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Uranium Energy Corp. (UEC) announced today its intention to acquire 100% of Rio Tinto's (ASX:RIO) uranium assets in Wyoming, a deal that includes the fully licensed Sweetwater Plant and a portfolio of uranium mining projects containing approximately 175 million pounds of historic resources. The acquisition price set for the closing is $175 million.
This strategic move significantly enhances UEC's operational capabilities, as the company currently manages 12 uranium projects in Wyoming's Great Divide Basin. The addition of Rio Tinto’s Sweetwater Plant and its portfolio of permitted and exploration-stage projects is expected to unlock considerable development potential, establishing a third U.S. hub-and-spoke production platform within UEC’s pure-play uranium operations.
Amir Adnani, President and CEO of UEC, emphasized the importance of this acquisition, stating that it represents a critical milestone for the company. He highlighted that expanding production capabilities through the acquisition of fully licensed uranium assets in the United States is particularly timely, especially given the recent restart of in-situ recovery (ISR) production in Wyoming.
This transaction builds upon UEC's earlier transformative acquisition of Uranium One Americas in 2021, which brought a substantial portfolio of holdings in the Great Divide Basin. The integration of Rio Tinto's assets is anticipated to further strengthen UEC’s position in the uranium market.
Following the announcement, UEC shares experienced a significant boost, rising by 11% to reach $6.16 each. This acquisition underscores UEC's commitment to enhancing its uranium production capabilities in a key region, aligning with the growing demand for uranium as a clean energy source.
