ENERGY FUELS INCUUUU
ENERGY FUELS INC Fair Value Disclosure
INVESTMENTS
Investments in Unconsolidated Affiliates
As of December 31, 2025 and 2024, the Company owned a 9.48% and 4.49% equity interest in the Donald Project JV to develop the Donald Project with Astron, respectively. See Note 3 – Transactions for more information.
As of December 31, 2025 and 2024, the Company owned a 27.7% and 19.9% interest in Tate Transition Metals Limited (“Tate”), respectively. On April 1, 2025, the Company invested an additional AUD$1.75 million ($1.11 million) in Tate, which increased its ownership from 19.9% to 27.7%. As a result, the Company exercises significant influence, but not control, over Tate and beginning April 1, 2025, accounts for its investment in Tate using the equity method of accounting.
The Company uses the equity method of accounting to account for its investments in the Donald Project JV and Tate because it exercises significant influence, but not control, over the entities. The Company’s judgment regarding the level of influence over its equity investments includes considering key factors such as its ownership interest, representation on the applicable Board of Directors and participation in policy-making decisions.
Investments without a Readily Determinable Fair Value
The Company’s investments without a readily determinable fair value include its investments in Westland Mineral Sands Co Limited (“Westland”) and Tate from initial investment until April 1, 2025. The Company does not have significant influence over these investments.
Summary of Investments
The following table sets forth a reconciliation of the Company’s investments:
| Donald | Total | ||||||||||||||||||||||
| Project JV | Tate | Westland | Investments | ||||||||||||||||||||
| Balance as of December 31, 2023 | — | $ | 1,356 | $ | — | $ | 1,356 | ||||||||||||||||
| Contributions | 12,897 | 114 | 1,500 | 14,511 | |||||||||||||||||||
| Loss in unconsolidated affiliates | (175) | — | — | (175) | |||||||||||||||||||
| Other comprehensive income | 198 | — | — | 198 | |||||||||||||||||||
| Balance as of December 31, 2024 | $ | 12,920 | $ | 1,470 | $ | 1,500 | $ | 15,890 | |||||||||||||||
| Contributions | 13,779 | 1,109 | — | 14,888 | |||||||||||||||||||
| Loss in unconsolidated affiliates | (1,062) | (259) | — | (1,321) | |||||||||||||||||||
| Other comprehensive income (loss) | (456) | 24 | — | (432) | |||||||||||||||||||
Exploration project abandonment charge(1) | — | — | (1,500) | (1,500) | |||||||||||||||||||
| Balance as of December 31, 2025 | $ | 25,181 | $ | 2,344 | $ | — | $ | 27,525 | |||||||||||||||
(1) Management has determined that it will not further pursue its investment in Westland and expensed its investment through Exploration, development and processing on the Consolidated Statement of Comprehensive Income (Loss).
FAIR VALUEAssets and Liabilities Measured at Fair Value on a Recurring Basis
Assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement.
Fair value accounting utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets and liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below:
Level 1 – Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities;
Level 2 – Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; and
Level 3 – Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity).
The Company’s financial instruments as of December 31, 2025 and 2024, include cash, cash equivalents, restricted cash, accounts receivable, accounts payable and current accrued liabilities. These instruments are carried at cost, which approximates fair value due to the short-term maturities of the instruments. Allowances for doubtful accounts are recorded against the accounts receivable balance to estimate net realizable value.
The Company’s investments in marketable equity securities are publicly traded stocks measured at fair value and classified within Level 1 and Level 2 in the fair value hierarchy. Level 1 marketable equity securities use quoted prices for identical assets in active markets, while Level 2 marketable equity securities utilize inputs based upon quoted prices for similar instruments in active markets.
The Company’s investments in marketable debt securities are valued using quoted prices of a pricing service and, as such, are classified within Level 2 of the fair value hierarchy. The Company’s investments accounted for at fair value consisting of common shares are valued using quoted market prices in active markets and, as such, are classified within Level 1 of the fair value hierarchy. The Company’s Advance to the Donald Project JV is accounted for as a marketable debt security and is valued using the discounted cash flow approach. The discounted cash flow approach is an income-based valuation approach used to estimate the instrument’s fair value using a range of indicated discount rates between 4.96% to 5.47% for the initial valuation on June 30, 2025, depending on the estimated timing a positive FID or no positive FID. As of December 31, 2025, the range of indicated discount rates was 5.52% to 6.00%, depending on the estimated timing of a positive FID or no positive FID. The indicated discount rate range is based on significant inputs not observable in the market, and this represents a Level 3 measurement within the fair value hierarchy.
The Company used the discounted cash flow approach, which is an income-based valuation approach, to estimate the fair value of its contingent consideration payment to RadTran using an indicated discount rate of 10.20% as of the acquisition date on August 16, 2024, 7.70% as of December 31, 2024, and 5.80% as of December 31, 2025. The indicated discount rate is based on significant inputs not observable in the market, and thus represents a Level 3 measurement within the fair value hierarchy.
The following tables set forth the fair value of the Company’s assets and liabilities measured at fair value on a recurring basis (at least annually) by level within the fair value hierarchy. Assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement.
| Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||
| December 31, 2025 | |||||||||||||||||||||||
| Assets | |||||||||||||||||||||||
| Marketable debt securities | $ | — | $ | 776,332 | $ | 10,241 | $ | 786,573 | |||||||||||||||
| Marketable equity securities | 20,693 | 81 | — | 20,774 | |||||||||||||||||||
| Total assets | $ | 20,693 | $ | 776,413 | $ | 10,241 | $ | 807,347 | |||||||||||||||
| Liabilities | |||||||||||||||||||||||
| Contingent consideration | $ | — | $ | — | $ | 1,723 | $ | 1,723 | |||||||||||||||
| December 31, 2024 | |||||||||||||||||||||||
| Assets | |||||||||||||||||||||||
| Marketable debt securities | $ | — | $ | 64,065 | $ | — | $ | 64,065 | |||||||||||||||
| Marketable equity securities | 16,718 | 71 | — | 16,789 | |||||||||||||||||||
| Total assets | $ | 16,718 | $ | 64,136 | $ | — | $ | 80,854 | |||||||||||||||
| Liabilities | |||||||||||||||||||||||
| Contingent consideration | $ | — | $ | — | $ | 1,764 | $ | 1,764 | |||||||||||||||
Changes in Level 3 Fair Value Measurements
The following table is a reconciliation of the beginning and ending balance recorded for the contingent consideration classified as Level 3 in the fair value hierarchy:
| Balance as of August 16, 2024 | $ | 1,690 | |||
| Revision of estimate | 74 | ||||
| Balance as of December 31, 2024 | 1,764 | ||||
| Revision of estimate | (41) | ||||
| Balance as of December 31, 2025 | $ | 1,723 | |||
The following table is a reconciliation of the beginning and ending balance recorded for the Advance to the Donald Project that is classified as Level 3 in the fair value hierarchy:
| Initial contribution on June 30, 2025 | $ | 7,993 | |||
| Additions | 1,901 | ||||
| Changes in estimated fair value | 347 | ||||
| Balance as of December 31, 2025 | $ | 10,241 | |||
The following table presents the fair value and carrying value recorded for the Company's Notes:
| December 31, 2025 | |||||||||||
Fair Value(1) | Carrying Value(2) | ||||||||||
| Notes | $ | 721,000 | $ | 675,688 | |||||||
(1) Fair values are based on Level 2 market data inputs.
(2) Carrying values are presented net of unamortized debt issuance costs.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 26, 2026 | Showing above |
| 2024 | Feb 26, 2025 | |
| 2022 | Mar 8, 2023 | |
| 2021 | Mar 15, 2022 | |
| 2018 | Mar 12, 2019 | |
| 2017 | Mar 12, 2018 | |
| 2016 | Mar 10, 2017 | |
About Fair Value Disclosures
Fair value disclosures classify all assets and liabilities measured at fair value into a three-level hierarchy: Level 1 (quoted market prices), Level 2 (observable inputs like yield curves), and Level 3 (unobservable inputs requiring management estimates). The proportion of Level 3 assets directly reflects how much of the balance sheet depends on internal models rather than market evidence.
Key signals: a growing Level 3 balance relative to total fair-value assets increases valuation uncertainty and earnings volatility risk. Watch for transfers between levels — assets moving from Level 2 to Level 3 often signal deteriorating market liquidity. Unrealized gains and losses on Level 3 positions flow through earnings or other comprehensive income, so large swings deserve scrutiny. For financial institutions, examine the sensitivity disclosures that show how Level 3 valuations change under alternative assumptions. Compare the fair value of debt against its carrying amount to gauge hidden leverage.