Core Viewpoint - Energy Fuels Inc. (UUUU) and NexGen Energy (NXE) are positioned to benefit from the global shift towards nuclear energy as a clean power source, with UUUU being a leading U.S. producer of natural uranium and an emerging producer of rare earth elements, while NXE focuses on uranium exploration and development in Canada [1][25]. Uranium Market Dynamics - Uranium prices have rebounded to $76.5 per pound, nearing a two-month high, driven by expectations of expanding nuclear power capacity and tightening supply [2]. - India plans to increase its nuclear capacity to at least 100 GW by 2047, and the U.S. aims to quadruple its capacity to 400 GW by 2050 [2]. - The U.S. and U.K. governments signed the Technology Prosperity Deal to accelerate reactor approvals and reduce dependence on Russian nuclear fuel by 2028 [2]. Energy Fuels Overview - Energy Fuels has produced two-thirds of all uranium in the U.S. since 2017 and has the potential to produce 4-6 million pounds of uranium annually [4]. - The company operates the White Mesa Mill, the only licensed conventional uranium mill in the U.S., which also processes rare earth elements and evaluates medical isotopes recovery [5]. - In Q2 2025, Energy Fuels produced approximately 665,000 pounds of uranium, generating $3.85 million in revenues, a 55% decline year-over-year [6][7]. - The company expects to produce between 875,000 and 1,435,000 pounds of uranium in 2025, with processing activity ramping up in Q4 [7]. - Energy Fuels plans to sell 350,000 pounds of uranium in 2025, with projections for lower costs of goods sold due to processing low-cost ores [8][9]. Rare Earth Elements Production - Energy Fuels has produced high-purity neodymium-praseodymium oxide for commercial-scale rare-earth permanent magnets, establishing a "mine-to-magnet" supply chain independent of China [10][11]. - The company is also producing pilot quantities of dysprosium oxide and plans to expand heavy rare earth oxide capacity [12]. NexGen Energy Overview - NexGen Energy's flagship Rook I project is the largest development-stage uranium project in Canada, expected to deliver up to 30 million pounds of high-grade uranium annually [13][14]. - The Arrow Deposit within the Rook I project contains 257 million pounds of uranium, with further exploration ongoing [15]. - NexGen has secured uranium sales contracts with U.S. utilities for 1 million pounds annually from 2029 to 2033, providing financial stability [16]. - As an exploration and development stage company, NexGen does not generate revenues and reported an adjusted loss of 10 cents per share in Q2 2025 [17][20]. Financial Performance and Valuation - Energy Fuels' 2025 earnings estimate is a loss of 33 cents per share, with a potential return to profitability in 2026 [19][26]. - NexGen's 2025 earnings estimate is a loss of 20 cents per share, with continued losses projected for 2026 [20]. - Year-to-date, UUUU shares have surged 203.5%, while NXE shares have gained 35.3% [22]. - Energy Fuels trades at a price-to-book multiple of 4.80X, while NXE's forward price-to-book multiple is 6.88X [23]. Conclusion - Both companies are well-positioned to benefit from rising global uranium demand, with Energy Fuels having a more favorable near-term outlook due to active production and a debt-free balance sheet, while NexGen offers significant long-term potential through its Rook I project [25][26].

L1 Long Short Fund, an investment management firm, released its second-quarter 2025 investor letter. The L1 Long Short Fund (LSF) portfolio generated a return of 12.2% for the June quarter, outperforming the ASX200 Accumulation Index (ASX200AI), which advanced 9.5% over the same period. Over the past five years, the portfolio has delivered a compound annual return of 21.0%, significantly ahead of the ASX200AI’s 11.8% per annum. This consistent outperformance reflects the firm’s disciplined long/short inves ...

Core Viewpoint - NexGen Energy Ltd. has launched its largest scholarship program to date, awarding 8 scholarships for the 2025-26 academic year, which doubles the number of young leaders supported through their community-focused initiatives [2][5]. Group 1: Scholarship Program Details - The scholarship program, initiated in 2017, has awarded a total of 38 scholarships, supporting students in various academic fields including Trades, College, and University programs [3][5]. - The 2025-26 scholarship recipients represent communities local to the Rook I Project, including Clearwater River Dene Nation, Metis Nation Local Region 2, Birch Narrows Dene Nation, and Buffalo River Dene Nation [3][5]. - Each scholarship awarded is valued at an average of $10,000 per year, aimed at covering educational needs for advanced technical studies [4]. Group 2: Community Engagement and Impact - The scholarship recipients have participated in multiple NexGen community programs since 2017, including the Summer Student Program and various training initiatives, with 123 and 522 participants respectively [5]. - The program is part of a broader initiative by NexGen to mentor and empower youth in the Local Priority Area, focusing on personal and academic success [4]. Group 3: Company Overview - NexGen Energy is focused on developing the Rook I Project, which aims to be the largest low-cost producing uranium mine globally, adhering to high environmental and social governance standards [6][7]. - The company is headquartered in Vancouver, British Columbia, and operates primarily in Saskatchewan, Canada, addressing global challenges in decarbonization, energy security, and access to power [7].

We recently published All-Time High Fever: 10 Stocks Soaring and Breaking Records. NexGen Energy Ltd. (NYSE:NXE) is one of the best performers in last week’s trading. NexGen snapped a two-day losing streak on Monday, jumping 10.62 percent to close at $8.44 apiece as investors welcomed the US government’s backing for the expansion of uranium production in the country. NexGen Energy Ltd. (NYSE:NXE) rallied alongside its counterparts after Energy Secretary Chris Wright said that the US should look to boost ...

Core Insights - NexGen Energy Ltd. has made a significant uranium discovery at its Patterson Corridor East project, indicating high-grade mineralization at a depth of 454.5 meters, which is the shallowest depth recorded for this project [2] - Raymond James has reaffirmed a 'Buy' rating for NexGen Energy with a price target of $9.03, highlighting the company's strong position to meet increasing uranium demand [3] Group 1 - NexGen Energy Ltd. is recognized as one of the best uranium stocks to invest in currently [1] - The Patterson Corridor East project is evolving into a "world-class system" with ongoing drilling suggesting further potential despite structural challenges [2] - The Rook I Project in Saskatchewan's Athabasca Basin, which contains the high-grade Arrow Deposit, is a key asset for NexGen Energy as it explores and develops uranium properties [3]

Financial Data and Key Metrics Changes - The company reported a cash balance of CAD 375 million, sufficient to complete the 2025 site programs and initiate development for the first twelve months post-approval construction [17] - Uranium spot prices rose over 20%, closing at USD 78.50 per pound, indicating a strong market response to supply-demand dynamics [15] Business Line Data and Key Metrics Changes - NextGen announced a new offtake agreement with a major US-based utility, doubling their contract booking volume, which reflects a strategic shift towards market-related pricing mechanisms [16][30] - The contract book represents approximately 3% of the total defined resources, highlighting a patient and strategic approach to building sales [17] Market Data and Key Metrics Changes - Corporate buyers, particularly in the tech sector, have committed over USD 100 billion in AI data center construction, driving demand for nuclear energy [7] - The International Energy Agency forecasts a 170% increase in electricity demand from data centers in China and a 130% increase in the US over the next five years, leading to an insatiable demand for uranium [9] Company Strategy and Development Direction - The company is focused on advancing its uranium projects while ensuring environmental and social responsibility, aligning with national energy policies [11][12] - NextGen aims to transition from advanced development to construction, with a clear strategy to optimize financing and production flexibility [24][25] Management's Comments on Operating Environment and Future Outlook - Management highlighted a structural shift in global perceptions of nuclear energy, with increasing support from governments and corporations [6][10] - The company anticipates that the current lack of supply will lead to structurally higher uranium prices in the foreseeable future [13] Other Important Information - The company has secured 100% ownership of its claims in the district after acquiring Rio Tinto's 10% production carried interest [20] - NextGen's sustainability report indicates major advancements across environmental, social, and governance metrics, reinforcing its commitment to responsible development [21] Q&A Session Summary Question: Can you confirm if there are floors and ceilings in the new contract? - Management confirmed that the new contract includes a blend of market-related prices at the time of delivery, with some contracts having embedded floors and ceilings [30][31] Question: Has the lending interest from banks changed? - Management indicated that lending interest has grown, with more parties getting involved, and they are well in excess of previous estimates [35] Question: What is the preferred path for financing? - Management stated there is no preferred path at this stage, keeping an open mind to all avenues for funding, including equity and debt [43][45] Question: Are there any scope changes due to Bill C-5? - Management confirmed there have been no scope changes as a result of Bill C-5, maintaining a commitment to high environmental and social standards [61][63] Question: When will the market be informed about the production carried interest? - Management stated that details regarding the production carried interest are confidential as per the agreement [68] Question: What are the plans for testing on strike at Patterson trend? - Management indicated that the initial focus is to define and extend what is already known at PCE, with plans for extensive exploration in the region [70][72]

Financial Data and Key Metrics Changes - The company reported a significant increase in uranium spot prices, rising over 20% to close at $78.50 per pound, indicating a strong market response to supply constraints [14] - The current cash balance stands at CAD 375 million, providing sufficient funding for 2025 site programs and the initial development phase post-approval [15] Business Line Data and Key Metrics Changes - NextGen announced a new offtake agreement with a major US utility, doubling their contract booking volume, which reflects a strategic shift towards market-related pricing mechanisms [14][26] - The contract book now represents approximately 3% of total defined resources, highlighting a patient and strategic approach to building sales [15] Market Data and Key Metrics Changes - Corporate buyers, particularly in the tech sector, have committed over USD 100 billion in AI data center construction, driving demand for nuclear energy [6] - The International Energy Agency forecasts a 170% increase in electricity demand for data centers in China and a 130% increase in the US over the next five years, leading to a robust demand for uranium [7] Company Strategy and Development Direction - The company is focused on concluding approvals, finalizing funding, and beginning construction of a significant new uranium project, emphasizing environmental and social responsibility [22] - NextGen is preparing to transition from advanced development to construction, with a clear strategy to optimize financing opportunities while maintaining production flexibility [15][38] Management's Comments on Operating Environment and Future Outlook - Management highlighted a structural shift in global perceptions of nuclear energy, with increasing support from governments and corporations for nuclear power as a clean energy source [5][9] - The company anticipates that the current lack of supply will lead to structurally higher uranium prices in the foreseeable future, driven by increasing demand and regulatory support [12] Other Important Information - The company has consolidated its land package, acquiring a 10% production carried interest from Rio Tinto, enhancing its position in the district [18] - NextGen's sustainability initiatives have engaged over 500 participants in training programs, demonstrating a commitment to workforce development and community engagement [20] Q&A Session Summary Question: Can you confirm if there are floors and ceilings in the new contract? - The company confirmed that the new contract includes a blend of market-related prices at the time of delivery, with some contracts having embedded floors and ceilings [26][27] Question: Has the lending interest from banks changed? - The lending interest has grown, with more parties getting involved, indicating strong support for the company's growth initiatives [30] Question: What is the preferred path for financing? - The company is keeping an open mind regarding financing avenues, including strategic partnerships, debt, and equity, all of which are at various stages of advancement [36][38] Question: Are there any scope changes due to Bill C-5? - There have been no scope changes as a result of Bill C-5, and the company has exceeded environmental and social requirements from the outset [51] Question: Will financing be in place before CNSC approval? - Financing is related to the approval process, and the company is prepared to conclude financing shortly after receiving approval [71]

[Condensed Interim Consolidated Financial Statements](index=1&type=section&id=Condensed%20Interim%20Consolidated%20Financial%20Statements) [Condensed Interim Consolidated Statements of Financial Position](index=2&type=section&id=Condensed%20Interim%20Consolidated%20Statements%20of%20Financial%20Position) NexGen's total assets decreased, liabilities increased, and equity declined by June 30, 2025, driven by reduced cash and increased convertible debentures Consolidated Statements of Financial Position (CAD '000) | Metric | June 30, 2025 | December 31, 2024 | Change | | :-------------------------- | :-------------------------- | :-------------------------- | :---------------- | | Cash | 371,556 | 476,587 | (105,031) | | Exploration and evaluation assets | 648,146 | 584,889 | 63,257 | | Property and equipment | 7,228 | 5,354 | 1,874 | | Investment in associate | 156,601 | 229,594 | (72,993) | | Strategic inventory | 341,150 | 341,150 | 0 | | Other non-current assets | 10,666 | 3,072 | 7,594 | | **Total assets** | **1,546,228** | **1,657,243** | **(111,015)** | | Accounts payable and accrued liabilities | 20,218 | 21,402 | (1,184) | | Convertible debentures | 488,520 | 455,783 | 32,737 | | Derivative liability | 3,024 | - | 3,024 | | Other non-current liabilities | 8,017 | 91 | 7,926 | | **Total liabilities** | **520,339** | **478,202** | **42,137** | | Share capital | 1,421,237 | 1,405,968 | 15,269 | | Reserves | 150,224 | 142,619 | 7,605 | | Accumulated other comprehensive income (deficit) | (26,381) | 12,017 | (38,398) | | Accumulated deficit | (519,191) | (381,563) | (137,628) | | **Total equity** | **1,025,889** | **1,179,041** | **(153,152)** | [Condensed Interim Consolidated Statements of Net Income (Loss) and Comprehensive Income (Loss)](index=3&type=section&id=Condensed%20Interim%20Consolidated%20Statements%20of%20Net%20Income%20(Loss)%20and%20Comprehensive%20Income%20(Loss)) NexGen reported a significantly wider net loss for the six months ended June 30, 2025, driven by an impairment loss on associate investment and increased debenture interest Consolidated Statements of Net Income (Loss) and Comprehensive Income (Loss) (CAD '000) | Metric | 3 months ended Jun 30, 2025 | 3 months ended Jun 30, 2024 | 6 months ended Jun 30, 2025 | 6 months ended Jun 30, 2024 | | :------------------------------------------ | :-------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------------------------- | | Salaries, benefits and directors' fees | 2,484 | 2,628 | 5,695 | 5,369 | | Office, administrative, and travel | 4,967 | 4,612 | 11,031 | 9,765 | | Professional fees and insurance | 3,152 | 3,790 | 5,921 | 6,812 | | Share-based payments | 3,815 | 6,018 | 7,479 | 12,084 | | Finance income | 3,505 | 5,923 | 7,590 | 9,428 | | Mark-to-market gain (loss) on convertible debentures | (55,661) | 29,714 | 15,257 | 13,432 | | Interest expense on convertible debentures | (11,661) | (6,056) | (23,285) | (9,431) | | Share of net income (loss) from associate | (572) | (1,940) | 1,089 | (3,517) | | Impairment loss on investment in associate | - | - | (81,009) | - | | Mark-to-market loss on derivative instruments | (2,993) | - | (3,024) | - | | Foreign exchange gain (loss) | (1,988) | 68 | (2,043) | 797 | | **Net income (loss)** | **(86,693)** | **13,196** | **(137,628)** | **(21,424)** | | Change in fair value of convertible debenture attributable to credit risk | (8,547) | 12,425 | (47,994) | 11,277 | | Share of other comprehensive income (loss) from associate | (1,805) | (630) | (3,363) | 1,747 | | **Net comprehensive income (loss)** | **(94,737)** | **21,636** | **(176,026)** | **(11,445)** | | Basic earnings (loss) per share | (0.14) | 0.02 | (0.23) | (0.04) | | Diluted loss per share | (0.14) | (0.02) | (0.23) | (0.04) | [Condensed Interim Consolidated Statements of Cash Flows](index=4&type=section&id=Condensed%20Interim%20Consolidated%20Statements%20of%20Cash%20Flows) Cash decreased for the six months ended June 30, 2025, driven by increased investing activities and reduced financing inflows from equity programs Consolidated Statements of Cash Flows (CAD '000) | Cash Flow Activity | 3 months ended Jun 30, 2025 | 3 months ended Jun 30, 2024 | 6 months ended Jun 30, 2025 | 6 months ended Jun 30, 2024 | | :-------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------------------------- | | Net income (loss) for the period | (86,693) | 13,196 | (137,628) | (21,424) | | Operating cash flows before working capital | (7,396) | (5,107) | (15,376) | (12,518) | | **Cash used in operating activities** | **(10,927)** | **(2,380)** | **(12,070)** | **(11,723)** | | Expenditures on exploration and evaluation assets | (25,590) | (26,054) | (53,657) | (58,947) | | Investment in IsoEnergy | (12,000) | - | (18,250) | - | | **Cash used in investing activities** | **(37,906)** | **(26,741)** | **(72,223)** | **(60,692)** | | Proceeds from at-the-market equity program, net | - | - | - | 130,237 | | Proceeds from ASX CDI offering, net | - | 216,321 | - | 216,321 | | Proceeds from exercise of stock options | 4,268 | 6,756 | 4,825 | 11,737 | | Interest paid on convertible debentures | (14,780) | (4,536) | (14,780) | (4,536) | | **Cash provided by (used in) financing activities** | **(11,792)** | **218,284** | **(18,329)** | **353,244** | | Effect of exchange rates on cash and cash equivalents | (2,459) | 41 | (2,409) | 791 | | **Increase (decrease) in cash** | **(63,084)** | **189,204** | **(105,031)** | **281,620** | | Cash, end of period | 371,556 | 572,363 | 371,556 | 572,363 | [Condensed Interim Consolidated Statements of Changes in Equity](index=5&type=section&id=Condensed%20Interim%20Consolidated%20Statements%20of%20Changes%20in%20Equity) Total equity decreased by June 30, 2025, primarily due to a net loss and other comprehensive loss, partially offset by share issuances Consolidated Statements of Changes in Equity (CAD '000) | Equity Component | Balance at Dec 31, 2024 | Share-based payments | Shares issued on exercise of stock options | Shares issued for convertible debenture interest payments | Net loss | Other comprehensive loss | Balance at Jun 30, 2025 | | :-------------------------------- | :-------------------------- | :------------------- | :----------------------------------------- | :-------------------------------------------------------- | :------- | :----------------------- | :-------------------------- | | Share Capital | 1,405,968 | - | 7,389 | 7,880 | - | - | 1,421,237 | | Reserves | 142,619 | 10,169 | (2,564) | - | - | - | 150,224 | | Accumulated Other Comprehensive Income (Loss) | 12,017 | - | - | - | - | (38,398) | (26,381) | | Accumulated Deficit | (381,563) | - | - | - | (137,628) | - | (519,191) | | **Total Equity** | **1,179,041** | **10,169** | **4,825** | **7,880** | **(137,628)** | **(38,398)** | **1,025,889** | [Notes to the Condensed Interim Consolidated Financial Statements](index=6&type=section&id=Notes%20to%20the%20Condensed%20Interim%20Consolidated%20Financial%20Statements) [1. Reporting Entity](index=6&type=section&id=1.%20REPORTING%20ENTITY) NexGen Energy Ltd. is a uranium exploration and development company listed on major exchanges, now holding a 30.9% investment in associate IsoEnergy - NexGen Energy Ltd. is an **exploration and development stage entity** engaged in the acquisition, exploration, evaluation, and development of uranium properties in Canada[7](index=7&type=chunk) - The Company is listed on the **Toronto Stock Exchange (TSX)**, **Australian Stock Exchange (ASX)**, and **New York Stock Exchange (NYSE)** under the symbol 'NXE' (TSX, NYSE) and 'NXG' (ASX)[8](index=8&type=chunk) - On December 5, 2023, NexGen deconsolidated IsoEnergy Ltd., now owning approximately **30.9%** of IsoEnergy's outstanding common shares as of **June 30, 2025**[10](index=10&type=chunk) [2. Nature of Operations](index=6&type=section&id=2.%20NATURE%20OF%20OPERATIONS) NexGen, an exploration and development stage company, has recurring losses and an accumulated deficit, requiring additional funding for mineral property development - As an **exploration and development stage company**, NexGen does not have revenues and historically has **recurring operating losses**[11](index=11&type=chunk) - As at **June 30, 2025**, the Company had an **accumulated deficit of $519,191 thousand**, a **working capital deficit of $126,861 thousand**, and **$371,556 thousand of cash**[11](index=11&type=chunk) - The Company has **sufficient working capital** (excluding convertible debentures) to meet current obligations for at least the **next fifteen months**, but will require **additional funding for mineral property development**[11](index=11&type=chunk) - The business of exploring for minerals and development involves a **high degree of risk**, including development and operational risks, policy changes, and securing adequate capital[12](index=12&type=chunk) [3. Basis of Preparation and Material Accounting Policies](index=6&type=section&id=3.%20BASIS%20OF%20PREPARATION%20AND%20MATERIAL%20ACCOUNTING%20POLICIES) Interim financial statements are prepared under IAS 34, consistent with IFRS, incorporating new policies for derivatives and decommissioning provisions [a) Basis of Presentation](index=6&type=section&id=3a)%20Basis%20of%20Presentation) Interim financial statements are prepared under IAS 34, consistent with IFRS, and should be read with annual financial statements - These condensed interim consolidated financial statements are prepared in accordance with **International Accounting Standard (\"IAS\") 34**, consistent with **International Financial Reporting Standards (\"IFRS\")**[14](index=14&type=chunk) - They should be read in conjunction with the consolidated financial statements for the years ended **December 31, 2024 and 2023**[14](index=14&type=chunk) [b) Adoption of Material Accounting Policies](index=7&type=section&id=3b)%20Adoption%20of%20material%20accounting%20policies) New material accounting policies adopted include derivative financial instruments and decommissioning and restoration provisions - **Derivative financial instruments** are now classified as **fair value through profit or loss**, used to reduce exposure to foreign currency exchange rates on convertible debenture US dollar interest payments[16](index=16&type=chunk) - **Decommissioning and restoration provisions** are recorded when a present obligation exists, with a provision of **$5,365 thousand** recorded for the quarter ended **June 30, 2025**[17](index=17&type=chunk)[18](index=18&type=chunk)[20](index=20&type=chunk) [4. Critical Accounting Judgments, Estimates and Assumptions](index=7&type=section&id=4.%20CRITICAL%20ACCOUNTING%20JUDGMENTS,%20ESTIMATES%20AND%20ASSUMPTIONS%20IN%20ACCOUNTING%20POLICIES) Critical accounting judgment focuses on impairment assessment of investment in associate, evaluating objective evidence of adverse changes or fair value decline - Significant judgments include the **impairment assessment of investment in associate**, considering objective evidence of adverse changes or prolonged fair value decline below cost[21](index=21&type=chunk)[22](index=22&type=chunk) [5. Exploration and Evaluation Assets](index=8&type=section&id=5.%20EXPLORATION%20AND%20EVALUATION%20ASSETS) Exploration and evaluation assets increased to $648,146 thousand by June 30, 2025, primarily due to deferred exploration costs at the Rook I project Exploration and Evaluation Assets (CAD '000) | Category | Balance at Dec 31, 2024 | Additions for 6 months ended Jun 30, 2025 | Balance at Jun 30, 2025 | | :-------------------------------- | :-------------------------- | :------------------------------------------ | :-------------------------- | | Rook I Deferred exploration costs | 559,193 | 63,257 | 622,450 | | Other Athabasca Basin Properties Deferred exploration costs | 24,002 | - | 24,002 | | **Total Deferred exploration costs** | **583,195** | **63,257** | **646,452** | | Total Acquisition Cost | 1,694 | - | 1,694 | | **Total Exploration and evaluation assets** | **584,889** | **63,257** | **648,146** | **Key Additions to Deferred Exploration Costs (Rook I) for 6 months ended Jun 30, 2025:** * General exploration and drilling: $14,439 thousand * Environmental, permitting, and engagement: $8,472 thousand * Technical, engineering and design: $16,967 thousand * Labour and wages: $14,704 thousand * Asset retirement obligation assets: $5,365 thousand [6. Property and Equipment](index=9&type=section&id=6.%20PROPERTY%20AND%20EQUIPMENT) Net book value of property and equipment increased to $7,228 thousand by June 30, 2025, driven by additions partially offset by depreciation Property and Equipment (CAD '000) | Category | Balance at Dec 31, 2024 | Additions for 6 months ended Jun 30, 2025 | Depreciation for 6 months ended Jun 30, 2025 | Balance at Jun 30, 2025 | | :----------------------- | :-------------------------- | :------------------------------------------ | :------------------------------------------- | :-------------------------- | | Cost | 18,691 | 2,953 | - | 21,644 | | Accumulated Depreciation | 13,337 | - | 1,079 | 14,416 | | **Net Book Value** | **5,354** | **2,953** | **(1,079)** | **7,228** | [7. Investment in Associate](index=9&type=section&id=7.%20INVESTMENT%20IN%20ASSOCIATE) Investment in associate decreased to $156,601 thousand by June 30, 2025, primarily due to an impairment loss, partially offset by additional acquisitions Investment in Associate (CAD '000) | Metric | Balance at Dec 31, 2024 | Changes for 6 months ended Jun 30, 2025 | Balance at Jun 30, 2025 | | :------------------------------------ | :-------------------------- | :------------------------------------------ | :-------------------------- | | Investment in associate | 229,594 | (72,993) | 156,601 | | Loss on dilution of ownership interest | - | (7,960) | (7,960) | | Share of net income from associate | - | 1,089 | 1,089 | | Share of other comprehensive loss from associate | - | (3,363) | (3,363) | | Acquisition of additional investment | - | 18,250 | 18,250 | | Impairment loss | - | (81,009) | (81,009) | - The fair value of the investment in associate (IsoEnergy) as at **June 30, 2025**, was **$158,506 thousand**[25](index=25&type=chunk) Summarized Financial Information for IsoEnergy (CAD '000) | Metric | Six months ended Jun 30, 2025 | Year ended Dec 31, 2024 | | :-------------------------- | :---------------------------- | :------------------------ | | Net income (loss) | 3,218 | (42,135) | | Other comprehensive income (loss) | (10,937) | 10,172 | | Total comprehensive loss | (7,719) | (31,963) | [8. Strategic Inventory](index=10&type=section&id=8.%20STRATEGIC%20INVENTORY) Strategic inventory of 2,702,411 pounds of U3O8 is valued at $341,150 thousand, acquired in May 2024 via US$250 million debentures - On **May 28, 2024**, the Company purchased **2,702,411 pounds of natural uranium concentrate (\"U3O8\")** for an aggregate purchase price of **$341,150 thousand (US$250 million)**[27](index=27&type=chunk) - The purchase was satisfied through the issuance of **US$250 million** aggregate principal amount of five-year, **9.0% per annum unsecured convertible debentures** (the \"2024 Debentures\")[27](index=27&type=chunk) - The strategic inventory is valued at the lower of cost and net realizable value of **$341,150 thousand** as at **June 30, 2025**[27](index=27&type=chunk) [9. Convertible Debentures](index=10&type=section&id=9.%20CONVERTIBLE%20DEBENTURES) Total fair value of convertible debentures increased to $488,520 thousand by June 30, 2025, due to fair value adjustments, including mark-to-market losses and gains [2023 Debentures](index=11&type=section&id=2023%20Debentures) Issued in September 2023 as US$110 million private placement, bearing 9% interest and convertible at US$6.76 per share - Issued on **September 22, 2023**, as a **US$110 million private placement** of unsecured convertible debentures, with gross proceeds of **$148,145 thousand (US$110 million)**[30](index=30&type=chunk) - Bear interest at **9% per annum**, payable semi-annually (6% cash, 3% common shares), convertible at **US$6.76 per share** into a maximum of **16,272,189 common shares**[31](index=31&type=chunk) 2023 Debentures Valuation Inputs | Input | June 30, 2025 | December 31, 2024 | | :------------------------ | :-------------- | :---------------- | | Volatility | 40.00% | 40.00% | | Expected life | 3.2 years | 3.7 years | | Risk free interest rate | 3.38% | 4.05% | | Credit spread | 16.40% | 22.89% | | Underlying share price | US$6.94 | US$6.60 | | Conversion exercise price | US$6.76 | US$6.76 | | Exchange rate (C$:US$) | 0.7349 | 0.6952 | [2024 Debentures](index=11&type=section&id=2024%20Debentures) Issued in May 2024 as US$250 million debentures for U3O8 strategic inventory, bearing 9% interest and convertible at US$10.73 per share - Issued on **May 28, 2024**, as **US$250 million unsecured convertible debentures** for **2,702,411 pounds of U3O8 strategic inventory**, with a fair value on issuance of **$330,916 thousand (US$242,500)**[33](index=33&type=chunk) - Bear interest at **9% per annum**, payable semi-annually (6% cash, 3% common shares), convertible at **US$10.73 per share** into a maximum of **23,299,161 common shares**[34](index=34&type=chunk) 2024 Debentures Valuation Inputs | Input | June 30, 2025 | December 31, 2024 | | :------------------------ | :-------------- | :---------------- | | Volatility | 40.00% | 40.00% | | Expected life | 3.9 years | 4.4 years | | Risk free interest rate | 3.38% | 4.04% | | Credit spread | 16.40% | 22.89% | | Underlying share price | US$6.94 | US$6.60 | | Conversion exercise price | US$10.73 | US$10.73 | | Exchange rate (C$:US$) | 0.7349 | 0.6952 | [10. Share Capital](index=12&type=section&id=10.%20SHARE%20CAPITAL) Share capital increased from stock option exercises and debenture interest payments, with the stock option plan allowing up to 10% of outstanding shares [a) Authorized Capital](index=12&type=section&id=10a)%20Authorized%20capital) Share capital increased from stock option exercises and shares issued for convertible debenture interest payments - For the six months ended **June 30, 2025**, the Company issued **1,030,000 shares** from stock options for **$4,825 thousand**, and **906,785 shares** for debenture interest payments at **$7,880 thousand**[36](index=36&type=chunk) - For the year ended **December 31, 2024**, the Company issued **13,000,800 shares** under its at-the-market equity program for **$134,948 thousand**, and **20,161,290 common shares** via an ASX CDI Offering for **$226,000 thousand**[37](index=37&type=chunk)[38](index=38&type=chunk) - Additional issuances in **2024** included **8,757,006 shares** from stock option exercises for **$20,160 thousand**, **909,090 shares** for 2024 Debentures establishment fee for **$10,235 thousand**, and **215,219 shares** for 2023 Debentures interest for **$2,088 thousand**[39](index=39&type=chunk)[40](index=40&type=chunk) [b) Share Options](index=12&type=section&id=10b)%20Share%20options) The stock option plan allows issuance of options up to 10% of outstanding common shares, with share-based payments expensed or capitalized - The Company's stock option plan allows for issuance of options up to **10% of issued and outstanding common shares**[41](index=41&type=chunk) Share Options Summary | Metric | As at Dec 31, 2024 | Changes (6 months ended Jun 30, 2025) | At Jun 30, 2025 | | :-------------------------- | :----------------- | :------------------------------------ | :-------------- | | Options outstanding | 48,616,795 | (1,549,999) | 47,066,796 | | Weighted average exercise price (C$) | 6.09 | 0.01 | 6.10 | | Options exercisable | - | - | 40,039,264 | | Weighted average exercise price (C$) for exercisable options | - | - | 5.62 | - **Share-based payments** for the six months ended **June 30, 2025**, amounted to **$10,169 thousand**, with **$7,479 thousand expensed** and **$2,690 thousand capitalized**[42](index=42&type=chunk) [11. Supplemental Cash Flow Information](index=13&type=section&id=11.%20SUPPLEMENTAL%20CASH%20FLOW%20INFORMATION) This section details non-cash investing and financing activities, including capitalized share-based payments and debenture issuances for strategic inventory Schedule of Non-Cash Investing and Financing Activities (CAD '000) | Non-Cash Activity | 3 months ended Jun 30, 2025 | 3 months ended Jun 30, 2024 | 6 months ended Jun 30, 2025 | 6 months ended Jun 30, 2024 | | :---------------------------------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------------------------- | | Capitalized share-based payments | 1,251 | 976 | 2,690 | 1,814 | | Exploration and evaluation asset expenditures included in accounts payable and accrued liabilities | 980 | (4,528) | (762) | (6,628) | | Interest expense included in accounts payable and accrued liabilities | (11,755) | (596) | (132) | 2,801 | | Decommissioning and restoration provision included in exploration and evaluation assets | 5,365 | - | 5,365 | - | | Issuance of convertible debentures | - | 330,916 | - | 330,916 | | Purchase of U3O8 strategic inventory | - | (341,150) | - | (341,150) | [12. Related Party Transactions](index=13&type=section&id=12.%20RELATED%20PARTY%20TRANSACTIONS) Related party transactions include key management compensation and NexGen's participation in IsoEnergy's private placements to acquire additional shares Remuneration of Key Management (CAD '000) | Compensation Type | 3 months ended Jun 30, 2025 | 3 months ended Jun 30, 2024 | 6 months ended Jun 30, 2025 | 6 months ended Jun 30, 2024 | | :---------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------------------------- | :-------------------------------------- | | Short-term compensation | 770 | 818 | 1,550 | 1,648 | | Share-based payments | 3,369 | 5,042 | 6,686 | 10,109 | | Consulting fees | 32 | 32 | 65 | 65 | | **Total** | **4,171** | **5,892** | **8,301** | **11,822** | - On **February 28, 2025**, NexGen purchased **2.5 million common shares** of IsoEnergy for **$6,250 thousand**, and on **June 24, 2025**, purchased **1.2 million common shares** for **$12,000 thousand**[48](index=48&type=chunk) [13. Financial Instruments and Risk Management](index=14&type=section&id=13.%20FINANCIAL%20INSTRUMENTS%20AND%20RISK%20MANAGEMENT) NexGen manages financial instruments and risks including credit, liquidity, foreign currency, equity, commodity price, and interest rate risks through policies and hedging [Fair Value Hierarchy](index=14&type=section&id=Fair%20Value%20Hierarchy) Financial instruments are classified into Level 1 (cash, receivables) and Level 2 (convertible debentures, derivatives) based on fair value hierarchy - **Cash**, amounts receivable, accounts payable, and lease receivable are classified as **Level 1 financial instruments**[50](index=50&type=chunk)[53](index=53&type=chunk) - **Convertible debentures** are re-measured at fair value (classified as **Level 2**), with changes due to credit risk recognized in other comprehensive income (loss); credit spread decreased from **22.89% to 16.40%**[51](index=51&type=chunk)[52](index=52&type=chunk)[53](index=53&type=chunk) - **Derivatives (foreign currency contracts)** are classified as **Level 2**, measured using a market approach based on contracted and quoted forward exchange rates[53](index=53&type=chunk)[54](index=54&type=chunk) [Financial Risk](index=15&type=section&id=Financial%20Risk) The company manages credit, liquidity, foreign currency, equity and commodity price, and interest rate risks through various strategies - **Credit Risk**: The Company is not subject to significant credit risk, with maximum exposure of **$383,630 thousand** at **June 30, 2025**[55](index=55&type=chunk)[56](index=56&type=chunk) - **Liquidity Risk**: At **June 30, 2025**, NexGen had **cash of $371,556 thousand** against current liabilities of **$509,298 thousand** (including convertible debentures), with no obligation to cash settle debentures in the next twelve months[57](index=57&type=chunk) Undiscounted Commitments at June 30, 2025 (CAD '000) | Commitment | Less than 1 year | 1 to 3 years | 4 to 5 years | Over 5 years | Total | | :-------------------------------- | :--------------- | :----------- | :----------- | :----------- | :------ | | Accounts payable and accrued liabilities | 20,218 | - | - | - | 20,218 | | Convertible debentures | 488,520 | - | - | - | 488,520 | | Lease liabilities | 908 | 2,044 | 1,327 | 1,714 | 5,993 | | **Total** | **509,646** | **2,044** | **1,327** | **1,714** | **514,731** | - **Foreign Currency Risk**: Exposed to US dollar denominated debentures, a **10% change** in exchange rates would result in a **$46,151 thousand change** in net income; a forward contract hedges **$82.5 million (US$60 million)**[59](index=59&type=chunk)[60](index=60&type=chunk)[61](index=61&type=chunk) - **Equity and Commodity Price Risk**: Exposed to **uranium and equity price risk**, impacting debenture valuation and long-lived assets[63](index=63&type=chunk)[64](index=64&type=chunk) - **Interest Rate Risk**: Cash earns variable rates with minimal impact; convertible debentures carry **fixed interest rates of 9.0% per annum**[65](index=65&type=chunk) [14. Earnings (Loss) Per Share](index=16&type=section&id=14.%20EARNINGS%20(LOSS)%20PER%20SHARE) Basic and diluted loss per share was $0.23 for the six months ended June 30, 2025, with anti-dilutive options excluded from diluted calculations Weighted Average Common Shares Outstanding (Basic and Diluted) | Metric | 3 months ended Jun 30, 2025 | 3 months ended Jun 30, 2024 | 6 months ended Jun 30, 2025 | 6 months ended Jun 30, 2024 | | :------------------------------------ | :-------------------------- | :-------------------------- | :-------------------------- | :-------------------------- | | Weighted average number of common shares (Basic) | 570,022,148 | 551,519,415 | 569,559,568 | 544,020,730 | | Weighted average number of common shares (Diluted) | 570,022,148 | 613,813,089 | 569,559,568 | 544,020,730 | | Anti-dilutive options excluded (millions) | 47.1 | 23.9 | 47.1 | 46.6 |

Core Viewpoint - NexGen Energy Ltd. is set to host a conference call on August 7, 2025, to discuss developments related to its Rook I Project, including project updates and market insights [1][2]. Company Overview - NexGen Energy is a Canadian company focused on clean energy fuel, with its flagship Rook I Project aimed at becoming the largest low-cost uranium mine globally, adhering to high environmental and social governance standards [6]. - The Rook I Project is supported by a NI 43-101 compliant Feasibility Study, highlighting its elite environmental performance and industry-leading economics [6]. - The company is led by a team of experienced professionals in the uranium and mining industry, covering all aspects of the mining life cycle [6]. Conference Call Details - The conference call will take place on August 7, 2025, at 8:30 am Eastern Standard Time, featuring key executives including the Founder, President, and CEO, Leigh Curyer [2][3]. - Participants can join the call using a toll-free number for North America or a local number for Australia, with additional options for web access [3][4]. Financial Reporting - Prior to the conference call, NexGen will file its 2025 second quarter Financial Statements and Management Discussion & Analysis on August 5, 2025, which will be available on the company's website and SEDAR+ profile [4]. Market Position - NexGen is listed on multiple stock exchanges, including the Toronto Stock Exchange, New York Stock Exchange, and Australian Securities Exchange, allowing global investors to engage with the company's mission to address decarbonization, energy security, and access to power [8].

Core Viewpoint - NexGen Energy Ltd. has announced promising assay results from its Patterson Corridor East (PCE) project, indicating high-grade uranium mineralization and significant potential for resource expansion in the region [2][4][5]. Group 1: Assay Results - The assay results from drill hole RK-25-227 show 12.0 meters at 3.46% U3O8, including 2.5 meters at 14.9% U3O8 and 0.5 meters at 31.0% U3O8, demonstrating the continuity of high-grade mineralization [3][6]. - Completed assays for 2024 include notable intercepts from holes RK-25-232 (15.0 meters at 15.9% U3O8) and RK-24-222 (17.0 meters at 3.85% U3O8) [6][12]. Group 2: Project Development - The PCE project is emerging as a second major high-grade mineralized system, mirroring the characteristics of the Arrow project, with ongoing drilling to explore the extent of the mineralization [4][5]. - The company aims to continue its efficient discovery and delineation of uranium resources, with a focus on expanding the PCE project [5][17]. Group 3: Market Context - The demand for nuclear power is increasing rapidly, driven by global policy makers and industries, positioning the Athabasca Basin as a key supplier for this demand [5][17]. - NexGen's Rook I Project is being developed to become the largest low-cost uranium mine globally, emphasizing environmental and social governance standards [17][18].