Westwater Resources Inc. (WWR) Business Update Conference Call Transcript

Summary of Westwater Resources Inc. Business Update Conference Call Company Overview - Company: Westwater Resources Inc. (NYSE: WWR) - Industry: Graphite and battery materials, specifically focused on anode materials for electric vehicles Key Points Industry and Market Developments - Westwater has signed a second multi-year offtake agreement with Fiat Chrysler Automobiles (FCA), part of Stellantis Group, for the sale of Coated Spherical Purified Graphite (CSPG) produced at the Kellyton Graphite Plant [4][5] - The agreement ensures that 100% of planned phase one production is contracted through 2031, with phase two volumes also beginning to be contracted [5][6] Financial and Operational Highlights - The FCA agreement includes indexation for flake and CSPG pricing, providing downside protection against fluctuating graphite prices, which is attractive to lenders [6][7] - The planned production capacity for phase one is 12,500 metric tons per annum, with production expected to commence in 2026 [13][15] - The company is in discussions with multiple lenders for debt financing to complete phase one construction, with secured offtake agreements being critical for these discussions [8] Strategic Partnerships - The partnership with Stellantis is significant as it marks the first offtake agreement for natural graphite anode material executed by a 100% U.S.-based company with a tier 1 automotive manufacturer [9] - The agreements with Stellantis and SK ON are expected to enhance Westwater's ability to service debt financing and achieve profitability once the plant is operational [18] Government Relations and Funding - Westwater has maintained dialogue with various U.S. government entities, including the Department of Energy, regarding potential funding opportunities, although specific applications or negotiations were not disclosed [21] Stock Market and Compliance - Westwater is listed on the New York Stock Exchange American and has no plans for a reverse stock split, emphasizing compliance with listing regulations [23][25] - The company has not received any notices of compliance or non-compliance from the NYSE [25] Future Outlook - A feasibility study for phase two is underway, with updates expected in the August call [16] - The company is optimistic about achieving profitability with the current contracts in place and is focused on creating value for shareholders [18][23] Additional Important Information - The call included a question-and-answer session where analysts inquired about production timelines, economic updates, and stock price concerns, indicating active investor interest and scrutiny [10][20][24]