Energy Fuels Inc. announced that it has begun partial commercial-scale rare earth element (‘REE') separations at its White Mesa Mill, located near Blanding, Utah (the ‘Mill') utilizing existing Mill facilities. As a result, the company is now producing a more advanced rare earth element (‘REE') carbonate (‘REE Carbonate') than it did in 2021. The Company utilized an existing solvent extraction (‘SX') circuit at the Mill to remove most of the lanthanum (‘La') and produce an advanced cerium (‘Ce')-plus REE Carbonate.

This product is roughly 32% - 34% neodymium-praseodymium (‘NdPr') and 1.8% terbium (‘Tb') and dysprosium (‘Dy') on a % TREO basis. This is the first commercial-scale REE separation conducted by the Company, and to the company's knowledge, the first to occur in the U.S. since at least the early-2000's. The successful integration of partial separations with existing Mill equipment and processes represents a significant advancement in Energy Fuels' long-term plans of becoming a vertically integrated producer of advanced REE products. These separation processes also allow the Company to refine operating costs and optimize metallurgical and engineering designs for installation of a more advanced SX separation circuit at the Mill in the future.

This most recent production campaign also further validates Energy Fuels' monazite crack and leach process. Energy Fuels continues to make rapid progress on restoring commercial REE capabilities to the United States. The Company is currently completing its latest campaign of REE Carbonate production (with partial La separation) from natural monazite sand concentrates.

In July 2021, Energy Fuels began successfully extracting REEs from natural monazite utilizing a crack and leach process. The REE Carbonate that the Company has produced since July 2021 meets Neo's commercial specifications, thereby allowing it to be fed directly into the separation process. Energy Fuels' REE Carbonate is the most advanced REE material being produced at commercial quantities in the U.S., as it has been chemically altered, impurities have been removed, and it is ready for REE separation without further processing.

The Company's new REE Carbonate is even further advanced, as it has been partially separated. The Company is continuing to seek additional supplies of natural monazite sand to expand production. The Company also announced that it is making progress on its lab-scale REE separation pilot program.

Lab-scale piloting began in 2021 and is ongoing. The Company has achieved production of a high- purity mixed NdPr oxide from its lab-scale pilot. A sample of NdPr oxide will be sent to Neo for further evaluation with the intent to sell this product as well as other separated oxides to Neo or others in the future.

Through the operation of this pilot program, specific design criteria, as well as reagent costs, are being evaluated, which to date, are within initial expectations. REE separation piloting is expected to continue throughout the rest of 2022, which will also allow the Company to evaluate separation of the heavy REEs (samarium (‘Sm')-plus).