current commercial capacity to produce up to 1,000 tonnes per annum (tpa) of separated NdPr oxide. The planned expansion is designed to add the capacity to produce up to approximately 20 tpa of terbium (Tb), 120 tpa of dysprosium (Dy), 140 tpa of samarium (Sm), 20 tpa of europium (Eu), and 140 tpa of gadolinium (Gd) oxides, along with other rare earth elements²: Tb and Dy are heavy rare earths added to most high-end rare earth permanent magnets (REPMs) to increase resistance to demagnetization (coercivity) and high-temperature performance, and to enable smaller, lighter, more powerful, and more efficient electric motors.

The planned expansion is expected to be completed by the end of 2027, with respect to the addition of the Tb and Dy circuits and by the end of 2028 with respect to the addition of the Sm, Eu and Gd circuits.³

The White Mesa Mill's heavy rare earth expansion is sized and timed to process the anticipated near-term monazite output from the Company's Donald Project joint venture in Australia. Subject to a positive final investment decision (anticipated in Q3 2026)⁴, Donald is expected to produce approximately 8,500 to 9,500 tonnes of monazite concentrate annually beginning in 2028. This volume, along with additional third-party feedstock currently under contract and in discussion, is expected to fully utilize the Mill's current NdPr oxide capacity, and planned Tb and Dy oxide capacity, which is expected to be commissioned in Q4 2027. In turn, these rare earth oxides are expected to supply roughly 70% of the feedstock required for ASM's existing and planned metal and alloy capacity in South Korea, which itself is expected to supply sufficient magnet alloy to supply over 100% of the 2,000 tonnes of magnet capacity at VAC's magnet manufacturing facility in Sumter, South Carolina – the largest REPM facility in the United States.⁵ 

The planned expansion is also expected to include a circuit for the processing of mixed rare earth carbonates (MREC) to enable Energy Fuels to process additional types of feedstocks produced globally that are rich in heavy rare earth oxides. Importantly, the new MREC circuit will enable the Mill to produce rare earth oxides and uranium simultaneously at commercial scale.

This expansion project is estimated to have a total capital expenditure of approximately $104 million, which is expected to be supported in large part through various government grants and loans. The debt component for the heavy rare earth expansion is planned to be covered by a previously announced conditional loan commitment from the U.S. government. The equity component will be covered out of the Company's working capital, which totaled approximately $0.96 billion as of March 31, 2026. The Company has also applied for grant funding from other U.S. government agencies.

Energy Fuels plans to further expand the Mill in 2029 to increase overall capacity to 6,294 tpa NdPr, 80 tpa Tb, and 288 tpa Dy oxides. This second expansion is expected to process monazite supplied largely by the Company's current and development projects, including all phases of the Donald Project in Australia, the Vara Mada Project in Madagascar, and the Bahia Project in Brazil, along with third-party monazite concentrates and MRECs. The oxides produced at the Mill from these sources will support more than 100% of the expected internal demand of the planned expansion of ASM's metal and alloy facility in South Korea and its planned new facility in the U.S. This in turn will produce sufficient magnet alloy to supply more than 100% of the internal demand for VAC's planned U.S. and European magnet manufacturing expansions, resulting in a total integrated mine-to-magnet supply chain capable of producing 15,700 tonnes of REPMs per year in the coming years⁵. These volumes of magnets are sufficient to supply up to six million electric/hybrid electric vehicles per year, four million humanoid robots per year, 31 million internal combustion engine vehicles per year, 3,140 offshore wind turbines per year, or 7.8 million iPhones per year.⁶

Footnotes:

1 Source: Energy Fuels press releases Energy Fuels Announces Definitive Agreement to Acquire VAC for $1.9 Billion Equity Value; Energy Fuels to acquire Australian Strategic Materials to create new "mine-to-metal & alloy" rare-earth champion.

2 The quantities listed are maximum design quantities expected by the Company, and dependent on the distribution of REE oxides and recoveries in the feed material. Other rare earth elements include: SEG Carbonates (Sm, Eu, and Gd, pending commissioning of separation circuits for those elements expected in 2028) and Ho+ Carbonates (holmium, erbium, thulium, ytterbium, lutetium, and yttrium).

3 Depending on market needs.

4 A Final Investment Decision on the Donald Project is expected to be made following completion of negotiation of project debt financing for the Donald Project with Export Finance Australia and other lenders targeting A$220 million, which is currently underway.

5 Assuming the successful completion of the planned ASM and VAC acquisitions, and subject to market conditions, financing, offtake and/or permitting.

6 Quantities of end use products is highly dependent on specific designs and applications. Numbers presented for illustration of the scale of Energy Fuels' proposed expansions.

About Energy Fuels

Energy Fuels is a leading U.S.-based critical materials company, focused on uranium, rare earth elements (REEs), heavy mineral sands, vanadium and medical isotopes. Energy Fuels, which owns and operates several conventional and in-situ recovery uranium projects in the western United States, has been the leading U.S. producer of natural uranium concentrate for the past several years, which is sold to nuclear utilities for the production of carbon-free nuclear energy. Energy Fuels also owns the com Mill in Utah, which is the only fully licensed and operating conventional uranium processing facility in the United States. At the Mill, Energy Fuels also 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. Energy Fuels is developing three (3) 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 Limited. Energy Fuels, based near Denver, Colorado, trades its common shares on the NYSE American under the trading symbol "UUUU," and is also listed on the Toronto Stock Exchange under the trading symbol "EFR." For more information on all Energy Fuels does, please visit http://www.energyfuels.com.

Cautionary Note Regarding Forward-Looking Statements
This news release contains certain "Forward Looking Information" and "Forward Looking Statements" within the meaning of applicable United States and Canadian securities legislation, which may include, but are not limited to, statements with respect to: any expectation that the planned expansion will be completed as expected, or at all; any expectation with respect to the capital costs of the planned expansion; any expectation as to funding related to the planned expansion; any expectation that the proposed acquisitions of ASM and/or VAC will complete as planned or at all; any expectation that any government funding being pursued will be funded as contemplated or at all; any expectation that Energy Fuels' Donald Project will be developed as planned or at all; any expectation that ASM will expand its metal and alloy-making capacity as planned; any expectation that any of Energy Fuels' other projects will advance to a positive final investment decision and be developed; any expectation as to future production of Energy Fuels; any expectation that Energy Fuels will secure sufficient feed materials to support its planned expanded separations capacity at the Mill;any expectation that Energy Fuels will be successful in developing an integrated mine-to-magnet platform; any expectation that the Company's further expansion plans at the Mill will be completed or as to the production capacity of any such expansion; any expectation that Energy Fuels will maintain its position as a leading U.S.-based critical materials company; and any expectation that Energy Fuels' evaluation of radioisotope recovery at the Mill will be successful. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "plans," "expects," "does not expect," "is expected," "is likely," "budgets," "scheduled," "estimates," "forecasts," "intends," "anticipates," "does not anticipate," or "believes," or variations of such words and phrases, or state that certain actions, events or results "may," "could," "would," "might" or "will be taken," "occur," "be achieved" or "have the potential to." All statements, other than statements of historical fact, herein are considered to be forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Energy Fuels to be materially different from any future results, performance or achievements express or implied by the forward-looking statements. Factors that could cause actual results to differ materially from those anticipated in these forward-looking statements include risks associated with: commodity prices and price fluctuations; engineering, construction, processing and mining difficulties, upsets and delays; permitting and licensing requirements and delays; legal challenges; the availability of feed sources for the Mill; competition from other producers; public opinion; government and political actions or inactions; the ability of Energy Fuels to produce rare earth products to meet commercial specifications on a commercial scale at acceptable costs or at all; market factors, including future demand for rare earth element products generally or for western-produced REE products; and the other factors described under the caption "Risk Factors" in Energy Fuels' most recently filed Annual Report on Form 10-K, which is available for review on EDGAR at www.sec.gov/edgar, on SEDAR+ at www.sedarplus.ca, and on Energy Fuels' website at www.energyfuels.com. Forward-looking statements contained herein are made as of the date of this news release, and Energy Fuels disclaims, other than as required by law, any obligation to update any forward-looking statements whether as a result of new information, results, future events, circumstances, or if management's estimates or opinions should change, or otherwise. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements. Energy Fuels assumes no obligation to update the information in this communication, except as otherwise required by law.

www.energyfuels.com

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SOURCE Energy Fuels Inc.

FAQ

What is Energy Fuels (UUUU) building at the White Mesa Mill in Utah?

Energy Fuels is expanding its White Mesa Mill to add commercial-scale heavy rare earth oxide production. According to Energy Fuels, the mill will produce terbium, dysprosium, samarium, europium and gadolinium oxides alongside existing NdPr oxide capacity for mine-to-magnet supply chains.

When will Energy Fuels’ new heavy rare earth production in Utah start, and what are the target capacities?

Energy Fuels targets completing terbium and dysprosium circuits by the end of 2027 and other circuits by 2028. According to Energy Fuels, design capacity is up to 20 tpa Tb, 120 tpa Dy, 140 tpa Sm, 20 tpa Eu and 140 tpa Gd oxides.

How much will Energy Fuels’ Utah heavy rare earth expansion cost and how is it funded (UUUU)?

The initial heavy rare earth expansion is estimated to cost about $104 million. According to Energy Fuels, funding is expected largely from government grants and loans, with the equity portion covered from $0.96 billion in working capital reported on March 31, 2026.

How does the Donald Project support Energy Fuels’ new heavy rare earth plant for UUUU investors?

The Donald Project is expected to supply 8,500–9,500 tonnes of monazite concentrate annually from 2028, subject to final investment decision. According to Energy Fuels, this feed, plus third-party material, is timed to utilize the mill’s existing NdPr and planned Tb/Dy capacities.

What rare earth capacity targets does Energy Fuels (UUUU) plan for 2029 at White Mesa Mill?

For 2029, Energy Fuels plans a second expansion to 6,294 tpa NdPr, 80 tpa Tb and 288 tpa Dy oxide capacity. According to Energy Fuels, this follows the initial heavy rare earth addition and is designed to process monazite and mixed rare earth carbonates.

How will Energy Fuels’ mixed rare earth carbonate (MREC) circuit affect its Utah operations (UUUU)?

The planned MREC circuit will let the White Mesa Mill process additional heavy rare earth–rich feedstocks. According to Energy Fuels, this circuit is expected to allow simultaneous commercial-scale production of rare earth oxides and uranium from suitable mixed rare earth carbonate streams.