Core Insights - Centrus Energy (LEU) and NexGen Energy (NXE) are positioned to benefit from the global transition towards nuclear energy as a clean power source [1] - Uranium prices have recently declined, impacting the market, but the long-term outlook remains positive due to increasing demand for clean energy [3][4] Company Overview - Centrus Energy has a market capitalization of $4.1 billion and supplies nuclear fuel components internationally, while NexGen Energy, valued at $4.2 billion, is focused on developing the Rook I Project, which aims to be the largest low-cost uranium mine globally [2] - Centrus Energy's existing process buildings can host 3.5 million Separative Work Units (SWU) per year, with potential expansion to 7 million SWU per year [6] Financial Performance - Centrus Energy reported total revenues of $73.1 million in Q1 2025, a 67% year-over-year increase, with the LEU segment revenues surging 117% to $51.3 million [8] - NexGen Energy, still in the exploration stage, reported an adjusted loss of six cents per share in Q1 2025, compared to a loss of four cents in the previous year [16] Project Developments - NexGen's Rook I project is expected to produce up to 30 million pounds of uranium annually at a low cost of C$13.86, potentially tripling Canada's uranium output [13] - Centrus Energy has a $3.8 billion revenue backlog, including long-term contracts with major utilities through 2040 [11] Market Outlook - The U.S. government aims to quadruple domestic nuclear energy capacity by 2050, which is expected to drive long-term demand for uranium [4] - Centrus Energy's earnings growth has not kept pace with revenue growth, raising concerns about margin pressure [11][26] Valuation and Investment Considerations - Centrus Energy's shares have surged 261.8% year-to-date, while NexGen Energy's shares have gained 10.6% [22] - Centrus Energy is trading at a forward price-to-book multiple of 19.20X, while NexGen Energy's multiple is 5.43X, indicating better value for NexGen [23] - Centrus Energy is the only company licensed to produce High-Assay Low-Enriched Uranium (HALEU), providing a strategic advantage [26]

Core Viewpoint - NexGen Energy Ltd. has exercised its Right of First Refusal to acquire a 10% production carried interest from Rio Tinto over 39 mineral claims, achieving 100% ownership of its portfolio, including the Arrow deposit [1][7]. Group 1: Company Actions - The acquisition allows NexGen to consolidate its portfolio in the Southwest Athabasca Basin, aligning with its strategic objective of becoming a leading uranium producer globally [2]. - The company has agreed to match a cash payment offered to Rio Tinto for the interest, although the terms remain confidential [1]. Group 2: Market Context - The uranium market is currently in a structural deficit, with significant commitments from tech companies for nuclear-powered AI data centers, highlighting the increasing demand for uranium [3]. - NexGen's uranium assets, including the Arrow and PCE deposits, position the company to meet the growing need for a secure supply of uranium from reliable jurisdictions [3]. Group 3: Historical Context - The 10% production carried interest from Rio Tinto was established before NexGen acquired the land package in 2012, allowing for a joint venture upon the commencement of commercial production [4].

NexGen Announces Voting Results for Election of Directors and Appoints Sharon Birkett to Its Board of DirectorsJune 18, 2025 6:30 AM EDT | Source: NexGen Energy Ltd.Vancouver, British Columbia--(Newsfile Corp. - June 18, 2025) - NexGen Energy Ltd. (TSX: NXE) (NYSE: NXE) (ASX: NXG) ("NexGen" or the "Company") is pleased to announce the voting results for the election of the Company's Board of Directors and the appointment of Sharon Birkett to the Company at its annual general and special meetin ...

Core Viewpoint - NexGen Energy Ltd. has released its 2024 Sustainability Report, highlighting significant achievements in environmental, social, and governance (ESG) practices while advancing its Rook I Project, which is set to be the world's largest high-grade uranium project [1][2]. Group 1: Sustainability and Environmental Achievements - The 2024 Sustainability Report marks the fifth year of reporting on the company's ESG profile, aligning with Global Reporting Initiative (GRI) Standards and the Task Force on Climate-related Financial Disclosures (TCFD) [1][11]. - NexGen completed a historic regulatory milestone by finishing the Canadian Nuclear Safety Commission (CNSC) Environmental Assessment technical review, the first for a greenfield uranium mine in Canada in 20 years [3]. - The company minimized its environmental footprint during exploration, achieving a 73% reduction in overall land disturbance and reclaiming 83% of land disturbed by exploration activities in 2024 [8]. Group 2: Community Engagement and Economic Impact - NexGen received the 2024 ABEX Community Involvement Award for its commitment to building resilient communities through innovative programs [4]. - The company exceeded its employment and procurement targets, with 82% of Rook I site employees being local residents and 94% of cash expenditure awarded to local suppliers [6]. - An economic impact study forecasts a total economic impact of $37 billion to Saskatchewan and Canada over the development and 11-year production period, with an average of 1,400 annual jobs [9]. Group 3: Training and Development Initiatives - The company launched the 'Pathways to Your Future' career development program, equipping over 500 local participants with essential skills for careers in uranium mining since 2023 [5]. Group 4: Energy Efficiency and Climate Strategy - NexGen optimized power generation at the Rook I Project by implementing a centralized power generation system and installing a pilot 24-kilowatt solar power system [7]. - A comprehensive TCFD gap analysis and climate-related risk assessment were completed to integrate climate-related risks and opportunities into the company's broader risk management and strategic planning [10].

Core Viewpoint - NexGen Energy Ltd. has received regulatory approval for its 2025 Site Program at the Rook I Property, which includes infrastructure enhancements to support exploration activities in the Athabasca Basin, Saskatchewan [2][6]. Infrastructure Enhancements - The 2025 Site Program will establish a temporary exploration airstrip, expand accommodation facilities by 373 beds, and improve site access roads [2][8]. - The program aims to enhance health and safety for workers and accommodate an increase in regional exploration activities [8][12]. Exploration Focus - The program is designed to support the ongoing exploration at Patterson Corridor East (PCE), which is showing significant mineralization potential, located 3.5 km east of the Arrow deposit [4][8]. - Planning is already underway for future programs at PCE, with drilling activities set to recommence in June [8]. Community Engagement - The program will prioritize local business opportunities, generating employment and contracting for Indigenous and community members, reflecting NexGen's commitment to local communities [5][7]. Strategic Importance - The 2025 Site Program is viewed as a strategic milestone for NexGen, optimizing safety, environmental protection, and operational efficiency [6][9]. - The Saskatchewan government recognizes the Rook I Project as a significant opportunity for the province to lead in uranium mining [6].

Core Insights - NexGen Energy Ltd. announced exceptional assay results from drillhole RK-25-232, reporting 15.0 meters at 15.9% U3O8, with a peak intercept of 0.5 meters at 68.8% U3O8, marking it as one of the highest-grade basement-hosted uranium vein intercepts globally [2][8][5] - The results from RK-24-222 and RK-25-232, located 200 meters apart, confirm the scale and continuity of high-grade mineralization in the Patterson Corridor East (PCE) area [3][8] - The winter drilling program added nine new high-grade intercepts, bringing the total to 13, reinforcing confidence in the materiality of the emerging mineralization [3][8] Company Developments - The company has completed 64 drillholes totaling 47,425.9 meters since the discovery phase began, with 35 of these intersecting mineralization that remains open in most directions [3][4] - Drilling at PCE is set to resume on June 1, 2025, with ongoing reporting of assay results for 2025 [4][8] - The CEO highlighted the significance of the assay results, emphasizing that the program is still in the early evaluation stages of PCE [5] Industry Context - The scale of the 2025 drilling program at PCE reflects the company's commitment to advancing new sources of uranium supply amid a global push for nuclear energy deployment [7][9] - The U.S. aims to increase nuclear energy output from 100 GW to 400 GW by 2050, underscoring the importance of projects like Rook I and PCE in meeting future nuclear fuel requirements [9]

[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) As of March 31, 2025, NexGen Energy's total assets decreased to $1.57 billion from $1.66 billion at the end of 2024, primarily due to reduced cash and a significant decrease in investment in an associate Financial Position Summary (in thousands of CAD) | Account | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Assets** | **$1,566,970** | **$1,657,243** | | Cash | $434,640 | $476,587 | | Exploration and evaluation assets | $613,758 | $584,889 | | Investment in associate | $146,982 | $229,594 | | **Total Liabilities** | **$463,559** | **$478,202** | | Convertible debentures | $424,313 | $455,783 | | **Total Equity** | **$1,103,411** | **$1,179,041** | [Condensed Interim Consolidated Statements of Net Loss and Comprehensive Loss](index=3&type=section&id=Condensed%20Interim%20Consolidated%20Statements%20of%20Net%20Loss%20and%20Comprehensive%20Loss) For the three months ended March 31, 2025, the company reported a net loss of $50.9 million, an increase from the $34.6 million loss in the same period of 2024, primarily due to an $81.0 million impairment loss on its investment in an associate, partially offset by a $70.9 million mark-to-market gain on convertible debentures Quarterly Performance Summary (in thousands of CAD, except per share data) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Mark-to-market gain (loss) on convertible debentures | $70,918 | $(16,282) | | Impairment loss on investment in associate | $(81,009) | $- | | **Net Loss** | **$(50,935)** | **$(34,620)** | | **Net Comprehensive Loss** | **$(81,290)** | **$(33,081)** | | Basic and Diluted Loss Per Share | $(0.09) | $(0.06) | [Condensed Interim Consolidated Statements of Cash Flows](index=4&type=section&id=Condensed%20Interim%20Consolidated%20Statements%20of%20Cash%20Flows) In the first quarter of 2025, the company experienced a net decrease in cash of $42.0 million, ending the period with $434.6 million, contrasting with a $92.4 million increase in the same period of 2024, driven by reduced cash used in operating activities and a large inflow from financing activities in the prior year Cash Flow Summary (in thousands of CAD) | Activity | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Cash used in operating activities | $(1,143) | $(9,344) | | Cash used in investing activities | $(34,317) | $(33,951) | | Cash (used in) provided by financing activities | $(6,537) | $134,961 | | **Increase (decrease) in cash** | **$(41,947)** | **$92,416** | | **Cash, end of period** | **$434,640** | **$383,159** | [Condensed Interim Consolidated Statements of Changes in Equity](index=5&type=section&id=Condensed%20Interim%20Consolidated%20Statements%20of%20Changes%20in%20Equity) Total equity decreased from $1.18 billion at the beginning of the period to $1.10 billion as of March 31, 2025, primarily due to a net loss of $50.9 million and an other comprehensive loss of $30.4 million for the quarter - **Total equity decreased by $75.6 million** during Q1 2025[6](index=6&type=chunk) Key Changes in Equity - Q1 2025 (in thousands of CAD) | Item | Amount | | :--- | :--- | | Balance at December 31, 2024 | $1,179,041 | | Net loss | $(50,935) | | Other comprehensive loss | $(30,355) | | Share-based payments | $5,103 | | Shares issued on exercise of stock options | $557 | | **Balance at March 31, 2025** | **$1,103,411** | [Notes to the Condensed Interim Consolidated Financial Statements](index=6&type=section&id=Notes%20to%20the%20Condensed%20Interim%20Consolidated%20Financial%20Statements) [Note 1: Reporting Entity](index=6&type=section&id=1.%20REPORTING%20ENTITY) NexGen Energy Ltd. is a Canadian-based exploration and development company focused on uranium properties in Canada, publicly traded on the TSX, ASX, and NYSE, and now accounts for its approximate 31.8% stake in IsoEnergy using the equity method after losing control in December 2023 - The company is engaged in the acquisition, exploration, evaluation, and development of uranium properties in Canada[8](index=8&type=chunk) - The company is listed on the Toronto Stock Exchange (TSX), Australian Stock Exchange (ASX), and New York Stock Exchange (NYSE)[9](index=9&type=chunk) - As of March 31, 2025, NexGen owns **approximately 31.8%** of IsoEnergy's outstanding common shares and accounts for it using the equity method since losing control in December 2023[11](index=11&type=chunk) [Note 2: Nature of Operations](index=6&type=section&id=2.%20NATURE%20OF%20OPERATIONS) As a development-stage company, NexGen currently generates no revenue and has a history of operating losses, with an accumulated deficit of $432.5 million as of March 31, 2025, though management asserts its cash balance of $434.6 million is sufficient to meet obligations for at least the next fifteen months despite inherent mining industry risks - The company is in the exploration and development stage and does not have revenues, resulting in recurring operating losses[12](index=12&type=chunk) - As of March 31, 2025, the company had an **accumulated deficit of $432.5 million** and **cash of $434.6 million**, which is considered sufficient to fund operations for at least the next fifteen months[12](index=12&type=chunk) - The business involves a high degree of risk, including development, operational, regulatory, and commodity price volatility[13](index=13&type=chunk) [Note 5: Exploration and Evaluation Assets](index=8&type=section&id=5.%20EXPLORATION%20AND%20EVALUATION%20ASSETS) The carrying value of exploration and evaluation assets increased to $613.8 million as of March 31, 2025, up from $584.9 million at the end of 2024, reflecting $28.9 million in additions during the first quarter, all directed towards the Rook I project Additions to Deferred Exploration Costs - Q1 2025 (in thousands of CAD) | Category | Amount | | :--- | :--- | | General exploration and drilling | $7,149 | | Environmental, permitting, and engagement | $4,986 | | Technical, engineering and design | $6,160 | | Labour and wages | $8,781 | | Share-based payments | $1,439 | | Other | $354 | | **Total Additions** | **$28,869** | [Note 7: Investment in Associate](index=9&type=section&id=7.%20INVESTMENT%20IN%20ASSOCIATE) The company's investment in its associate, IsoEnergy, decreased significantly from $229.6 million to $147.0 million during Q1 2025, primarily due to an $81.0 million impairment loss recognized due to a significant and prolonged decline in the fair value of IsoEnergy's shares - An **impairment loss of $81,009 thousand** was recorded on the investment in IsoEnergy during the three months ended March 31, 2025[22](index=22&type=chunk) - The impairment was triggered by a significant and prolonged decline in the fair value of IsoEnergy shares due to macroeconomic circumstances[22](index=22&type=chunk) - The carrying value of the investment was adjusted to its **fair value of $146,982 thousand** as of March 31, 2025[22](index=22&type=chunk) [Note 8: Strategic Inventory](index=10&type=section&id=8.%20STRATEGIC%20INVENTORY) In May 2024, NexGen acquired 2.7 million pounds of natural uranium concentrate (U3O8) for US$250 million, financed through the issuance of convertible debentures, and as of March 31, 2025, this strategic inventory is carried on the balance sheet at its cost of $341.2 million - On May 28, 2024, the company purchased 2,702,411 pounds of natural uranium concentrate for **US$250 million**[24](index=24&type=chunk) - The acquisition was funded by issuing **US$250 million** in unsecured convertible debentures[24](index=24&type=chunk) - The strategic inventory is valued at its **cost of $341,150 thousand** as of March 31, 2025[24](index=24&type=chunk) [Note 9: Convertible Debentures](index=10&type=section&id=9.%20CONVERTIBLE%20DEBENTURES) The company has two series of unsecured convertible debentures (issued in 2023 and 2024) with a total fair value of $424.3 million as of March 31, 2025, down from $455.8 million at year-end 2024, with a Q1 2025 fair value adjustment resulting in a $70.9 million gain in net loss and a $39.4 million loss in other comprehensive loss Fair Value of Convertible Debentures (in thousands of CAD) | Description | Fair Value | | :--- | :--- | | Balance at December 31, 2024 | $455,783 | | Fair value adjustment | $(31,470) | | **Balance at March 31, 2025** | **$424,313** | - The fair value adjustment for Q1 2025 was split between a **$70.9 million gain** in net loss and a **$39.4 million loss** in other comprehensive income (related to credit risk)[25](index=25&type=chunk) [2023 Debentures](index=11&type=section&id=9.1%202023%20Debentures) These are US$110 million debentures issued in September 2023, carrying a 9% annual interest rate (6% cash, 3% common shares), convertible at the holder's option at a price of US$6.76 per share Valuation Inputs for 2023 Debentures | Input | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Volatility | 42.00% | 40.00% | | Credit spread | 17.69% | 22.89% | | Underlying share price | US$4.49 | US$6.60 | [2024 Debentures](index=11&type=section&id=9.2%202024%20Debentures) These are US$250 million debentures issued in May 2024 to fund the strategic uranium purchase, with the same 9% interest structure (6% cash, 3% shares) and convertible at a price of US$10.73 per share Valuation Inputs for 2024 Debentures | Input | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Volatility | 42.00% | 40.00% | | Credit spread | 17.69% | 22.89% | | Underlying share price | US$4.49 | US$6.60 | [Note 10: Share Capital](index=12&type=section&id=10.%20SHARE%20CAPITAL) As of March 31, 2025, the company had 569.2 million common shares outstanding, with minimal share capital activity in the first quarter (100,000 shares issued from stock option exercises), and maintains a stock option plan with 48.3 million options outstanding [Share Issuances](index=12&type=section&id=10.1%20Share%20Issuances) In Q1 2025, the company issued 100,000 shares for gross proceeds of $557 thousand from stock option exercises, following a very active 2024 which included raising $135 million from an ATM program and $226 million from an ASX offering - During Q1 2025, **100,000 shares** were issued from the exercise of stock options for gross proceeds of **$557 thousand**[33](index=33&type=chunk) - In 2024, the company raised significant capital through a **13 million share ATM program ($135M gross)** and a **20.2 million share ASX offering ($226M gross)**[34](index=34&type=chunk)[35](index=35&type=chunk) [Share Options](index=12&type=section&id=10.2%20Share%20Options) The company's stock option plan allows for granting options up to 20% of outstanding shares, with 48.3 million options outstanding at a weighted average exercise price of $6.08 as of March 31, 2025, and a share-based payment expense of $5.1 million for Q1 2025 Share Option Activity | Date | Options Outstanding | Weighted Avg. Exercise Price (C$) | | :--- | :--- | :--- | | Dec 31, 2024 | 48,616,795 | $6.09 | | Mar 31, 2025 | 48,268,462 | $6.08 | - **Share-based payments for Q1 2025 totaled $5,103 thousand**, with $3,664 thousand expensed and $1,439 thousand capitalized to exploration assets[39](index=39&type=chunk) [Note 12: Related Party Transactions](index=13&type=section&id=12.%20RELATED%20PARTY%20TRANSACTIONS) Remuneration for key management personnel in Q1 2025 was $4.1 million, a decrease from $5.9 million in Q1 2024 primarily due to lower share-based payments, and in February 2025, the company invested $6.25 million in a private placement by its associate, IsoEnergy Key Management Compensation (in thousands of CAD) | Component | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Short-term compensation | $780 | $830 | | Share-based payments | $3,317 | $5,067 | | Consulting fees | $32 | $32 | | **Total** | **$4,129** | **$5,929** | - On February 28, 2025, the Company participated in an IsoEnergy private placement, purchasing 2.5 million shares for **$6.25 million**[43](index=43&type=chunk) [Note 13: Financial Instruments and Risk Management](index=14&type=section&id=13.%20FINANCIAL%20INSTRUMENTS%20AND%20RISK%20MANAGEMENT) The company's primary financial instruments include cash, receivables, payables, derivatives, and convertible debentures, with the debentures being the most significant risk factor measured at fair value (Level 2) and sensitive to the company's share price and credit spread, exposing the company to liquidity, foreign currency, and commodity price risks, with a portion of its US dollar exposure hedged [Fair Value Hierarchy](index=14&type=section&id=13.1%20Fair%20Value%20Hierarchy) The company's convertible debentures and foreign currency derivatives are classified as Level 2 in the fair value hierarchy, with the Q1 2025 fair value gain on the debentures driven by a lower company share price, partially offset by a reduction in the company's credit spread from 22.89% to 17.69% - **Convertible debentures are classified as Level 2 fair value instruments**[45](index=45&type=chunk) - The reduction in the company's credit spread was partly due to the de-risking of the Rook I Project as hearing dates were set by the Canadian Nuclear Safety Commission[45](index=45&type=chunk) [Financial Risks](index=14&type=section&id=13.2%20Financial%20Risks) The company manages several financial risks, including liquidity risk (current liabilities of $460.8M exceed cash of $434.6M), foreign currency risk from US dollar-denominated debentures (a 10% CAD/USD change could impact net loss by $37.8 million, partially hedged), and equity and commodity price risk through its share price and uranium prices - Liquidity Risk: As of March 31, 2025, the company had **cash of $434.6 million** to settle **current liabilities of $460.8 million** (which includes convertible debentures)[50](index=50&type=chunk) - Foreign Currency Risk: The company has **US dollar net financial liabilities of US$262.9 million**. A **10% change** in the CAD/USD exchange rate would change net loss by **$37.8 million**[54](index=54&type=chunk) - Hedging: On January 22, 2025, the company entered into a USD/CAD forward contract with a notional amount of **US$60 million** to hedge future interest payments on its convertible debentures[53](index=53&type=chunk)

Core Viewpoint - NexGen Energy Ltd. has filed a Management Information Circular and mailed a Notice of Meeting to shareholders for the Annual General and Special Meeting scheduled for June 17, 2025, at 2:00 p.m. Pacific Time [1][2]. Company Overview - NexGen Energy is a Canadian company focused on delivering clean energy fuel, with its flagship Rook I Project being developed into the largest low-cost uranium mine globally, adhering to high environmental and social governance standards [8][9]. - The company is headquartered in Vancouver, British Columbia, and operates primarily in Saskatchewan, Canada [9]. Meeting Details - Shareholders are encouraged to review the meeting materials available on SEDAR+ and the company's website [2]. - The meeting will include a Q&A session following the formal business presentation [3]. Voting Matters - Shareholders will vote on several key items, including: 1. Election of directors, including a new proposed member, Sharon Birkett [6]. 2. Approval of the continuation of the Stock Option Plan, reducing the maximum from 20% to 10% of outstanding common shares [6]. 3. Re-appointment of KPMG as the independent auditor and authorization for directors to fix their remuneration [6]. 4. Setting the number of directors at ten [6]. Voting Instructions - Shareholders must submit their votes before the proxy deposit deadline of June 13, 2025, at 2:00 p.m. Pacific Time [8].

Core Viewpoint - NexGen Energy (NYSE: NXE) is perceived to have significant potential for future growth, especially given its current undervaluation and declining stock price [1] Company Analysis - The company is identified as a value dividend investment opportunity, appealing to long-term investors focused on compounding returns [1] - The emphasis is placed on the company's potential for substantial upside, making it an attractive target for investment [1] Investment Strategy - The investment approach highlighted is centered around identifying heavily undervalued companies that can provide long-term growth and dividend income [1] - The article reflects a strategy aimed at capitalizing on market inefficiencies to secure wealth through dividends over time [1]

Core Viewpoint - NexGen Energy Ltd. is progressing towards the final stages of regulatory approval for its Rook I Project, with Commission Hearing dates set for November 2025 and February 2026, following successful Environmental Assessment processes [1][2]. Company Overview - NexGen Energy is focused on developing the Rook I Project into the largest low-cost uranium mine globally, emphasizing elite environmental and social governance standards [3]. - The company is headquartered in Vancouver, British Columbia, and operates primarily in Saskatchewan, Canada, aiming to address global challenges in decarbonization, energy security, and access to power [4]. Project Development - The Rook I Project has received Provincial EA approval in November 2023 and has completed the Federal technical review, with the Federal Environmental Impact Statement accepted as final [1]. - All local communities in the Project Area have endorsed the Project through Impact Benefit Agreements, ensuring support throughout the life and closure of operations [1].