Energy Fuels Announces Closing of Previously Announced US$16,611,000 Bought Deal Offering
Energy Fuels Announces Closing of Previously Announced
US$16,611,000 Bought Deal Offering
LAKEWOOD, CO, Feb. 20, 2020 /CNW/ - Energy Fuels Inc. (NYSE American: UUUU;
TSX: EFR) ("Energy Fuels" or the "Company") is pleased to announce it has closed
the previously announced public offering of common shares (the "Offered Shares")
made pursuant to an underwriting agreement dated February 13, 2020 (the
"Underwriting Agreement") between the Company and a syndicate of underwriters led
by Cantor Fitzgerald & Co. as lead underwriter and sole book-runner, and H.C.
Wainwright & Co., LLC, Eight Capital, Haywood Securities Inc. and Roth Capital
Partners, LLC (together with the Lead Underwriter, the "Underwriters") (the "Offering").
Pursuant to the Offering, the Company issued an aggregate of 11,300,000 common
shares at a price of US$1.47 per share for gross proceeds of US$16,611,000.
As previously announced, the Company intends to use the net proceeds of the Offering
to provide the Company with additional financial flexibility and enhanced options with
respect to any or all of the following: (i) to fund various activities required to increase
uranium and/or vanadium production at the Company's properties in response to the
President of the United States' budget for fiscal year 2021, including: wellfield
construction and other enhancements at the Company's Nichols Ranch ISR Project in
Wyoming, development and mining activities at the Company's La Sal Complex in Utah,
development and mining activities at the Company's Canyon Mine in Arizona,
exploration drilling, development activities and wellfield construction at the Company's
Alta Mesa Project in Texas, exploration, permitting and development activities at the
Company's other projects, and various capital and sustaining capital expenditures at the
Company's White Mesa Mill and other projects; (ii) to continue to pursue additional
revenue-generating activities at the White Mesa Mill, including alternate feed material
processing and land clean-up activities; (iii) to continue to finance evaluation of the high-
grade uranium and copper mineralization at the Company's Canyon Mine, including
further evaluation of processing options at the White Mesa Mill for the copper resources;
(iv) to continue permitting the Company's projects, including Roca Honda; (v) to repay
all or a portion of the Company's convertible debentures; (vi) for general corporate
needs and working capital requirements; and/or (vii) to retain all or a portion of the net
proceeds of the Offering in cash and/or marketable securities as collateral for advances
under any credit facility that may be used by the Company for any of the foregoing
purposes, and if necessary to repay any advances under such credit facility. However,
management of Energy Fuels will have discretion with respect to the actual use of the
net proceeds of the Offering, and there may be circumstances where, for sound
business reasons, a reallocation of the net proceeds is necessary.
The Offered Shares were offered in the United States pursuant to a prospectus
supplement to the Company's shelf registration statement on Form S-3 that was filed
with the U.S. Securities and Exchange Commission (the "Commission") and became
effective on December 26, 2018. The Offered Shares were offered in Canada pursuant
to a prospectus supplement to the Company's final short form base shelf prospectus
dated December 27, 2018, which was filed in each of the provinces of Canada other
than Quebec.
About Energy Fuels: Energy Fuels is a leading US-based uranium mining company,
supplying U3O8 to major nuclear utilities. The Company also produces vanadium from
certain of its projects, as market conditions warrant. Its corporate offices are near
Denver, Colorado, and all of its assets and employees are in the United States. Energy
Fuels holds three of America's key uranium production centers, the White Mesa Mill in
Utah, the Nichols Ranch in-situ recovery ("ISR") Project in Wyoming, and the Alta Mesa
ISR Project in Texas. The White Mesa Mill is the only conventional uranium mill
operating in the U.S. today, has a licensed capacity of over 8 million pounds of U3O8 per
year, and has the ability to produce vanadium when market conditions warrant. The
Nichols Ranch ISR Project is in operation and has a licensed capacity of 2 million
pounds of U3O8 per year. The Alta Mesa ISR Project is currently on standby. In addition
to the above production facilities, Energy Fuels also has one of the largest NI 43-101
compliant uranium resource portfolios in the United States, and several uranium and
uranium/vanadium mining projects on standby and in various stages of permitting and
development. The primary trading market for Energy Fuels' common shares is the
NYSE American under the trading symbol "UUUU", and the Company's common shares
are also listed on the Toronto Stock Exchange under the trading symbol "EFR."
Cautionary Note Regarding Forward-Looking Statements: This news release
contains certain "Forward Looking Information" and "Forward Looking Statements"
within the meaning of applicable Canadian and United States securities legislation,
which may include, but is not limited to, statements with respect to the expected use of
proceeds of the Offering. 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 the Company 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 statements with respect
to: the expected use of proceeds of the Offering; and the other factors described under
the caption "Risk Factors" in the Company's most recently filed Annual Report on Form
10-K, which is available for review on EDGAR at www.sec.gov/edgar.shtml, on SEDAR
at www.sedar.com, and on the Company's website at www.energyfuels.com. Forward-
looking statements contained herein are made as of the date of this news release, and
the Company 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. The Company assumes no obligation to update
the information in this communication, except as otherwise required by law.
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For further information: Energy Fuels Inc., Curtis Moore - VP - Marketing & Corporate
Development, (303) 974-2140 or Toll free: (888) 864-2125,
[email protected], www.energyfuels.com
CO: Energy Fuels Inc.
CNW 12:34e 20-FEB-20