Scott Melbye: Uranium Energy Corp’s Production Launch & Future Plans

Michael Fox interviews Scott Melbye, Executive VP of Uranium Energy Corp (NYSE:UEC), about UEC’s transition from development to uranium production. The company has started production with costs under $40/lb and plans to begin operations at Burke Hollow, South Texas, by year-end. UEC operates three production centers with a licensed capacity of 12 million pounds annually and 300 million pounds of resources nearby, positioning it as a key player in the uranium market.

Scott shares insights on UEC’s production targets and flexibility, aiming for up to 12 million pounds per year by 2030, aligning with U.S. utility uranium demand of 45-50 million pounds. He highlights growing uranium demand driven by nuclear power expansion, AI, data centers, and electrification. The discussion covers uranium market strength, with prices around $80-81/lb.

The interview delves into UEC’s plans for a 10,000-ton uranium refining and conversion facility in the U.S.—the largest and most modern of its kind—as part of a vertical integration strategy supported by strong government policy and potential loan guarantees or equity investments. The new plant aims to address the domestic processing deficit by producing 10,000 tons, complementing existing U.S. facilities and supporting the domestic fuel cycle with concentrates from North America and Europe.

Scott also discusses the impact of Russia’s uranium export ban, creating a 5,000-ton market gap, and the importance of scalable domestic enrichment plants. Policy highlights include efforts to classify uranium as a critical mineral, build a U.S. uranium stockpile, extend import bans, and advance the strategic uranium reserve initiative. Upcoming Defense Production Act meetings and Section 232 investigations aim to reduce foreign uranium reliance.

Finally, Scott emphasizes nuclear energy’s role in U.S. energy security, calling for energy capacity additions rather than transitions. Both Scott and Michael highlight bipartisan support for nuclear power as a carbon-free, baseload source, warning of energy reserve shortfalls and urging streamlined licensing and private investment to accelerate new plant construction.

https://www.uraniumenergy.com/