enCore Energy Corp (NASDAQ: EU) (TSXV: EU) reported a net loss per share of $0.19 for the six months ended June 30, 2026, widening from $0.16 in the corresponding period of 2025. The increased loss was driven primarily by lower uranium extraction volumes and a fair value adjustment of Verdera Energy Corp shares.

Despite the financial headwinds, the company maintained robust delivery volumes. enCore delivered 485,000 pounds of uranium (U3O8) into contracts during the first half of 2026, compared to 350,000 pounds in the same period last year. The average sales price rose to $70.10 per pound from $62.58 in the prior year period.

Operational Performance

Uranium extraction declined sharply year-over-year. The company extracted 131,274 pounds of U3O8 in H1 2026, down from 317,613 pounds in H1 2025. This drop in production efficiency led to higher unit costs. The weighted average cost of delivered U3O8 increased to $75.54 per pound (including 360,000 purchased pounds) from $59.42 per pound in the prior year. Extraction costs specifically rose to $57.36 per pound from $42.92 per pound.

Balance Sheet and Liquidity

As of June 30, 2026, enCore held total liquidity of $88.4 million. This includes $21.8 million in unrestricted cash, $52.2 million in marketable securities, and $14.4 million in inventory. Adjusted total liquidity, which excludes $14.9 million in Verdera Energy Corp marketable securities, stood at $73.5 million. The company closed with an inventory balance of 203,304 pounds of U3O8 at a weighted average cost of $70.81 per pound.

Project Updates and Outlook

The company provided updates on its key projects:

• Alta Mesa: Final permitting for Wellfield 3 Extension is anticipated in Q4 2026. Wellfield 7 is scheduled to cease recovery in Q3 2026 due to depletion. Final permits for Wellfield 8 are expected by end of Q1 2027.
• Alta Mesa East: Drilling with 3 to 5 rigs continued throughout the quarter. Results have met or exceeded expectations, and initial permitting is underway.
• Rosita and Upper Spring Creek: Initial start-up extraction from Upper Spring Creek is anticipated upon receipt of final permits in Q4 2026. Costs have been fully expensed in prior periods.
• Dewey Burdock: The project received a 20-year renewal of its Source Materials License effective until June 2046. It has received all necessary federal permits and entered South Dakota state permitting on June 15, 2026. Development is anticipated in 2028, subject to state permits.

In July 2026, management executed a workforce reduction to rationalize staffing needs. While initiated in Q2, significant savings are expected to be realized starting in Q3 2026 financials.

What the Numbers Show

A critical divergence exists between sales volume and production capability. While enCore increased uranium deliveries by nearly 40% through a combination of own-production and purchases, its own extraction volume fell by 58%. This reliance on purchased inventory (360,000 lbs included in the weighted average cost calculation) drove the weighted average cost of goods sold above the average sales price ($75.54 vs $70.10), creating a negative gross margin on delivered units and contributing directly to the widened net loss.

enCore Energy Corp. announced that the Nuclear Regulatory Commission (NRC) has issued a Finding of No Significant Impact (FONSI) regarding the Dewey Burdock Uranium Project's 20-year Source Materials License renewal. With this finding, the NRC stated it will renew the license if enCore, through its wholly-owned subsidiary Powertech USA, Inc., demonstrates it will continue to meet safety requirements for the construction and operation of an In-Situ Recovery (ISR) facility. The NRC safety evaluation review is the final step in the renewal process, for which enCore has provided all necessary information and material under the existing license.

The NRC also issued a Programmatic Agreement satisfying its obligations under Section 106 of the National Historic Preservation Act. This agreement outlines a phased process for compliance and analysis to protect cultural and historic resources. This decision follows the recent Bureau of Land Management (BLM) authorization allowing the commencement of infrastructure construction on approximately 240 acres of BLM-managed public land within the larger 10,580-acre project area in Custer and Fall River counties.

The BLM authorized work includes the construction of portions of primary and secondary access roads, light-use roads, four groundwater monitoring wells, and overhead power lines. The BLM issued its final decision following an Environmental Assessment (EA) and a Finding of No Significant Impact, accepting public comments for 30 days prior to the conclusion. William M. Sheriff, Executive Chair of enCore Energy, highlighted the importance of federal permitting coordination within the Fast 41 program in advancing the project.

Mineral Resource Summary

The Dewey Burdock Project utilizes ISR technology to recover uranium from subsurface sandstone ore bodies. The following table outlines the mineral resources for the project as of October 8, 2024.

Mineral resources are estimated using a minimum grade-thickness cut-off of 0.20 ft% U3O8. Inferred mineral resources are estimated with a level of sampling sufficient to determine geological continuity but with less confidence in grade and geological interpretation such that they cannot be converted to mineral reserves. John M. Seeley, Ph.D., P.G., C.P.G., enCore's Vice President of Exploration and Development, reviewed and approved the technical disclosure.