Energy Fuels Inc. (EFR) Earnings Call Transcript & Summary

Good morning. My name is Ludi, and I'll be your conference operator today. At this time, I would like to welcome everyone to the Energy Fuels Conference Call. [Operator Instructions] Thank you. Mr. Chalmers, you may begin your conference.

Thank you. First of all, welcome to this conference call. And as President and CEO of Energy Fuels, it is my absolute pleasure to provide this update on what I believe is a potential transformational combination of 2 companies, Energy Fuels and Base Resources. The announcement made today is the culmination of well over 1-year of very hard work. We served far and wide and have landed on what we believe is the perfect opportunity. I will provide a presentation on the combination of the 2 companies and what it means to shareholders and our strategy -- our business strategy going forward. Today, you will be controlling your own slides, and I'll try to tell you when to move to the next slide. At the end of the presentation, there will be time for questions. And I will be joined today by Dave Frydenlund, our Executive Vice President and our Chief Legal Officer, to assist with any questions you might have. So let's get going. Now just to start with this first slide showing that beautiful picture is taken not far from the White Mesa Mill and the sunset, that's in San Juan County, and I just -- I really like this picture because it really -- it's just a beautiful picture and where we operate down and the Energy Fuels proposed acquisition of Base Resources, establishing a global leader in critical minerals. So again, very excited about that. So let's go to the next slide. I may be making some forward-looking statements; those are in the second page here. So again, that is in the presentation. Next slide. So let's talk about some of the transactional highlights. This transaction is expected to unlock significant value for both Energy Fuels and Base Resources in a way that is truly unique to our 2 companies.This is due to a number of valuable and identifiable synergies. Toliara is a world-class advanced stage low-cost heavy mineral sand project. It has significant stand-alone value from its core ilmenite, rutile and zircon resources. However, when you add its massive monazite resource to the equation and Energy Fuels ability to recover, process and monetize this monazite, the unique value of this asset becomes even more apparent. Energy Fuels is also building a world-class and low-cost REE oxide supply chain centered in the United States, where significant additional value is expected to be created by receiving low-cost monazite from till, they are. It is also important to emphasize that we are also acquiring Base's proven leadership and management team, which developed and operated another successful mineral sand project in Africa, and this is a key aspect of this transaction. Next slide. So let's talk about the transaction overview and timing. This is a share in cash acquisition consisting of 0.026 energy fuel shares and AUD 0.065 cash payable by Base at closing fecal dividend per base share. Energy Fuels will issue approximately 32 million shares to Base shareholders. Pro forma energy fuel shareholding will be 83.4% and Base shareholders will own 16.6% of the combined company. Base's largest shareholders, pack roads and sustainable capital have signed voter intention statements and the management, and the directors have also agreed to their intent to support this transaction, which totals about 53% of the outstanding shares. This scheme of arrangement is subject to customary closing conditions. The transaction is expected to close in the third quarter of 2024. Next slide. So the transaction rationale. This transformational acquisition submits Energy Fuels position as a clear leader in the U.S. critical minerals sector. Toliara is well-known, advanced, and I'm going to repeat myself, low-cost, very large scale, and it is truly world class. We are focused on creating a profitable, high-margin U.S. critical mineral business with a focus on uranium, rare earths and heavy mineral sands that produces several of the advanced materials needed for the clean energy transition. Toliara alone will provide nearly 50% of Energy Fuels monazite feed at lower quartile cost structures. Energy Fuels is positioned itself to become a global significant producer of both the light and heavy magnet rare earths using EVs and hybrid vehicles, direct drive, wind energy and defense requirements. We believe this will be a capital-efficient western rare earth supply chain producing raw materials as a low incremental cost byproduct and leveraging existing uranium and rare REE capabilities in the U.S. to fulfill a gap to Western supply when it's never been more important. Next slide. We also see this transaction as significantly accretive, not dilutive, accretive. This slide shows that as the Base acquisition being such and a game changer for Energy Fuels on a net asset value per share basis with the potential to unlock significant additional upside. This acquisition brings USD 2 billion of NPV to Energy Fuels based on basis DFS and PFS on Toliara based on HMS and monazite raw material sales alone. However, Energy Fuels is currently refining rare earth feeds and producing advanced rare earth materials not just raw materials. So there is a further lift. So we hope to be able to beat this in due course. The transaction value represents approximately 15% of the Toliara NPV at a conservative 10% discount rate. Next slide. So let's look at the diversified portfolio of assets. The addition of Base cements Energy Fuels position as a leading U.S.-focused critical minerals producer with a combination of HMS, REE and uranium strategy. Energy Fuels will continue to leverage its uranium business and uranium processing capabilities in today's strengthened markets for uranium. But look at this portfolio, it's global. The Energy Fuels team will focus on the uranium and the rare earth business and value-add in the Northern Hemisphere. Whereas the Base team as part of Energy Fuels will focus on the HMS and monazite in the Southern Hemisphere. What -- how good is that? So we see this as a perfect combination for what this brings to the combined companies and our shareholders. Next slide, we are focused on building an integrated business. We are creating a high capital efficiency critical mineral supply chain centered in the United States. This transaction lays groundwork for the creation of one of the largest integrated REE producers outside of China. This is a clear path to becoming the first fully integrated REE oxide producer in the U.S. We are also evaluating opportunities to go further downstream to capture the significant potential value in producing rare earth metals, alloys and magnets, while offering customers a true mine to magnet alternative. Next slide. So I've hit on Base Resources, but really, one of the biggest attributes that I'm going to repeat again is securing a proven team with Base Resources. And this is a big part of the transaction because acquiring the company and the management team with an excellent track record of HMS production. The Base team, and I'm again repeating myself, built a profitable, well-run mine in Africa and Kenya, and their expertise is transferable to Madagascar and as a supplement to our teams in Brazil and Australia. Next slide, the Toliara Project, I say world-class too many times, you won't forget it. On its tone though, with significant ilmenite, zircon, and rutile and with that, approximately 22,000 tonnes of monazite production per year, which will be refined at Energy Fuels White Mesa Mill into advanced rare earth oxides at lower cost and western competitors. With a measured and indicated resource of 1.4 million tonnes of monazite and that's like 50 years of monazite production with an inferred resource of almost 800,000 tonnes, this is a massive deposit on every metric, securing quality feed of this magnitude, Toliara, along with the potential joint venture with Astron will count for a material amount of Energy Fuels long-term feed of approximately 70% of 50,000 tonnes of feed. Now this then just happened by accident. We listed that the technical support of Perth-based TCMI and we did a global review of the entire world, something like 60 or 70 projects and came up with a short list and both Toliara and Donald we're on that list, and so we went after them. So it was a very focused approach. Next slide. So let's talk about White Mesa and the uranium assets because that is still a big focus and core bit of our business, particularly in this market. The White Mesa mill is the only facility in conventional uranium mill offering in the U.S. today that has the ability to produce these REE from monazite and has license capacity of over 8 million pounds of uranium per year as well as the vanadium circuit. We are currently mining 3 uranium projects right now and we're ramping up to about 1.4 million to 1.5 million pounds by the end of the year, and we plan to increase this up to 2 million pounds per uranium per year with limited capital. We have a suite of additional projects to bring online now and over time, and many of those do not require large sums of capital. But we also have a profile and time as the market supports of up to about 5 million pounds per year. We have been the largest uranium producer in the United States for the past 5 years and only second to Cameco over the past decade plus. While White Mesa is a unique global -- its unique globally competitive rare earth production capabilities unlock significant value from Toliara, a low-cost monazite in a manner that no facility in the U.S. is currently capable of doing. Next slide. So this is an interesting one because look at how it uniquely positions Energy Fuels and going forward and the synergies between Energy Fuels and Base are obvious and numerous. Unique world-class assets, you got the White Mesa mill, you got Toliara, we've got the Donald project, and we have U.S. uranium mines. Looking at a U.S.-focused strategy that's fully integrated. It's much more improved for -- and it's well positioned, excellent position for U.S. government support, globally cost competitive, from a leading metals producer, it's got scale, it unlocks inherent value, and it has feedstock diversification. Couple that with a strong balance sheet and commercial positioning over $200 million of liquidity, strong shareholder base and becoming a top-tier REE supplier. This is impressive folks. This is impressive. So I'm really enjoying giving this conference call. So next slide, pro forma. The combined companies we'll have a market capitalization of about USD 1.1 billion. I talked about the cash position of north of $200 million. It's New York listed and Toronto listed providing access to institutional capital, and we trade over $20 million a day, and we've averaged that over 3 months. Our current shares out -- are about 164 million. So with this transaction, that will increase to the shares issued to base to 196 million. So this is a very strong company going forward, well positioned to capitalize on all the great things that we do in the uranium space, the rare earth space and the heavy mineral space. Next slide. So look at the takeaways, and there are many. The benefits to both sets of shareholders, vertically integrated rare earth production independent of China, increased commodity diversification, potential share price re-rate with the REE strategy and uranium, increase cost -- or increased scale and diversification, enhanced value proposition through synergies between the 2 companies, combined access or continued access to the base management team, ability to deploy [ SAP ] between various projects and significant rare earth production visibility, which we're targeting around 6,000 tonnes of NdPr per year and up to 300 tons of Dy and Tb. The benefits to the Base shareholders is immediate and significant premium to current share price, material reduced dilution and financing costs reflecting a Base did this on their own and the opportunity to retain exposure to a diversified critical minerals company with a re-rate there that we believe will be significant. Meanwhile, the benefits to Energy Fuels shareholders is secure a long-life, low-cost source of monazite with the White Mesa, REE separation and expansion. Access again to the Base team, I'm giving a lot of kudos and by the way, I have Tim Carstens here with me in my room here in Singapore. It's accretive on a NAV basis per share and increased commodity diversification varying exposure to uranium, the rare earth and the heavy mineral sands business. Again, this is a great new story. So the time line, the next slide just shows the time line. So we announced this 22nd of April. I think it's 22nd in wherever you're at in North America, but the time line is to have this thing closed late in August of this year. And so we'll be advancing down that time line as we look forward to putting this together for all the right reasons that I've mentioned. Okay. Last slide, just showing that beautiful sunset again, in summation, we are immensely excited about this announcement to acquire Base. We've gotten to know the Base team and their assets very well over the past several months. And it's clear to me that our companies belong together. We also believe that this acquisition is highly accretive to Energy Fuels shareholders from a net asset value. I mentioned the Base boasting a NPV of USD 2 billion, which we think is real and can be realized, if not improved on with the extra integration steps at the mill, combined Energy Fuels and Base, have the potential of becoming a diversified critical mineral juggernaut with raw materials mined and allied nations in production of advanced rare earth materials occurring in the United States, all key points for potential customers and U.S. government support. Combine this with our expertise, infrastructure, strong balance sheet, no debt and significant momentum look out world. So we look forward to continuing to keep the markets updated on upcoming developments, including updates on this transaction, and on Energy Fuels rapidly advancing uranium and rare earth production business and strategy. That is it. And I'm now open to questions.

[Operator Instructions] Your first question comes from the line of Joseph Reagor from -- sorry, ROTH MKM.

Hey, Mark. A couple of things. I guess the first thing being on Toliara, there was a note in the Base's last presentation that they did publicly that there was like a suspension of the project. I'm not fully up on it. So could you kind of walk us through what that was? Has it been resolved? And if it hasn't, what's your outlook there?

Yes. Well, it's work in progress. It has been a suspension until 2019 and -- but since that time, they've come up with a new mining code, and I have Tim Carstens here who's lived through it, a new mining code in the stability agreement. So there's been a number of changes in Madagascar to provide sort of a broader base of shareholder appreciation. Tim, do you want to add anything to that?

Yes. Sure. I mean the reason for the suspension was we put in place back in 2019 at a time when the government was looking at implementing a new mining code because Madagascar had 2 very large mining projects ahead of Toliara. One was a Rio Tinto project and the other was the Ambatovy nickel cobalt project a $9 billion development. None of them had really generated the outcomes for the country that they wanted. And so they had some pretty significant wants in terms of our new project. And so the challenge for us was negotiating that outcome with thereafter. So they put the suspension in place while we discuss those fiscal terms. Now why it's taken so long to get to where we are? There are 2 main factors. One, the government needed to get sensible advice from the World Bank and the IMF, on what sort of fiscal terms were realistic for Madagascar was one issue, and that started during 2020. And then obviously, we had COVID coming in between, and Madagascar was shut down completely. So that whole process got slowed down significantly. The country reopened in 2022, and we've been embarking on discussions with the government since that put the new mining code in place. We have agreed in principle to what the fiscal terms are going to be. We're working our way through a process at the moment that we're expecting is going to see fiscal terms agreed over the course of the next 3 or 4 months is the current time line that we're working through with government. So it's been a long process, but there have been some pretty reasonable reasons for it, and we're in a pretty good place now.

Okay. That's helpful. Second question...

Yes. We're very confident that this is going to be approved to go forward. And when you look at the stable of projects we have like Bahia and Astron and our relationship with Chemours, we have a little bit more flexibility there. But we believe it will be done this year, okay? And if it isn't this year or the next year, this is a great deposit and this new stability agreement, whatnot is excellent for the country. And so we're very bullish that this is all going to happen and but it's -- this is where there's a huge opportunity to get this across the line. And we also believe that we're going to work closely with the Madagascar government and the stakeholders of Madagascar, the local communities. Base has done some excellent work on that front, outstanding work. And we were there in country and really impressed with how a Base operates in Madagascar and in Kenya, and that was a key part of our decision process here.

Okay. Fair enough. Second question on [indiscernible] Kwale. Kwale, I believe -- the old plan was to shut that mine down at the end of this year. Is that still the plan? Or is there any opportunity there for Energy Fuels?

Well, it's still the plan to shut it down this year. So yes, that will -- it's still cash flowing. They're still producing there, but the plan is that towards the end of the year, it will come to an end.

And will there be any reclamation costs or ongoing care and maintenance costs after shutdown?

Yes, but they're also doing a lot of that reclamation right now, and they've been a provision of about almost USD 50 million to get that reclamation completed. So -- but yes, we think it's fairly adequately provided for, for the reclamation. And in our assumptions, we also added sort of an ongoing amount over a number of years just to make sure it's all properly put to bed. So we think we've got that covered very well.

Okay. And then one final thing. Does this need Energy Fuels shareholder approval or just Base Resources?

Just Base Resources.

Okay. I'll turn it over.

Your next question comes from the line of Justin Chan from SCP Resource Finance.

Hi, Mark and Tim. Congratulations on getting this deal announced. Just maybe a follow-on on your time lines for the stability agreement. I'm just curious, I guess, what are the next steps from here? And I suppose -- I guess, when do you expect to start engaging with the government. I would presume it's probably after close of this deal, but perhaps you can just give us a bit more color on how that process unfolds over the next rest of this year or into next year?

Well, look, first of all, we see Base with the great work base is done in Kenya and in Madagascar, is Base is the face on this transaction. I mean it's their -- still their company, it hasn't closed. So we're very comfortable with the fact that Base is going to continue on with their good work in country. And Tim and I will sit down and decide what involvement, if any, is required from Energy Fuels, but we certainly will have some involvement. But Tim, I don't know if you have any other feedback to Justin on that.

Yes. I mean we're on an understood process with the government. And then the next major step forward is the lifting of the suspension, which the Ministry of Mines is planning to happen immediately following the May 29 parliamentary elections. We have negotiated the fiscal terms applying to the projects, so we know what they are. They're very much based on the mining code, but with an uplifted community development commitment. And -- yes, the investment agreement that glues all of that together is not the biggest thing we're going to have to negotiate and there's also quite a strong stability regime in Madagascar called the LGIM regime that was developed by the World Bank, which basically locks down your fiscal terms for the life of the mining license. So all of that well understood. It's the sort of thing that can be completed by July. So every [ prospect of us ] having this locked down by the time we close it.

Got you. And maybe one just operationally, given the -- I mean, at full ramp-up when this is 25 million tonnes a year at Toliara -- you can almost fill at least the base level of the Phase II White Mesa monazite requirement, and then perhaps some other projects fill it in to get to 30,000 tonnes to 50,000. But I'm just curious, in that first 13 million tonne a year phase, can you sequence the ore body at all to kind of increase monetize production, given how the time lines cross over with White Mesa, or I guess, is it more likely that you'll have another project feeding as well during that period? And then Toliara does the expansion.

Yes. I mean if you look at the time lines, assuming who we're planning to close the Astron deal, that could come sooner because they're going to make -- they're going to do the FID here in the next probably 12 months or something. That will be pretty close. But I think that the Donald could come on sooner. We're having -- continuing to have a relationship with Chemours. They're looking at expanding some of their abilities in the United States. So right now, Justin, our main goal right now is to get all our ducks lined up with the price NDBR currently around $50. We feel that right now, we can maximize the uranium plan right now because of uranium prices, and let's get our ducks lined up and get this thing all organized so we can really burn rubber here looking out on that '27, '28 time period with this new very significant, world significant rare earth business. So right now, it's unique that we have the uranium plan to fall back on -- not to fall back on, but right now, it's time to burn rubber and uranium. And we'll burn rubber and rare earth looking out a few years.

Yes. And I guess another aspect of this transaction is, I mean, just the mineral sand side of the business will generate a lot of cash flow to kind of support all the rest of the business given not only the economics of Toliara, but the market is actually structurally quite tight on a supply/demand basis.

Yes. I mean, the thing I like about this diversification is here, you've got cash flow from the heavy mineral sands, you got the uranium, you got the rare earth. And depending on where the cycles are where they're at, that creates other opportunities for further consolidation or doing other things because you've got that diversified cash flow. So I think this is a really, really great outcome for trying to come up with a strong business strategy and plan going forward with this diversification.

Got you. Maybe just one last one for me. I guess looking at your other potential sources of feed. I guess where are things with regards to Astron and then I know Beaver is earlier stage, but maybe just could you give us an update on what you expect [ news ] flow wise there over the next year or 2 years?

Yes. Yes. We're still exclusive with them to the end of the month, and we're trying to finalize our agreements with them. So we're well advanced there. So -- yes, we -- so we're getting there with Astron and expect to get there. So we'll get that, we believe, finalized. We're still advancing the Bahia project. We've been hiring people. We're looking at a country manager for Brazil. So we're advancing Bahia as well. There are other companies that are still looking at us as an alternative for a home for monazite that we're also advancing as well too, potentially. But the bottom line is with Toliara, Donald and Bahia, that's a lot of feed of monazite. That's a lot of monazite. I mean you're looking at measured indicated and feared -- like 2 million tonnes at Toliara. Donald has something like 700,000, 800,000 tonnes. Don't quote me on that, but it's a lot. Between all these projects, there's a lot of monazite, okay? And a lot of heavy mineral sands too. So again, I just -- I think this is a really unique outcome. And I think that we -- there's no playbook on how we're trying to put this all together, the -- you've got the physical separation that's upfront and heavy mineral sands and they have the hydromet and you got 2 teams that are like-minded and how you put that together to get the momentum and the outcomes that we're looking for.

Got you. Yes, I think it's a hell of a business, and I really like the combination of the cash flow from mineral sand, and then cash flow ultimately from Morrison and uranium. But -- one really adds the strategic component and the other is actually a very stable business. So that's great. Congratulations, guys.

[Operator Instructions] your next question comes from the line of Richard Hatch from Berenberg.

Just interested to know what the lockup period is of the Base management team for the deal, given the importance that you sort of suggest that flagged as part of the deal?

Dave Frydenlund, you're on there somewhere. You tell me you're the lawyer.

There's -- are you talking about after closing?

Yes. Just you've pointed that the Base management team, obviously, you have successfully built Kwale have really brought Toliara along, but they're a key part of building this asset, I'm just interested to hear what the lockup period is of that management team as part of this deal post-closing?

There's no formal lockup, team. I'll let Mark deal with it. But we -- I don't think we need to lock up this team. I think both teams are really excited about this combined company. Mark, do you want to take it from there?

Yes. No. And I've got Tim here, too. So I think one of the things that was really important to us, and I think the base is you want to work with people you want to work with. So there -- I would say and on trying to get quality or not quality, but Toliara up and running. And through this deal, I think everybody is going to have some -- a pretty good shareholding in the combined companies. And -- but mostly, I just want people to have -- enjoy and help build a very successful business going forward. And Tim, I don't know what you want to say.

Yes. So it's a excellent question, Richard. Look, the starting point for all this is may and my plenty of time. We're all in this to pull this off. We're highly motivated for to finish the job we started with Toliara and now we're really energized by the opportunity to create something pretty special in the critical minerals space. Obviously, things like how our long-term incentive plan gets replaced by the equivalent plant at Energy Fuels, we've got land on all of that. But that scheme is very similar to our scheme. So in terms of the motivation, I guess the only thing that really changes for our team in the way we look at it, is -- we're one step familiar to help the public company, but that's not really what motivates it's we're in for the long haul.

Well, and I apologize. I think you you're talking about the voter intention statement signed by the shareholders, but I misunderstood a bit. But yes, it's -- we're focused on an environment that will be conducive and productive for all the people involved. And as I said, I see Base Resources -- operating as Base Resources, and again, we're very impressed with how they operate. And it's a good team and with our team. So yes, it's all about creating value. But it's also about making sure that people are properly engaged, properly compensated and feel part of the team and feel appreciated. So...

So I appreciate that. And then -- sorry, just -- that's great. And my second one is just, sorry, again on lockups for this time from a shareholder perspective. So obviously, Base and yourselves have announced that the 2 sort of key shareholders of the Base perspective register of -- have given their indications that they approved the deal. So is there a period of time in which those converted shares sit within Energy Fuels and then -- sorry, can you just remind us what percentage of a Base shareholder vote do you need to get the deal pass?

Yes. I'll still let Dave answer that, so.

Yes. Okay. We have voting intention statements from 2 major shareholders. That's approximately 55% of the shares, something like that...

51%.

Is it 51%, okay. Yes. Sorry 51%. And those continues through this transaction. There's abilities to respond to superior bids, if any, arise, things like that. That's -- yes, so that's basically the way it's set up. And sorry, can you state your question again?

Yes. So it was just -- sorry, it was just whether -- if there's a period of time in which those -- sorry, to be clear, if there's a period of time in which those shares relating to the sustainable impact growth have got whether there's a period of time in which there's locked up. And then, sorry -- and then at what percentage you need to get the -- for the base shareholder like to get the deal done?

Sorry. Yes. Sorry. Okay. Yes. So the voting intention statements post this transaction. The vote required is twofold. There's a 75% of the votes held as well as 50% of the shareholders at the meeting who vote. So it's yes.

Yes. Right.

Richard, just to clarify, there's not a lock-in time on the other side of the transaction.

Your next question comes from the line of Reed Rubin.

Are you hedging uranium at this level, sir?

Are we hedging uranium at this level? Reed?

Yes.

Yes. Look, we're still looking at contracts that we can secure at these type of levels, but we're not going to hedge all of that. I mean, we've got some long-term contracts, and we continue to advance that. But we think it's healthy to have at least a certain portion of our production under long-term contracts. Right now, Reed, one of the issues is it's hard to find miners and the miners don't like to get laid off. So we're trying to have at least a basic uranium portfolio that can keep the miners fully engaged and -- but also have opening to the upside. We did sell some uranium on the spot in the Q1, and I think we sold it for $103 a pound, and we'll continue to do that. Reed. We'll continue to try to maximize that balance between a contract portfolio and spot sales whatever seems to make sense to maximize our return on that production.

And contract pricing is roughly what now?

Well, the long-term price is still $75 a pound, and so -- but that is an exact rule, but we're always out there trying to maximize whatever contract provisions we have. The uranium we sold that was on our contract in Q1 was $75, $13 a pound or something, so pretty close to that contract price. But then we sold...

Right.

100,000 pounds at $103 and the weighted price was about $84. So the price right now is about $90. So that's a little bit less, but you're not always going to get the top all the time.

And your next question comes from the line of Joseph Reagor from ROTH MKM.

Mark, I had one other question. If this -- assuming this deal gets consummated, is the plan still to pursue the Astron JV as well? Or are they -- is there some possibility that you would just pursue one?

Well, I mean, our intention is to pursue both of them. And -- and again, we're trying to secure this diversified feed sources at scale to build out this world significant rare earth supply chain. So -- but it all has to boil down to the ultimate economics of everything we do. I mean we're always going to make decisions based on what we think is -- was best for the shareholders and for the business. So -- but our intention is to go ahead with both of these transactions.

Okay. And then assuming you don't have both, can you kind of walk us through like just capital budget numbers for construction in Madagascar for Phase 2 at the White Mesa mill, and then at Astron, what are those totals?

Well, I mean, you've got to be careful when you look at the totals over time. But if you look at like, for example, we've got -- just say we've got well north of $200 million, maybe closer to $250 million, $225 million. The Astron deal was to kind of prepay the development and the equity portion of getting the FID done, and also getting nonrecourse financing, and that was $120 million. And -- that would be extended over a period of a couple of years. So it would be '24, '25-ish maybe into '26. So we certainly have plenty of money to cover that. We still got revenue coming in from the uranium business. When it comes to Toliara, we'd have some front loads on getting the FID done and some of the stability payments that are required. We're again still in good shape for that. When it comes to Phase II, Phase III, we still have to get that submitted to the State of Utah before we know when exactly that is going to be required to those capital expenditures. But when you look at Toliara, you're looking at sort of in the order of USD 600 million over time. When you look at Astron, we think that this initial contribution of $120 million, $125 million with a nonrecourse loan will get us there for at least Phase 1. And then if you look at White Mesa, the Phase II, Phase III, particularly Phase II, you're probably looking at, it depending on what size we build out that facility between about $300 million to probably $500 million. But remember, too, Joe, that we have this Phase 1 plant that can still run and it can run for as long as we need it and we can be doing all these other things and timing them based on when we think this feed is going to arrive. So there's quite a bit of flexibility. I mean we have had a number of discussions with the government including high levels of the government, and we think there's going to be a huge appetite for financing these projects. These are the best projects out there, Joe, that I believe are out there to finance to advance, and they're going to get a lot of attention, I believe, for all the right reasons. So we're really excited about this. And -- it's -- and for the right reasons because we're building an integrated profitable business that's diversified.

And there are no further questions at this time. I would like to turn it back to Mr. Chalmers for closing comments.

Yes. I mean closing comments is, again, it's -- this is exciting times for our companies, and we appreciate the interest in Energy Fuels. I've said this many times, we are not getting out of the uranium business. I've been doing the uranium business for 48 years. And I'm not stopping now. As a matter of fact, we're going to continue to expand the uranium business where we can. So I do not want people to think this is a clear sign we're getting out of the uranium business. It is just a great complement on what we're doing because everything we're doing is radioactive and has uranium that we can monetize and recover, so it fits perfectly into our wheelhouse. And I think that a lot of people in the rare earth business would -- I don't use this word incorrectly, die for the ability to handle the radionuclides and recover uranium like Energy Fuels can. So this is unique. There is no playbook. We're excited about it. We're going for a big win here. We're not trying to be normal. We're trying to do things that are extraordinary. So thank you very much.

Thank you, presenters. And ladies and gentlemen, this concludes today's conference call. Thank you for participating. You may now disconnect.