enCore Energy reports Q3 gross loss as uranium sales costs rise
Uranium sales costs averaged US$87.22 per pound, while the producer awaits Texas approvals for extraction targets before year-end.
Ines Halvorsen
A US$0.8 million gross loss for the quarter ended Sept. 30 was reported Thursday by enCore Energy Corp. CVEEU NASDAQEU. Revenue reached US$16.7 million, while uranium sales costs totalled US$17.4 million. The comparable quarter of 2025 produced a US$3.9 million gross profit.
The U.S. uranium producer delivered 200,000 pounds of U3O8 during the third quarter of 2026. Its average realised sales price was US$83.46 per pound, below the US$87.22 weighted average cost of uranium sold. enCore attributed the gross loss primarily to higher-cost purchased uranium included in sales.
The last Toronto quote available before Thursday's results was C$0.82 at 4:00 p.m. EST on Nov. 11 CVEEU, according to Google Finance.
At Sept. 30, unrestricted cash and equivalents totalled US$5.1 million, alongside US$33.6 million in marketable securities. Working capital was US$47.3 million at that date, a broader balance-sheet measure than unrestricted cash. enCore's next operating targets are before the end of 2026, with completed wellfields awaiting final Texas approvals.
The release's cost tables put purchased uranium sold in the nine months ended Sept. 30, 2026, at US$83.01 per pound. Extracted uranium sold over that period cost US$60.74 per pound, including US$37.75 in cash costs and US$22.99 in non-cash charges. These are costs of uranium sold, rather than a measure of all uranium produced during the third quarter.
Purchased uranium accounted for 560,000 of the 685,000 pounds sold during the first nine months of 2026. Extracted uranium supplied the balance.
The net loss attributable to enCore widened to US$33.9 million in the third quarter of 2026, from US$4.8 million a year earlier. Results included a US$17 million realised loss and a US$5.7 million unrealised gain on marketable securities.
Operating activities used US$47.4 million in the nine months ended Sept. 30, 2026, compared with US$37.9 million in the corresponding prior-year period. Inventory was valued at US$6.4 million at quarter-end. Securities and inventory are separate from unrestricted cash.
Texas Approvals Precede Year-End Extraction Targets
enCore said final approvals from the Texas Commission on Environmental Quality were outstanding for its completed South Texas developments.
"The first phase of the Upper Spring Creek facility and wellfield and the Alta Mesa wellfield 3 Extension are complete and awaiting receipt of final TCEQ approvals," enCore chief executive Rich Little said in the release.
Permitting delays in South Texas reduced estimated 2026 extraction volumes, according to enCore. The company cut overall headcount by approximately 20 per cent in July 2026 and reduced rig activity to align spending with permitting timelines.
U.S. in situ recovery peer Ur-Energy Inc. TSEURE NYSEAMERICANURG reported Nov. 9 that third-quarter deliveries totalled 190,000 pounds. Its cash cost per produced pound sold was US$40.40, a measure excluding non-cash costs.
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enCore expects Upper Spring Creek operations and Alta Mesa wellfield 3 Extension extraction before the end of 2026, subject to final approvals. Alta Mesa wellfield 8, where development drilling continues, is targeted for extraction in early 2027.
