Uranium Energy Corp. Shares Surge on Positive Sweetwater Complex Update

Uranium Energy Corp. (UEC) posted a significant rally in share price after announcing an operational update from its Sweetwater Uranium Complex in West Texas. The company confirmed that recent drilling and resource modeling have expanded the confirmed mineral inventory, with inferred resources now estimated at 4.2 million pounds of U3O8. This marks a 22% increase from prior estimates and underscores the project's long-term viability. The update comes at a pivotal time for uranium markets, where prices have risen over 30% year-to-date due to renewed nuclear energy investments in the U.S., Europe, and Asia. Sweetwater’s low-cost, in-situ recovery (ISR) operations position UEC as a key player in the domestic supply chain, with production capacity expected to reach 1.5 million pounds of U3O8 annually by 2027. The project is also advancing toward full regulatory compliance, with the U.S. Nuclear Regulatory Commission (NRC) nearing final permitting. The market reacted swiftly: UEC stock rose 28% in early trading, outpacing the broader materials sector. Competitor shares, including Uranium Royalty Corp. (URB) and U.S. Physical Uranium Corp. (UUR), also climbed, with URB up 14% and UUR gaining 11%. Analysts note that the Sweetwater update reduces execution risk and strengthens UEC’s credibility as a near-term supplier in a constrained market. Investors are now pricing in increased confidence in the company’s ability to deliver consistent output. The update also boosts the attractiveness of U.S.-based uranium producers amid national security concerns over foreign supply dependencies, particularly from Kazakhstan and Russia.