Lightbridge(LTBR)2024-08-01 21:00Nuclear Fuel Development - Lightbridge Corporation is developing next-generation nuclear fuel, Lightbridge Fuel™, aimed at improving the economics and safety of nuclear power plants[55]. - The company has entered into a FEED study agreement with Centrus Energy for a Lightbridge Pilot Fuel Fabrication Facility, with an estimated total fee of 0.2 million expected to be completed in 2024[61]. - Lightbridge anticipates that the initial phase of work with Idaho National Laboratory will culminate in casting and extrusion of unclad fuel material samples, with total cash payments estimated at approximately 4.3 million[67]. - The company expects to begin demonstration of lead test rods in commercial reactors in the 2030s, with initial fuel reload batches anticipated 15-20 years from now[71]. - Lightbridge's metallic fuel is projected to offer significant economic benefits over traditional nuclear fuel due to superior heat transfer properties[56]. - The company has built a significant portfolio of patents and is collaborating with the U.S. Department of Energy's national laboratories for R&D activities[58]. - A 1 million award from the DOE's Nuclear Energy University Program is supporting a study on Lightbridge Fuel™ performance led by Texas A&M University[68]. - The company is exploring ways to shorten the commercialization timeframe for its nuclear fuel technology, including securing access to expanded irradiation test loop capacity[71]. - Lightbridge's ongoing projects include evaluating accident-tolerant fuels in various small modular reactors, with no contractual obligations for revenue from these collaborations[68]. Financial Performance - Total operating expenses for the three months ended June 30, 2024, increased by 2.7 million compared to 2.0 million in the same period of 2023[75]. - Research and development (R&D) expenses for the three months ended June 30, 2024, increased by 0.5 million (125%) to 0.4 million in the same period of 2023[78]. - The company projects to invest approximately 8.3 million in R&D of nuclear fuel over the next 12 to 15 months[79]. - Net loss for the three months ended June 30, 2024, was 2.4 million, an increase of 1.7 million in the same period of 2023[75]. - Total R&D expenses for the six months ended June 30, 2024, increased by 1.9 million compared to 27.1 million, a decrease of 28.6 million at December 31, 2023[89]. - The company expects total expenditures of approximately 0.2 million (40%) for the six months ended June 30, 2024, due to rising interest rates[87]. - General and administrative expenses for the six months ended June 30, 2024, increased by 4.0 million compared to 2.2 million from the sale of approximately 0.8 million shares of common stock during the six months ended June 30, 2024[89]. - For the six months ended June 30, 2024, net cash used in operating activities increased by 3.7 million compared to 3.0 million for the same period in 2023, primarily due to increased R&D and administrative expenses[98]. - Cash provided by the ATM facility was 2.2 million for the six months ended June 30, 2024, from the sale of approximately 0.8 million common shares, compared to 1.5 million for the six months ended June 30, 2024, compared to 0.1 million for the six months ended June 30, 2024, compared to the same period in 2023[98]. Financing and Market Conditions - The company has no debt and has financed operations through the sale of preferred and common stock, with potential future equity investments being uncertain due to adverse market conditions[95]. - The company is seeking new financing sources to support R&D activities and move fuel products to a commercial stage, with no assurance that these sources will be available[96]. - The company is subject to "baby shelf rules," limiting the amount it can raise through public offerings to one-third of its public float, which is currently below $75 million[94]. - The company does not have any off-balance sheet arrangements that could materially affect its financial condition or results[99]. Inflation and Strategic Alliances - The company has not been materially affected by inflation in its business, revenues, or operating results[100]. - The company aims to create strategic alliances to support remaining R&D activities, although forming such alliances may not be feasible[97].