Energy Fuels Inc. (NYSE American: UUUU) (TSX: EFR) acquired RadTran LLC on Aug. 16 in an effort to expand its medical isotope development capabilities. Energy Fuels, based in Lakewood and known for its uranium and rare earth elements production, seeks to enhance its role in producing radioisotopes for cancer treatments through this strategic move.
RadTran specializes in the separation of radium-226 (Ra-226) and radium-228 (Ra-228) from uranium and thorium process streams. The acquisition will enable Energy Fuels to address the global shortage of these isotopes, which are critical for targeted alpha therapies in cancer treatment.
Mark Chalmers, president and CEO of Energy Fuels, said, “With this acquisition, we will be combining our unique processing capabilities at the White Mesa Mill, the only permitted and operating uranium mill in the United States, with over 40 years of chemical and metal separations experience, with RadTran’s intellectual property and medical isotope experience in radionuclide separation and concentration, which we believe will position Energy Fuels to be a leader in this developing industry.
“Additionally, what I find exciting about this initiative is that Energy Fuels has the potential to recover valuable isotopes from its existing process streams, thereby recycling back into the market material that would otherwise be lost to disposal and repurposing it for use in producing life-saving cancer treatments,” Chalmers said.
Energy Fuels and RadTran have collaborated under a Strategic Alliance Agreement since July 2021 to evaluate the feasibility of recovering Ra-226 and Ra-228 at the White Mesa Mill in Utah. Recovered isotopes aim to help produce actinium-225 (Ac-225) and lead-212 (Pb-212), crucial for TAT therapies.
Energy Fuels received regulatory approval in 2023 for R&D quantities of Ra-226 at the Mill and plans to set up a pilot facility during 2024, with production of R&D quantities expected by year-end. Commercial production capabilities could follow in 2026-2028, subject to engineering design, offtake agreements, and regulatory approvals.
The acquisition includes an initial payment of $1.5 million in cash, $1.5 million in Energy Fuels common shares, a 2% royalty on future radium revenues, and up to $14 million based on performance milestones. Saleem Drera, president and CEO of RadTran, will join Energy Fuels as vice president of radioisotopes, radiological systems and intellectual property.