Uranium Energy Corp (AMEX:UEC) has signed two long-term uranium supply agreements with US nuclear utilities, covering a combined 1.1 million pounds of uranium concentrates over a six-year period. The contracts were executed through its subsidiary, UEC US Uranium LLC, according to a company announcement dated November 5, 2026.
The agreements establish delivery schedules extending from 2027 through 2032, with uranium priced according to prevailing spot market prices at the time of delivery.
Neither contract includes fixed prices, minimum or maximum price limits, or discounts, maintaining the company’s existing approach of selling uranium without price hedging.
Uranium Supply Contracts Cover 1.1 Million Pounds
Under the first agreement, Uranium Energy Corp will deliver 100,000 pounds of uranium concentrates annually from 2027 through 2032.
The second contract provides for deliveries of 100,000 pounds per year between 2028 and 2032.
Together, the agreements cover 1.1 million pounds of uranium concentrates, known as U₃O₈, over the contractual delivery periods.
The first contract accounts for 600,000 pounds across six years, while the second covers 500,000 pounds over five years.
Both agreements were signed with US nuclear utilities through UEC US Uranium LLC.
The company did not disclose the identities of the utility customers or the total monetary value of the contracts.
Contracts Use Spot Market Pricing Without Fixed Price Limits
The agreements provide for uranium deliveries to be priced at prevailing spot market levels rather than at predetermined fixed prices.
According to Uranium Energy Corp, neither contract contains price floors, price ceilings, discounts or fixed pricing provisions.
This arrangement is consistent with the company’s unhedged uranium sales strategy, under which realized revenue depends on market prices when deliveries occur.
The company reported an average realized uranium sales price of $93.13 per pound during fiscal 2026.
Future realized prices under the new contracts will depend on uranium spot market conditions at the relevant delivery dates.
The pricing structure allows Uranium Energy Corp to participate in potential increases in uranium prices, while also leaving realized sales prices exposed to market declines.
Management Comments on Uranium Sales Strategy
Scott Melbye, Executive Vice President of Uranium Energy Corp, said the agreements follow the company’s established approach to uranium sales.
“These contract terms reflect our patient and disciplined unhedged sales approach, which has delivered peer-leading realized pricing and gives our shareholders further exposure to tightening market conditions,” Melbye said.
The contracts provide scheduled delivery volumes without establishing fixed revenue amounts in advance.
As a result, the financial contribution of the agreements will depend on uranium market prices during the delivery period from 2027 through 2032.
The company has maintained its preference for market-linked pricing rather than entering into agreements that establish fixed selling prices over multiple years.
US Nuclear Programmes Could Require Additional Domestic Uranium
Uranium Energy Corp also highlighted potential demand for domestically sourced uranium associated with US government nuclear programmes.
The company noted that the National Nuclear Security Administration has outlined a requirement for approximately 4 million pounds annually of unobligated US-origin uranium.
Deliveries associated with that requirement could begin as early as 2030.
UEC also referred to US Army plans to deploy more than 20 microreactors, which the company said would involve similar domestic uranium sourcing requirements.
These programmes represent potential additional sources of demand for US-produced uranium, separate from the two utility supply agreements announced on November 5.
The company did not announce any contracts with the National Nuclear Security Administration or the US Army in connection with these requirements.
Texas and Wyoming Operations Identified as Potential Supply Sources
Uranium Energy Corp said its operations in Texas and Wyoming position it to participate in future domestic uranium supply requirements.
The company identified these operations as potential sources of uranium for US nuclear utilities and government-related programmes.
Its comments reflect expectations for demand from the domestic nuclear industry as well as potential government procurement initiatives.
However, the announcement did not specify production volumes allocated to the new utility agreements or provide additional details about future government supply arrangements.
The two contracts establish scheduled uranium deliveries beginning in 2027, while the potential requirements associated with federal nuclear programmes remain separate opportunities.
Uranium Energy Corp Outlook
The newly announced agreements provide Uranium Energy Corp with contracted delivery commitments totalling 1.1 million pounds of uranium concentrates through 2032.
The first deliveries are scheduled for 2027, with a second annual supply arrangement beginning in 2028.
Both contracts retain exposure to uranium spot market prices, consistent with the company’s existing unhedged sales strategy and its reported fiscal 2026 average realized price of $93.13 per pound.
Uranium Energy Corp also identified potential domestic supply requirements from US nuclear security and military programmes, citing its Texas and Wyoming operations as possible sources of production.
Future revenue from the utility contracts will depend on prevailing uranium prices when deliveries occur, while any participation in additional government supply programmes would require separate arrangements.