6 December 2023

Yellow Cake plc ("Yellow Cake" or the "Company")

Unaudited Interim Financial Report for the six-month period ended 30 September 2023

Yellow Cake, a specialist company operating in the uranium sector holding physical uranium for the long term, is pleased to announce its unaudited interim financial report for the six-month period ended 30 September 2023 ("half-year").

Highlights

·     Increase in Yellow Cake's holdings of physical uranium ("U₃O₈") from 18.81 million lb of U₃O₈ to 20.16 million lb of U₃O₈.

·   Increase of 55.5% in the value of Yellow Cake's U₃O₈ holdings from USD952.5 million^[1] as at 31 March 2023, to USD1,481.4 million[2] as at 30 September 2023, as a result of a 45.1% increase in the U₃O₈ spot price from USD50.65/lb^[3] to USD73.50/lb^[4] combined with the increase in volume of U₃O₈ held by Yellow Cake over the period.

·      Increase in net asset value from USD1,035.3 million[5] as at 31 March 2023 to USD1,494.2 million[6] as at 30 September 2023. Increase in net asset value per share from GBP4.23 per share (USD5.23 per share)[7] as at 31 March 2023 to GBP6.18 per share (USD7.54 per share)[8] as at 30 September 2023.

·       Profit after tax for the half-year of USD458.8 million (30 September 2022: loss of USD145.5 million).

·      On 30 September 2023, Yellow Cake took delivery of 1,350,000 lb of U₃O₈ that it had elected to purchase as part of its 2022 uranium purchase option under its agreement (the "Framework Agreement") with JSC National Atomic Company Kazatomprom ("Kazatomprom") at a price of USD48.90/lb, or USD66.0 million in aggregate. The delivery was made at the Cameco storage facility in Ontario, Canada. The purchase was funded from the proceeds of an oversubscribed share placing in February 2023, which raised gross proceeds of approximately GBP61.8 million (approximately USD74.3 million).

·      Subsequent to the period-end, following the completion of a further oversubscribed share placing on 2 October 2023, which raised gross proceeds of approximately GBP103 million (approximately USD125 million) at a price of GBP5.50 per share, Yellow Cake informed Kazatomprom that it had elected to purchase 1,526,717 lb of U₃O₈ at a price of USD65.50/lb, at a cost of USD100.0 million, exercising the entirety of the Company's 2023 uranium purchase option under its Framework Agreement with Kazatomprom. Yellow Cake expects to take delivery in H1 2024 and on completion will hold 21.68 million lb of U₃O₈.

·      All U₃O₈ to which the Company has title and has paid for, is held at the Cameco storage facility in Canada and the Orano storage facility in France. The Company's operations, financial condition, and ability to purchase and take delivery of U₃O₈ from Kazatomprom, or any other party, have, to date, remained unaffected by the geopolitical events in Ukraine.

·     Yellow Cake's estimated pro forma net asset value on 4 December 2023[9] was GBP6.58 per share or USD1,799.3 million, based on 21.68 million lb of U₃O₈[10] valued at a spot price of USD81.45/lb[11] and cash and other current assets and liabilities of USD12.7 million as at 30 September 2023, plus net placing proceeds of USD120.6 million received on 2 October 2023 less a cash consideration of USD100.0 million to be paid to Kazatomprom following the expected delivery of 1.53 million lb of U₃O₈ in H1 2024.

Andre Liebenberg, CEO of Yellow Cake, said:

"The uranium price has recently hit a 15-year high, driven by the same supply-demand characteristics that we have consistently highlighted since our listing. Specifically, we are seeing higher demand as nuclear energy is increasingly accepted as the critical choice to meet our future net zero ambitions. Notably in France, we have seen plans to reduce nuclear's share of electricity generation to 50% jettisoned, while China's nuclear capacity target is expected to increase significantly from previous targets. At the same time, supply remains constrained despite steadily rising prices, due in part to operational challenges associated with mining the commodity, and geopolitical factors, risks that do not impact Yellow Cake. We have continued to deliver against our stated strategy to buy and hold physical uranium giving our shareholders the opportunity for direct exposure to the commodity. Our ten-year framework agreement with Kazatomprom, which allows us to acquire USD100 million of uranium every year until 2027, is key to our investment case. We recently raised funds through an oversubscribed share placing and purchased a further USD100.0 million of U₃O₈ at a price of USD65.50/lb, boosting our holding to nearly 22 million pounds of uranium. We remain very confident in our strategy, and the long term outlook for uranium."

ENQUIRIES:

ABOUT YELLOW CAKE

Yellow Cake is a London-quoted company, headquartered in Jersey, which offers exposure to the uranium spot price. This is achieved through its strategy of buying and holding physical triuranium octoxide ("U₃O₈"). It may also seek to add value through other uranium related activities. Yellow Cake seeks to generate returns for shareholders through the appreciation of the value of its holding of U₃O₈ and its other uranium related activities in a rising uranium price environment. The business is differentiated from its peers by its ten-year Framework Agreement for the supply of U₃O₈ with Kazatomprom, the world's largest uranium producer. Yellow Cake currently holds 20.16 million pounds of U₃O₈, all of which is held in storage in Canada and France. 

FORWARD LOOKING STATEMENTS

Certain statements contained herein are forward looking statements and are based on current expectations, estimates and projections about the potential returns of the Company and the industry and markets in which the Company will operate, the Directors' beliefs and assumptions made by the Directors. Words such as "expects", "anticipates", "should", "intends", "plans", "believes", "seeks", "estimates", "projects", "pipeline", "aims", "may", "targets", "would", "could" and variations of such words and similar expressions are intended to identify such forward looking statements and expectations. These statements are not guarantees of future performance or the ability to identify and consummate investments and involve certain risks, uncertainties and assumptions that are difficult to predict, qualify or quantify. Therefore, actual outcomes and results may differ materially from what is expressed in such forward looking statements or expectations. Among the factors that could cause actual results to differ materially are: uranium price volatility, difficulty in sourcing opportunities to buy or sell U₃O₈, foreign exchange rates, changes in political and economic conditions, competition from other energy sources, nuclear accident, loss of key personnel or termination of the services agreement with 308 Services Limited, changes in the legal or regulatory environment, insolvency of counterparties to the Company's material contracts or breach of such material contracts by such counterparties. These forward-looking statements speak only as at the date of this announcement. The Company expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward looking statements contained herein to reflect any change in the Company's expectations with regard thereto or any change in events, conditions or circumstances on which any such statements are based unless required to do so by applicable law or the AIM Rules.

Chief Executive's Statement

Overview

Longer-term trends in uranium supply/demand fundamentals crystallised in a strong rise in uranium prices in the six months to 30 September 2023. Electricity use is projected to escalate strongly in the decades ahead as a result of population growth, development, urbanisation, electric vehicles, big tech data centres and heavy industry. Nuclear power is increasingly recognised globally as an essential part of the solution in the context of decarbonisation goals and energy security.

The list of countries showing positive shifts towards nuclear continued to grow during the period, including favourable policy developments, recommissioning idled capacity, constructing new facilities and extending operating licences. China alone aims to add nuclear capacity of approximately 90% of the current global reactor count by 2060. Advanced reactors and small and modular reactors ("SMRs") continue to make progress towards commercialisation with strong support from investors and governments, improving the ease and speed of rolling out nuclear solutions at reduced cost.

In the face of this projected increased demand, uranium supply is likely to struggle to keep pace. The World Nuclear Association reported in September that primary uranium supply met only 76% of global demand in 2022, a trend likely to remain in place as existing mines deplete. Upping production at current producers is not necessarily a simple matter, as seen in technical challenges and supply chain constraints reported by major producers like Kazatomprom and Cameco during the period. The concentrated nature of uranium resources is a further complicating factor in the context of the Russia/Ukraine conflict and a coup in Niger, which together affect around 19% of annual uranium production. Concerns remain about the ability of Kazakhstan, the world's largest producer of uranium, to supply uranium to the West at volume while avoiding the complexities of transit across Russian territory. 

These factors saw the uranium spot price rise by 45% from 31 March 2023 to 30 September 2023 on relatively low volumes. Term uranium price indicators rose by 30% as nuclear utilities acquired additional inventory to meet future fuel needs. Increased annual volumes under newly negotiated term uranium contracts may force associated prices to rise to incentivise uranium mining development, placing further pressure on near-term uranium prices.

Yellow Cake's uranium purchase option under its Framework Agreement with Kazatomprom is a key asset in our strategy to provide investors with low risk, low cost and liquid exposure to the uranium spot price in a publicly-quoted vehicle. Shortly after period end, the Company raised funds through an oversubscribed share placing and committed to purchase a further USD100.0 million (1.53 million lb of U₃O₈) at a price of USD65.50/lb. Yellow Cake expect delivery to take place in H1 2024, boosting Yellow Cake's holding to 21.68 million lb of U₃O₈. This increased holding provides shareholders a substantial opportunity to participate in the continued unfolding of the long-term supply/demand mismatch in the uranium market.

Global Uranium Market

The uranium spot price rose significantly over the half-year from USD50.65/lb up to USD73.50/lb, securing gains of more than 45%. Aggregate spot market volumes remained modest during April-September period with UxC reporting a total of 27.4 million lb of U₃O₈ transacted during the six-month period, averaging slightly more than 4.5 million lb of U₃O₈ per month.

The Sprott Physical Uranium Trust ("SPUT") was relatively inactive during April-September SPUT traded at a discount for 95% of the trading days during the period) with the uranium fund reporting purchases totalling 459,979 lb of U₃O₈ during the six month period, compared to 5.1 million lb in the comparative prior period.[14]

Total transactional volume in the term market reported during the period was 92 million lb of U₃O₈ (excluding multi-year agreements involving non-utility buyers). Term uranium price indicators strengthened as a result, with the three-year Forward Price rising from USD57.00/lb at the end of March to USD75.00/lb at the end of September. Similarly, the five-year Forward Price improved from USD61.00/lb up to USD79.00/lb.  The long-term price gained USD8.00/lb from the end of March 2023 from the then-reported level of USD53.00/lb to USD61.00/lb at the end of the half-year.

Nuclear Generation / Uranium Demand

In July 2023, China announced that its commercial nuclear power programme now has 24 reactors under construction.[15] The country's State Council approved the construction of six nuclear reactors: units 5 and 6 of the Ningde nuclear power plant ("NPP") in Fujian Province, units 1 and 2 of the Shidaowan NPP in Shandong Province, and; units 1 and 2 of the Xudabao NPP in Liaoning Province.[16]

In September 2023, the China Nuclear Energy Association announced that China's nuclear power sector is expected to supply 10% of the nation's electricity by 2035. Furthermore, China's installed nuclear capacity is planned to reach 400 GWe by 2060 supplying 18% of China's electricity at that time. Currently, China has 55 operating reactors (reported capacity 56.8 GWe) with a further 24 under construction. Twenty-one reactors have been approved for construction since the beginning of the 14^th Five-Year Plan period (2021-2025).[17]

In April 2023, India's Minister of State, Jitendra Singh, announced that the country's nuclear generating capacity is expected to reach about 9% of its total installed generating capacity by 2047. The 47,112 TWh of nuclear power generated in India in 2021-2022 represented about 3.2% of India's total electricity generation. India anticipates expanding its current installed nuclear capacity of 6,780 MWe to 22,480 MWe by 2031, as ten approved nuclear reactors are constructed, with further units being built in fleet mode.[18]

In June 2023, India's Prime Minister, Narendra Modi, and US President, Joe Biden, released a joint statement following talks in Washington supporting the significant role of nuclear power in global decarbonisation efforts. The two leaders reported that negotiations are ongoing between Nuclear Power Corporation of India Ltd and Westinghouse Corporation for the construction of six AP-1000 reactors while further discussions are being held regarding small modular reactors in India.[19]

Japan's Kansai Electric Power Company recommenced operation of the Takahama-1 reactor in July 2023 and of the Takahama-2 reactor in September 2023.[20] The units had been offline since 2011. Both reactors have been granted operating license extensions which will allow the units to operate for up to 60 years.[21]

During the half-year, the US Department of Energy's Energy Information Administration released its Uranium Marketing Report which contains a broad spectrum of data relating to owners and operators of US civilian nuclear power reactors, nuclear fuel purchases and usage during 2022. US nuclear utilities purchased a total of 40.5 million lb of U₃O₈ during 2022, 13% less than the 2021 level of 46.7 million lb of U₃O₈. The weighted average purchase price rose from USD33.91/lb in 2021 to USD39.08/lb in 2022. Principal supply origin countries included Canada (27.4%), Kazakhstan (24.7%), Russia (11.8%), Uzbekistan (11%) and Australia (8.9%). Russian-origin uranium acquired by US utilities was reported at 8.1 million lb of U₃O₈ in 2020, declining by 41% over the two-year period. During 2022, 15% of the uranium delivered in the market was purchased under spot contracts at a weighted-average purchase price of USD40.70/lb while the remaining 85% was purchased under long-term contracts at a weighted-average price of USD38.81/lb. At the end of 2022, the maximum uranium deliveries for 2023 through to 2032 under existing purchase contracts totalled 223 million lb of U₃O₈ while unfilled uranium market requirements for the same period totalled 179 million lb of U₃O₈.[22] 

Having declared commercial operation of the Vogtle-3 reactor, the first newly constructed power reactor in the United States in more than 30 years (31 July 2023), Georgia Power announced the commencement of fuel-loading at Vogtle-4 effective 17 August 2023. The unit is scheduled for commercial operation in 4Q 2023 or 1Q 2024.[23]

A joint development agreement has been executed between US utility Energy Northwest and X-Energy Reactor Company for the deployment of up to 12 Xe-100 small modular reactors in central Washington state. The utility anticipates the first Xe-100 module to be online by 2030 at a site adjacent to the existing Columbia Generating Station in Richland, Washington.[24]

South Korea is evaluating the country's need for additional nuclear power reactors in response to increasing electricity demand resulting from the expansion of data centres, investment in high technology industries (semi-conductors and batteries) and escalating utilisation of electric vehicles. The 29^th Energy Committee meeting was under the auspices of the Ministry of Trade, Industry and Energy. Based upon strong Committee support, the Committee decided to bring forward the initiation of the 11^th Electricity Plan addressing the years 2024-2038.[25]

Taiwan's People's Party, the political opposition party, has stated that if successfully elected in 2024, they will reverse the country's nuclear phase-out policy which calls for the shut-down of the two remaining operating NPPs (Maanshan NPP) by 2025, when the units will have reached the end of their 40-year operating licenses. Taiwan People's Party Chairman and presidential candidate, Ko Wen-je, has stated that nuclear power is essential to the nation's goal of attaining carbon neutrality by 2050.[26]

The Polish government initiated the process to construct a NPP based on South Korean reactors. PGE PAK Energia Jadrowa SA ("PPEJ") submitted an application to Poland's Ministry of Climate and Environment for a decision-in-principal for the construction of the proposed NPP consisting of at least two APR-1400 reactors to be built in central Poland. Assuming the approval process leads to a license to construct and operate, PPEJ plans on commercial operation by 2035.[27] Poland also issued an environmental permit for its first NPP which is to be built on the Baltic Coast. Construction is planned to begin in 2026 with the facility operational by 2033.[28]

Sweden's Minister for Climate and Environment called for the Nordic country to construct up to ten new large nuclear reactors (or the equivalent SMRs) by 2045, to supplement the current commercial reactor fleet of six reactors (6,937 MWe). The Minister's comments followed the release of the Radiation Safety Authority (Sweden) report (9 August) supporting a pre-licensing review of new reactor designs as well as the development of the regulatory framework which may be needed for the future expansion of nuclear power.[29]

Turkey expects to reach agreement with China for its second NPP to be sited near the city of Kirklareli, in the northwestern area of the country. The NPP will follow the current NPP being built by Russia's Rosatom which is expected to enter commercial operation in 2024.[30]

The Italian government established a working group to assess the restart of the country's nuclear power programme. Historically, Italy operated four NPPs (total capacity 1,423 MWe). However, a decision to shut down two remaining reactors was taken in July 1990 in response to the nuclear accident at Chernobyl, following the earlier closure of the other two reactors. The newly drafted "National Platform for Sustainable Nuclear" calls for a multi-agency review of potential technologies and sites.[31]

Nuclear power development in Africa continued to progress. Kenya announced plans to begin construction of a NPP at coastal sites in either Kilifi or Kwale counties. The facility is expected to cost USD3.4-4.1 billion and start construction in 2027.[32] The Ugandan President announced that Russia and South Korea will construct two NPPs in Uganda. Agreements have been reached but no date for construction start was given except for "soon."[33] Nuclear Power Ghana selected two potential sites for its planned NPP with Nsuban (Western Region) as the preferred location and Obotan (Central Region) serving as the back-up. The country expects to select the reactor vendor by 2030 with construction commencing that year.

Uranium Supply

Cameco Corporation ("Cameco") released the company's Q3 2023 financial results on 30 October 2023. Uranium production increased to 11.9 million lb of U₃O₈ for the nine months to 30 September 2023 compared to 6.6 million lb of U₃O₈ during the same period in 2022, as the McArthur River/Key Lake Mill facility ramped up after an extended period of care and maintenance and Cameco's ownership share of Cigar Lake increased incrementally. Cameco confirmed its reduced guidance (announced 3 September) for McArthur River/Key Lake and Cigar Lake production in 2023. Guidance for production at McArther River/Key Lake reduced from 15.0 million lb of U₃O₈ to 14.0 million lb of U₃O₈ (Cameco's share reducing from 10.5 to 9.8 million lb of U₃O₈) following challenges at the Key Lake Mill facility. These related to the length of time the facility was in care and maintenance, operational changes, skills shortages and supply chain challenges affecting availability of materials and reagents.

Guidance for production at Cigar Lake reduced from up to 18.0 million lb of U₃O₈ to up to 16.3 million lb of U₃O₈ in 2023 (Cameco's share reducing from up to 9.8 to up to 8.9 million lb of U₃O₈). Planned production was negatively affected by technical issues and unplanned maintenance. In addition, the company is entitled to purchase 4.2 million lb of U₃O₈ from JV Inkai (Kazakhstan) during 2023 from planned production of 8.3 million lb of U₃O₈ at the Kazakh ISR production facility. Guidance for both McArther River/Key Lake and Cigar Lake 2024 production remained at 18 million lb U₃O₈ each.

Cameco expects to purchase 11-13 million lb of U₃O₈ during the year due to increased 2023 deliveries and to maintain a working inventory (that total includes existing purchase commitments including Cameco's share of output from the JV Inkai in Kazakhstan). Corporate executives talked of "transformative tailwinds for the nuclear power industry" arising from ongoing geopolitical events, the global focus on the climate crisis and energy security concerns[34]. The accompanying news release referred to "durable, full-cycle demand growth across the nuclear energy industry" and "the industry's best ever market fundamentals"[35].

Cameco continued its term uranium and conversion services contracting strategy, involving nuclear utilities in Central and Eastern Europe, as Bulgaria executed a long-term purchase agreement for 100% of the UF₆ needs of the Kozloduy 5 reactor complex. The agreement, which will be effective through 2033, calls for Cameco to deliver a total of approximately 2.2 million kg of UF₆ (the equivalent of about 5.7 million lb of U₃O₈).[36] 

Kazatomprom announced the approval of several agenda items during the company's Annual General Meeting on 25 May 2023. More than 90% of the votes cast approved a "major transaction", allowing Kazatomprom to enter into agreements representing more than fifty percent of the total book assets of Kazatomprom, including the recently announced long-term uranium sales agreement "and other transactions for the purchase and sale of natural uranium concentrates" with China National Nuclear Corporation Overseas Limited.[37]

In September 2023, Kazatomprom announced its plans for increased uranium production in CY2025 to 100% of subsoil agreements and stated that, driven by a strong contract book and already growing sales portfolio, planned output would reach 79.3-81.9 million lb of U₃O₈ in 2025 which would be an increase of around 15.6 million lb above the currently planned output for CY2024. However, Kazatomprom warned that geopolitical uncertainty, global supply chain issues and inflationary pressure could impact the planned production increase.

On 1 November 2023, Kazatomprom released its third quarter 2023 financial results, including uranium production data. The company reported total production of 39.8 million lb of U₃O₈ for the nine months to 30 September 2023, a slight decrease from the 40.2million lb of U₃O₈ produced in the prior period. Kazatomprom's attributable share of production for the nine months to 30 September 2023 was 17.9 million lb of U₃O₈. The company's average realised price rose by 14% to USD47.81/lb period-on-period. Production volume for the year (100% basis) continues to be guided at 53.3 million lb-55.9 million lb, although the company flagged persistent issues associated with limited access to certain key materials, such as sulfuric acid, and uncertainties relating to the Russia/Ukraine conflict as potential risks to forecast production.[38]

French President, Emmanuel Macron, conducted a state visit to Mongolia in May 2023. A major focus of the visit was joint cooperation between the two countries in the area of uranium exploration and development, specifically the Zuuvch-Ovoo ISR Uranium Project, which is being evaluated by Badrakh Energy, a joint-venture of the French nuclear fuel cycle company, Orano (66%), and Mongolia's Mon-Atom (34%). The project could eventually produce as much as 8-9 million lb of U₃O₈/year at full capacity, although a development decision is yet to be taken.[39]

UxC released its annual uranium production summary, "2022 U₃O₈ Production Review," on 15 May 2023. Worldwide uranium production increased 4.9% from 123 million lb of U₃O₈ in 2021 to 129 million lb of U₃O₈ in 2022. The majority of the uplift in uranium output was due to the ramp-up of the Cigar Lake uranium mine and the restart of the McArthur River uranium mine, both in Northern Saskatchewan, while the Olympic Dam multi-mineral mine in Australia contributed a portion of the incremental increase as the facility exited a major smelter maintenance programme during the year. Kazakhstan remained the largest producer, reporting 55.2 million lb of U₃O₈ in 2022 (43% of global production), followed by Canada with production of 19.2 million lb of U₃O₈ in 2022. Namibia produced 14.6 million lb of U₃O₈ while Australia produced 12.2 million lb of U₃O₈ in 2022. Uzbekistan reported total uranium production of 9.1 million lb of U₃O₈. The five largest uranium producing countries accounted for just over 85% of total global uranium production in 2022.[40]

The International Atomic Energy Agency ("IAEA") convened its periodic International Symposium on Uranium Raw Material for the Nuclear Cycle (URAM-2023) in May 2023. Held at five-year intervals, this symposium examined a broad spectrum of technical and commercial factors relating to the availability of uranium for the nuclear fuel cycle. UxC's Executive Vice President-Uranium presented a keynote address entitled "Global Uranium Supply and Demand Dynamics Amid Heightened Geopolitical Risk" which highlighted challenges to future uranium developments as well as stating that UxC is forecasting that global uranium requirements will increase by 62% through 2040. Further, TENEX/Rosatom's Alexander Boytsov observed that "the era of "cheap" uranium in the world market is ending."[41] 

On 26 July 2023, presidential guards seized Niger's president, Mohamed Bazoum in a military coup. Niger's uranium production totalled 5.85 million lb of U₃O₈ in 2022 (around 5% of the global total) from the operation of SOMAIR, an open-pit mine owned by the French company, Orano (63.4%) and Sopamin, a company that manages Niger's participation in mining ventures (36.66%). The outcome of this geopolitical event remains unresolved, but Orano has stated that any interruption in uranium production or transport would not impact the French nuclear programme due to sufficient uranium inventories. Two foreign uranium companies yet to commence operations in Niger, Global Atomic (Dasa Uranium Project) and GoviEx (Madaouela Uranium Project), reported that their activities were proceeding as normal.[42]

Nuclear Power Forecasts

The US Nuclear Energy Institute ("NEI") released its report entitled "The Future of Nuclear Power 2023" which documents the results of a survey involving 19 NEI utility member companies which currently operate eighty of the nuclear reactor facilities in the United States. The survey highlighted that more than 90% of the 80 units surveyed anticipate receiving approval to operate for at least 80 years (majority of fleet would operate to 2050 or beyond) and that more than 50% of sites surveyed have a level of interest or planning for power up rates for their site units. The survey identified plans for over USD6.0 billion in capital investment supporting the planned changes to the current operating fleet. Nearly two-thirds of the respondents indicated that the recent federal policy developments have resulted in an increased interest in new nuclear within their companies and half of the respondents indicated that their companies are considering or actively working to include new nuclear in the integrated resource plans. Nearly half of the respondents indicated that they have an interest in pursuing actions to site or license a new reactor, with the first applications expected to occur in the next year.[43] 

In a statement issued at the conclusion of the recent Nuclear Energy Forum convened during the G7 conference on climate, energy and environment, five nations (United States, Canada, United Kingdom, Japan and France) stated that they have identified "potential areas of collaboration on nuclear fuels to support the stable supply of fuels for the operating reactor fleets of today, enable the development and deployment of fuels for the advanced reactors of tomorrow and achieve reduced dependence on Russian supply chains." Furthermore, collaboration on strategic opportunities in the nuclear fuel cycle will "establish a level playing field to compete more effectively against predatory suppliers" while strengthening domestic sectors.[44] 

In her opening remarks before the 2023 Nuclear Energy Assembly, Nuclear Energy Institute President and CEO, Maria Korsnick, stated that "This is the biggest moment for nuclear energy since the dawn of the atomic age. Everywhere we look, we see demand surging."[45] 

The International Energy Agency released an update to its 2021 report, "Net Zero Roadmap," which examines various future energy development scenarios. Under the net-zero emissions (NZE) scenario, the global energy analysis group now foresees global nuclear power increasing from the current level (392 GW), reaching 916 GW in 2050 as compared to the original study which concluded the need for 812 GW by 2050.[46]

The World Nuclear Association convened its Annual Symposium in London (6-8 September 2023). The global nuclear power organisation released the latest edition of its comprehensive nuclear fuel markets assessment and forecast "The Nuclear Fuel Report - Global Scenarios for Demand and Supply Availability 2023 - 2040." The presentation of the biennial report's conclusions regarding future uranium availability, stated that "in 2022, only 76% of world reactors requirements were covered by primary uranium supply. By [the] mid 2020s, restart of idled capacity is expected, however the decrease of supply from the presently-known existing mines will continue due to further depletion of uranium resources" and "in the long run, intense development of new projects and other unspecified sources will be needed to fill in the supply-demand gap."

Uranium Market Outlook

The global spot uranium market continues to demonstrate upward price pressure in spite of relatively modest levels of monthly transactions. Although there has been a significant reduction in financial entity buying throughout 2023, near-term demand from nuclear utilities, uranium producers and trading entities has been sufficient to elicit further price increases.

Subsequent to the April-September period, the spot market price has continued to strengthen, exceeding USD80.00/lb at the end of November. Factors contributing to that trend include limited availability of near-term inventory considered as mobile (available for sale), growing nuclear utility concerns regarding future production of sufficient uranium to underpin both operating and planned nuclear reactors as well as geopolitical risks associated with a number of producing countries such as Russia and Niger.

A growing focus on term uranium contracting will be a contributing factor to the expected increase in spot market demand as nuclear utilities acquire additional inventory to support future fuel needs.

Since the Russian invasion of Ukraine in February 2022, the threat of restrictions on Russian-sourced nuclear fuel deliveries into the European Union, United Kingdom and the United States has persisted. An impediment to those deliveries either through sanctions or logistical challenges would likely impact the global nuclear fuel markets and result in further upward price pressures.

These market factors may continue to prevail and exert upward pressure on the uranium price, both spot and long-term. As annual volumes under newly negotiated term uranium contracts increase, associated prices may need to rise to incentivise necessary uranium development, placing incremental pressure on near-term uranium prices.

Andre Liebenberg

Chief Executive Officer

Chief Financial Officer's Report

It is my pleasure to report a number of highlights for the half-year:

?      Increase in the value of the Company's uranium holdings by 55.5% from USD952.5 million^[47] to USD1,481.4 million[48], as a result of the appreciation in the uranium price and an increase in the volume of uranium held.

?      Increase in the Company's holdings from 18.81 million lb of U₃O₈ to 20.16 million lb of U₃O₈.

?      1.35 million lb of U₃O₈ acquired at a price of USD48.90/lb, or USD66.0 million in aggregate.

?      Profit after tax of USD458.8 million (30 September 2022: loss of USD145.5 million).

Uranium purchase

Yellow Cake began the period with a holding of 18.81 million lb of U₃O_8.  On 30 September 2023, Yellow Cake took delivery of 1,350,000 lb of U₃O₈ that it had elected to purchase as part of its 2022 uranium purchase option under its Framework Agreement with JSC National Atomic Company Kazatomprom at a price of USD48.90/lb, or USD66.0 million in aggregate. The delivery was made at the Cameco storage facility in Ontario, Canada. The purchase was funded from the proceeds of an oversubscribed share placing in February 2023 which raised gross proceeds of approximately GBP61.8 million (USD74.3 million).

Subsequent to the period-end, following the completion of a further oversubscribed share placing on 2 October 2023 which raised gross proceeds of approximately GBP103 million (approximately USD125 million), Yellow Cake informed Kazatomprom that it had elected to purchase 1,526,717 lb of U₃O₈ at a price of USD65.50/lb, or USD100.0 million in aggregate, exercising the entirety of the Company's 2023 uranium purchase option under its Framework Agreement with Kazatomprom. Yellow Cake expects delivery to take place in the first half of calendar 2024 and on completion will hold 21.68 million lb of U₃O₈.

Uranium-related gain

Yellow Cake made a total uranium-related gain of USD462.9 million in the half-year to 30 September 2023 (30 September 2022: loss of USD142.0 million).

Operating performance

?    Yellow Cake delivered profit after tax for the half-year of USD458.8 million (30 September 2022: loss of USD145.5 million).

?     Expenses for the half-year were USD5.7 million (September 2022: USD3.4 million) and comprised:

o USD0.7 million in commissions payable to 308 Services Limited in relation to the purchase by Yellow Cake of U₃O₈ (30 September 2022: USD0.4 million); and

o USD5.0 million in expenses of a recurring nature (30 September 2022: USD3.0 million) comprising the following):

§    Procurement and market consultancy fees (holding fees and storage incentive fees) paid to 308 Services Limited of USD1.5 million (30 September 2022: USD1.6 million) (detailed in note 8); and

§   Other operating costs of USD3.6 million (30 September 2022: USD1.4 million). The increase was principally attributable to higher uranium storage costs, following the expiration of a very competitive five-year storage contract with Cameco in December 2022.

Yellow Cake's Management Expense Ratio for the half-year (total operating expenses of a recurring nature, excluding commissions and equity offering expenses, expressed as an annualised percentage of average daily net asset value during the period) was 0.88% (30 September 2022: 0.62%).

Balance sheet and cash flow

The value of Yellow Cake's investment in U₃O₈ increased by 55.5% during the half-year from USD952.5 million as at 31 March 2023 to USD1,481.4 million as at 30 September 2023, as a result of the increase in the uranium price from USD50.65/lb^[49] to USD73.50/lb^[50], combined with an increase in the volume of uranium held from 18.81 million lb of U₃O₈ to 20.16 million lb of U₃O₈.

As at 30 September 2023, Yellow Cake had cash and cash equivalents of USD83.4 million (31 March 2023 USD84.8 million). Of this, USD66.0 million was applied after the period-end to paying for 1.35 million lb of U₃O₈ which was delivered to Yellow Cake on 30 September 2023.

The Company does not propose to declare a dividend for the period.

Net Asset Value

Net asset value during the half-year increased from USD1,035.3 million or GBP4.23 per share[51] as at 31 March 2023 to USD1,494.2 million or GBP6.18 per share as at 30 September 2023. Yellow Cake's net asset value on 30 September 2023, comprised 20.16 million lb of U₃O₈, valued at a spot price of USD73.50/lb[52] and cash and other current assets and liabilities of USD12.7 million[53] (31 March 2023: comprised 18.81 million lb of U₃O₈, valued at a spot price of US$50.65/lb[54] and cash and other current assets and liabilities of US$82.8 million[55]).

Carole Whittall

Chief Financial Officer

Independent Review Report to Yellow Cake Plc

Conclusion

We have been engaged by Yellow Cake plc ('the Company') to review the condensed set of financial statements of the Company in the interim financial report for the six months ended 30 September 2023 which comprise the Condensed Statement of Financial Position, Condensed Statement of Comprehensive Income, Condensed Statement of Changes in Equity, Condensed Statement of Cash Flows and the associated explanatory notes. We have read the other information contained in the interim financial report and considered whether it contains any apparent material misstatements of fact or material inconsistencies with the information in the condensed set of financial statements.

Based on our review, nothing has come to our attention that causes us to believe that the condensed set of financial statements in the interim financial report for the six months ended 30 September 2023 is not prepared, in all material respects, in accordance with International Accounting Standard 34, "Interim Financial Reporting" as contained in UK-adopted International Accounting Standards, and the AIM Rules for Companies.

Basis for Conclusion

We conducted our review in accordance with International Standard on Review Engagements (UK) 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity" ('ISRE (UK) 2410') issued for use in the United Kingdom.  A review of interim financial information consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures.  A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK) and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

As disclosed in note 2, the annual financial statements of the Company are prepared in accordance with UK-adopted International Accounting Standards.  The condensed set of financial statements included in this  interim financial report has been prepared in accordance with International Accounting Standard 34, "Interim Financial Reporting" as contained in UK-adopted International Accounting Standards.

Conclusions Relating to Going Concern

Based on our review procedures, which are less extensive than those performed in an audit as described in the Basis for Conclusion section of this report, nothing has come to our attention to suggest that management have inappropriately adopted the going concern basis of accounting or that management have identified material uncertainties relating to going concern that are not appropriately disclosed.

This conclusion is based on the review procedures performed in accordance with ISRE (UK) 2410, however future events or conditions may cause the Company to cease to continue as a going concern.

Responsibilities of Directors

The interim financial report, is the responsibility of, and has been approved by, the directors.  The directors are responsible for preparing the interim financial report in accordance with International Accounting Standard 34, "Interim Financial Reporting" as contained in UK-adopted International Accounting Standards and the AIM Rules for Companies.

In preparing the interim financial report, the directors are responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.

Auditor's Responsibilities for the Review of the Financial Information

In reviewing the interim financial report, we are responsible for expressing to the Company a conclusion on the condensed set of financial statements in the interim financial report.  Our conclusions, including our Conclusions Relating to Going Concern, are based on procedures that are less extensive than audit procedures, as described in the Basis for Conclusion paragraph of this report.

Use of our report

This report is made solely to the Company in accordance with International Standard on Review Engagements (UK) 2410 "Review of Interim Financial Information performed by the Independent Auditor of the Entity".  Our review work has been undertaken so that we might state to the Company those matters we are required to state to them in an independent review report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company, for our review work, for this report, or for the conclusions we have formed.

RSM UK Audit LLP

Chartered Accountants

25 Farringdon Street

London

EC4A 4AB

Date: 5 December 2023

Condensed Statement of Financial Position

Condensed Statement of Comprehensive Income

Condensed Statement of Changes in Equity

Attributable to the equity owners of the Company                                                                                                         

Condensed Statement of Cash Flows

Notes to the Condensed Interim Financial Statements

For the period from 1 April 2023 to 30 September 2023

1. General information

Yellow Cake plc (the "Company") was incorporated in Jersey, Channel Islands on 18 January 2018. The address of the registered office is 3^rd Floor, Gaspé House, 66-72 The Esplanade, St Helier, Jersey, JE1 2LH.

The Company operates in the uranium sector and was established to purchase and hold U₃O₈. The strategy of the Company is to invest in long-term holdings of U₃O₈ and not to actively speculate in short-term changes in the price of U₃O₈.

The Company was admitted to list on the London Stock Exchange AIM market ("AIM") on 5 July 2018.

On 22 June 2022, the Company's shares were admitted to trading on the OTCQX, the highest tier of the US over-the-counter market.

On 26 September 2023, the Company incorporated a wholly owned subsidiary, YCA Commercial Ltd, in Jersey, which had no assets, liabilities or operations as at the reporting date and has therefore not been consolidated in these condensed interim financial statements.

2. Summary of significant accounting policies

Basis of preparation

The unaudited condensed interim financial statements for the six months ended 30 September 2023 have been prepared in accordance with International Accounting Standard 34 "Interim Financial Reporting". This report should be read in conjunction with the Company's annual financial statements for the period ended 31 March 2023, available on the Company's website (www.yellowcakeplc.com), which were prepared in accordance with UK-adopted International Accounting Standards ("IFRS"). The audited financial information for the year ended 31 March 2023 is based on the statutory accounts for the financial year ended 31 March 2023. The auditors reported on those accounts: their report was unqualified and did not contain statements where the auditor is required to report by exception.

The accounting policies adopted and methods of computation followed in the condensed interim financial statements are consistent with those applied in the preparation of the Company's annual financial statements for the year ended 31 March 2023 and are expected to be applied to the Company's annual financial statements for the year ending 31 March 2024.

The unaudited condensed interim financial statements do not constitute statutory accounts within the meaning of Section 105 of the Companies (Jersey) Law 1991.

New and revised standards

At the date of approval of these condensed interim financial statements there are no new or revised standards that are in issue but not yet effective that are relevant to the financial statements of the Company.

Going concern

The Directors, having considered the Company's objectives and available resources along with its projected income and expenditure for at least 12 months from the date of approval of the condensed interim financial statements, are satisfied that the Company has adequate resources to continue in operational existence for the foreseeable future. Accordingly, the Directors have adopted the going concern basis in preparing these condensed interim financial statements.

The Board continues to monitor the impact of the conflict in Ukraine and sanctions imposed against Russia and Belarus on the Company's activities, the uranium industry and the world economy.           

After taking into account the Company's cash balance of USD84.4 million at the period-end, the net placing proceeds of USD120.6 million received by the Company on 2 October 2023 and its post period-end commitments to settle the USD166.0 million of U₃O₈ purchases, the Company considered that, as at 5 December 2023, it had sufficient working capital to cover operating expenses for at least twelve months before it would need to raise additional funds. The Company has no debt or hedge liabilities on its balance sheet. In the absence of other sources of capital, the Company can reasonably be expected to realise a portion of its investment in uranium to raise working capital if required.

Investments in uranium

Acquisitions of U₃O₈ are initially recorded at cost net of transaction costs incurred and are recognised in the Company's statement of financial position on the date the risks and rewards of ownership pass to the Company, which is the date that the legal title to the uranium passes.

After initial recognition, investments in U₃O₈ are measured at fair value based on the daily spot price for U₃O₈ published by UxC LLC.

IFRS lacks specific guidance in respect of accounting for investments in uranium. As such the Directors of the Company have considered the requirements of International Accounting Standard 1 "Presentation of Financial Statements" and International Accounting Standard 8 "Accounting Policies, Changes in Accounting Estimates and Errors" to develop and apply an accounting policy. The Directors of the Company consider that measuring the investment in U₃O₈ at fair value provides information that is most relevant to the economic decision making of users. This is consistent with International Accounting Standard 40 Investment Property, which allows for assets held for long-term capital appreciation to be presented at fair value.

Critical accounting judgements and estimation uncertainty

The preparation of financial statements requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses.

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Revisions to accounting estimates are recognised in the period in which the estimate is revised and in any future periods affected.

The resulting accounting estimates will, by definition, seldom equate to the related actual results.

Accounting estimates

In preparing these unaudited condensed interim financial statements the Directors have not made any significant accounting estimates.

Judgements

The Company receives regular tax advice and opinions from its advisors and accountants to ensure it is aware of and can seek to mitigate the effects on its tax position of, changes in regulation. While the Company stores its uranium in storage facilities in Canada and France, the Company does not carry on business in either of these jurisdictions. The Directors have considered the tax implications of the Company's operations and have reached judgement that no tax liability has arisen during the period (year ended 31 March 2023: USD nil).

3. Investment in uranium

The value of the Company's investment in U₃O₈ is based on the daily spot price for U₃O₈ of USD73.50/lb as published by UxC LLC on 30 September 2023 (31 March 2023: USD50.65/lb).

As at 30 September 2023, the Company:

·      had purchased a total of 22,826,515lb of U₃O₈ at an average cost of USD30.98/lb;

·      had disposed of 2,670,914 lb of U3O8 at an average selling price of USD40.23/lb that had been acquired at an average price of USD21.01/lb, assuming a first in first out methodology; and

·      held a total of 20,155,601lb of U₃O₈ at an average cost of USD32.30/lb for a net total cash consideration of USD651.1 million, assuming a first in first out methodology.

Acquisition of uranium

On 30 September 2023, the Company took title to 1,350,000 lb of U₃O_8, acquired as part of its 2022 uranium purchase option under its Framework Agreement with Kazatomprom, at a price of USD48.90/lb for a total consideration of USD66.0 million. Payment occurred after 30 September 2023.

The following table provides a summary of the Company's investment in U₃O₈ as at 30 September 2023:

As at 31 March 2023:

4. Cash and cash equivalents

Cash and cash equivalents as at 30 September 2023 were banked in a variable interest account with full access. Balances at the end of the period were USD83,087,030 and GBP 257,264, which is, in total, equivalent to USD83,401,072 (31 March 2023: USD84,428,484 equivalent).

5. Share capital

The number of shares in issue above includes 4,584,283 treasury shares - refer to note 7.

The Company has one class of shares which carry no right to fixed income.

6. Share-based payments

The Company implemented an equity-settled share-based compensation plan in 2019 which provides for the award of long-term incentives and an annual bonus to management personnel. 

During the period, USD14,109 was recognised in the statement of comprehensive income, in relation to share-based payments (30 September 2022: USD18,000).

7. Treasury shares

On 2 June 2023, following an exercise of share options on 24 May 2023 under the Yellow Cake plc Share Option Plan 2019, 31,686 ordinary shares held as treasury shares were transferred at 213p per share to satisfy the exercise.

On 25 July 2023, following an exercise of share options on 19 July 2023 under the Yellow Cake plc Share Option Plan 2019, 20,362 ordinary shares held as treasury shares were transferred at 288p per share to satisfy the exercise.

Following these transfers, the total number of treasury shares held by the Company reduced from 4,636,331 to 4,584,283. The reduction in the value of treasury shares resulting from the exercise of share options has been calculated based on the weighted average acquisition cost of the treasury shares.

8. Commission, procurement and consultancy fees

308 Services Limited ("308 Services") provides procurement services to the Company relating to the sourcing of U₃O₈ and other uranium transactions and in securing competitively priced converter storage services.

Under the terms of the agreement entered into between the Company and 308 Services on 30 May 2018, 308 Services is entitled to receive:

1)    Holding Fee comprised of a Fixed Fee of USD275,000 per calendar year plus a Variable Fee equal to 0.275% per annum of the amount by which the value of the Company's holdings of U₃O₈ exceeds USD100 million; and

2)    Storage Incentive Fee equal to 33% of the difference between the amount obtained by multiplying the Target Storage Cost (initially set at USD0.12/lb per year) by the volume of U₃O₈ (in pounds) owned by the Company on 31 December of each respective year and the total converter storage fees paid by the Company in the preceding calendar year. 

The Company considers Holding Fees and Storage Incentive Fees to be costs of an ongoing nature. Holding and Storage Incentive Fees payable by the Company to 308 Services in respect of the period were USD1,469,168 (30 September 2022: USD1,618,711).

308 Services is also entitled to receive commissions equivalent to 0.5% of the transaction value in respect of certain uranium sale and purchase transactions completed at the request of the Yellow Cake Board.  Commissions in respect of the period payable by the Company to 308 Services were USD330,075 (30 September 2022: USD226,000).

In addition, if the purchase price paid by the Company in respect of such a purchase transaction is in the lowest quartile of the range of reported uranium spot prices in the calendar year in which the transaction completed, 308 Services is entitled to receive, at the beginning of the following calendar year, an additional commission of 0.5% of the value of the uranium transacted. If the purchase price paid by the Company in respect of such a purchase transaction is in the second lowest quartile of the range of reported uranium spot prices in the calendar year in which the transaction completed, 308 Services is entitled to receive, at the beginning of the following calendar year, an additional commission of 0.25% of the value of the uranium transacted. If the purchase price is in the top half of the range for the calendar year in which the transaction completed, no additional commission will be payable to 308 Services.

Based on broker and industry expert uranium price forecasts and the Company's own views, the Company considers it reasonably likely that the purchase prices paid by the Company during the period will be in the lowest quartile of the range of reported uranium spot prices in the 2023 calendar year. The Company has therefore elected to include a provisional commission of USD330,075 within these interim financial statements in respect of the uranium purchase transactions completed by the Company during the period to which a commission applies, equal to 0.5% of the value transacted.

During the period, commissions and provisional commissions payable to 308 Services totalled USD660,150 (30 September 2022: USD452,010).

9. Related party transactions

During the period, the Company incurred USD86,033 (30 September 2022: USD82,594) of administration fees payable to Langham Hall Fund Management (Jersey) Limited ("Langham Hall"). Claire Brazenall is an employee of Langham Hall and has served as a Non-Execute Director of the Company since 9 November 2022, for which she has received no Directors' fees. As at 30 September 2023, there were no amounts due to Langham Hall (31 March 2023: USD nil).

The following Directors own ordinary shares in the Company as at 30 September 2023:

*    The Lord St John of Bletso's shares are held through African Business Solutions Limited, in which he holds 100% of the Ordinary Shares.

While the Non?Executive Directors hold shares in the Company, the holdings are considered sufficiently small so as not to impinge on their independence.

10. Earnings per share

\* The weighted average number of shares excludes treasury shares.

11. Events after the period end

On 2 October 2023, the Company completed a share placing which raised gross proceeds of approximately GBP102.9 million (USD124.7 million). Following completion of the placing, Yellow Cake informed Kazatomprom that it had elected to purchase 1,526,717 lb of U₃O₈ at a price of USD65.50/lb, or USD100.0 million in aggregate, exercising the entirety of the Company's 2023 uranium purchase option under its Framework Agreement with Kazatomprom. The Company expects delivery to take place in H1 2024. On completion of this purchase, Yellow Cake will hold 21.68 million lb of U₃O₈.

In the opinion of the Directors, there are no other significant events subsequent to the period end that are deemed necessary to be disclosed in the interim financial statements.

1           Based on the daily spot price of USD50.65/lb published by UxC, LLC on 31 March 2023 and 18,805,601 lb U?O? held by the Company on that date.

2           Based on the daily spot price of USD73.50/lb published by UxC, LLC on 30 September 2023 and 20,155,601 lb U?O? held by the Company on that date.

3           Daily spot price published by UxC, LLC on 31 March 2023.

4           Daily spot price published by UxC, LLC on 30 September 2023.

5           Net asset value as at 31 March 2023 of USD1,035.3 million comprises 18.81 million lb of U₃O₈ valued at the daily spot price of USD50.35/lb published by UxC, LLC on 31 March 2023 and cash and other current assets and liabilities of USD82.8 million.

6     Estimated net asset value as at 30 September 2023 of USD1,494.2 million comprises 20.16 million lb of U₃O₈ valued at the daily spot price of USD73.50/lb published by UxC, LLC on 30 September 2023 and cash and other current assets and liabilities of USD12.7 million.

7        Net asset value per share as at 31 March 2023 is calculated assuming 202,740,730 ordinary shares in issue less 4,636,331 shares held in treasury on that date and the Bank of England's daily USD/ GBP exchange rate of 1.2364.

8         Estimated net asset value per share as at 30 September 2023 is calculated assuming 202,740,730 ordinary shares in issue, less 4,584,283 shares held in treasury on that date and the Bank of England's daily USD/ GBP exchange rate of 1.2207.

9           Pro forma Net Asset Value is neither audited nor reviewed.

10      Comprises 20.16 million lb of U3O8 held as at 4 December 2023 plus 1.53 million lb of U3O8 which the Company has committed to purchase in H1 2024.

11        Daily spot price published by UxC, LLC on 4 December 2023.

12      Cash and other current assets and liabilities of USD12.7 million as at 30 September 2023 plus net placing proceeds of USD120.6 million received 2 October 2023 less cash consideration of USD100.0 million to be paid to Kazatomprom following delivery of 1.53 million lb of U3O8 in H1 2024.

13       Estimated pro forma net asset value per share on 4 December 2023 is calculated assuming 221,440,730 ordinary shares in issue, less 4,584,283 shares held in treasury on that date.

14        Source: Sprott.com; "Daily and Cumulative Pounds of Uranium (U₃O₈) Acquired by the Trust"; 14 November 2023.

15        China Nuclear Energy Association: "China takes world's crown in nuclear power units under contraction"; 26 April 2023.

16        World Nuclear News; "Six reactors approved for construction in China"; 1 August 2023.

17        China Daily; "China's nuclear power to generate 10% of total electricity by 2035": 26 September 2023.

18        World Nuclear News; "Indian minister eyes 9% nuclear share by 2047"; 12 April 2023.

19        World Nuclear News: "Biden, Modi affirm commitment to nuclear as Kovvada plans intensify"; 23 June 2023.

20        World Nuclear News; "Takahama 2 reactor restarted"; 15 September 2023.

21        World Nuclear News; "Eleventh Japanese reactor resumes operation"; 28 July 2023.

22        US Department of Energy, Energy Information Administration: "2022 Uranium Marketing Annual Report"; 13 June 2023.

23        Nuclear Newswire; "Vogtle-4 fuel load started"; 18 August 2023.

24        World Nuclear News; "Multiple Xe-100 SMRs planned for Washington State"; 19 July 2023.

25       World Nuclear News; "South Korea considering new nuclear plants"; 12 July 2023

26        Taipei Times; "Taiwan needs nuclear energy, Ko says"; 13 August 2023.

27        Korea Economic Daily; "Poland starts approval process to import S. Korean reactors"; 24 August 2023).

28        Reuters; "Poland issues environmental permit for first nuclear power plant"; 22 September 2023.

29        Bloomberg News; "Sweden Needs to Treble Nuclear Power as Electricity Demand Soars": 9 August 2023.

30        Nikkei Asia; "Turkey close to deal with China on nuclear power plant"; 15 September 2023.

31        Nature Italy; "Italian nuclear industry revival on the table"; 11 September 2023.

32        TRT Afrika; "Kenya plans construction of nuclear power plant"; 26 September 2023.

33      Anadolu Agency News Broadcast System; "Russia, South Korea to build nuclear power plants in Uganda"; 8 September 2023.

34     Cameco Corporation; "Management's discussion and analysis for the quarter ended September 30, 2023"; 30 October 2023.

35        Cameco Corporation; "Cameco announces third quarter results"; 31 October 2023.

36        Cameco Corporation; "Cameco Signs Nuclear Fuel Agreement to Support Bulgaria's Diversification Efforts"; 20 April 2023.

37        Kazatomprom Press Release; "Voting Results of the General Meeting of Shareholders;" 25 May 2023.

38      Kazatomprom; "Kazatomprom 3Q23 Operations and Trading Update"; 1 November 2023.

39        www.rfi.fr; "Macron's Visit to Mongolia was Focused on Ensuring France's Uranium Supply;" 23 May 2023.

40        Ux Weekly, "2022 U₃O₈ Production Review"; 15 May 2023.

41        Ux Weekly; "IAEA URAM-2023: Pressure on New Uranium Projects to Meet Demand Growth"; 22 May 2023.

42        World Nuclear News; "A guide: Uranium in Niger"; 28 July 2023.

43      Nuclear Energy Institute; "The future of Nuclear Power 2023 Baseline Survey"; April 2023.

44        World Nuclear News; "Five G7 countries in nuclear fuel agreement"; 17 April 2023.

45        Nuclear Energy Institute Blog, "State of the Nuclear Energy Industry 2023"; 15 May 2023.

46       International Energy Agency; "Net Zero Roadmap - A Global Pathway to Keep the 1.5 C Goal in Reach 2023 Update"; September 2023.

47        Based on the daily spot price of USD50.65/lb published by UxC, LLC on 31 March 2023 and 18,805,601 lb U?O? held by the Company on that date.

48        Based on the daily spot price of USD73.50/lb published by UxC, LLC on 30 September 2023 and 20,155,601 lb U?O? held by the Company on that date.

49        Daily spot price published by UxC, LLC on 31 March 2023.

50        Daily spot price published by UxC, LLC on 30 September 2023.

51        Net asset value as at 31 March 2023 of USD1,035.3 million comprises 18.81 million lb of U3O8 valued at the daily spot price of USD50.35/lb published by UxC, LLC on 31 March 2023 and cash and other current assets and liabilities of USD82.8 million. Net asset value per share as at 31 March 2023 is calculated assuming 202,740,730 ordinary shares in issue less 4,636,331 shares held in treasury on that date and the Bank of England's daily USD/ GBP exchange rate of 1.2364.

52        Daily spot price published by UxC, LLC on 30 September 2023.

53        Cash and cash equivalents and other net current assets and liabilities as at 30 September 2023.

54        Daily spot price published by UxC, LLC on 31 March 2023.

55        Cash and cash equivalents and other net current assets and liabilities as at 31 March 2023.

56        Bank of England's daily USD/ GBP exchange rate as at 30 September 2023 and 31 March 2023.

57        Net asset value per share on 30 September 2023 is calculated assuming 202,740,730 ordinary shares in issue less 4,584,283 shares held in treasury on that date. Net asset value per share on 31 March 2023 is calculated assuming 202,740,730 ordinary shares in issue less 4,636,331 shares held in treasury on that date