THOMPSON FALLS, MT - United States Antimony Corporation (NYSE:UAMY), a processor of critical minerals, today announced the staking of 24 new claims over 3,840 acres near Stibnite Creek in Alaska's Tok area, about 200 miles southeast of Fairbanks. This acquisition increases UAMY's holdings to 93 claims covering 14,880 acres in the state, with a focus on antimony and other critical minerals.
The area is historically known for mineralization, including stibnite, the primary source of antimony, and has reported deposits of gold, silver, copper, and zinc. The expansion supports UAMY's goal to establish domestic mineral sources for industries such as military, aerospace, and energy storage.
UAMY operates the only North American antimony smelter, which gains importance as China recently halted antimony exports. This move could enhance UAMY's position as a domestic supplier amidst efforts to secure critical minerals in the U.S.
The company processes antimony ore into various products, including antimony oxide used for flame retardants and phosphorescent agents, antimony metal in batteries and bearings, and antimony trisulfide in ammunition primers. Additionally, UAMY mines and processes zeolite in Idaho for environmental and industrial applications and recovers precious metals at its Montana facility.
The press release includes forward-looking statements regarding the company's operations and potential effects of its developments on future revenues and profitability. However, these statements are subject to numerous factors and uncertainties, and actual results may differ.
The information in this article is based on a press release statement from United States Antimony Corporation.
In other recent news, United States Antimony Corporation (UAMY) reported a 26% increase in revenues and a 122% rise in gross profit in its second quarter and six months ended financial results. The company's antimony business experienced a 36% surge in sales, while the zeolite segment saw a 26% increase in sales, despite a decrease in gross profit. United States Antimony Corporation has also closed operations in Mexico, which contributed to a $1.1 million revenue but resulted in a $150,000 loss.
The company is actively expanding its reach in the zeolite market and has hired a lobbying firm to educate government officials about zeolite's benefits. As part of its strategic efforts to improve profitability and expand production, significant capital spending was made to improve processing facility efficiency. United States Antimony Corporation is also focused on turning the business around and improving profitability, with management changes and operational issue fixes in place to boost the zeolite business.
In terms of future expectations, United States Antimony Corporation is confident in its zeolite reserves and is planning to expand production. The company is also optimistic about new ventures and opportunities for growth, actively engaging in outreach and market awareness strategies, including developing new zeolite products, upgrading subpar antimony material, and seeking additional antimony sources. These are the recent developments for United States Antimony Corporation.
InvestingPro Insights
United States Antimony Corporation's (NYSE:UAMY) recent expansion of its claims in Alaska aligns with its strategic focus on critical minerals, particularly antimony. This move comes at a time when the company is experiencing significant growth, as evidenced by InvestingPro data showing a 18.08% revenue growth in the last twelve months as of Q2 2024, with quarterly revenue growth reaching 24.22% in Q2 2024.
Despite this growth, InvestingPro Tips highlight that UAMY is not currently profitable and suffers from weak gross profit margins. The company's gross profit margin stands at -24.28% for the last twelve months as of Q2 2024, indicating challenges in operational efficiency. However, the expansion of claims could potentially improve these metrics in the long term by securing valuable mineral resources.
The market seems to be responding positively to UAMY's strategic moves, with InvestingPro data showing a strong 169.18% price return over the last six months. This aligns with an InvestingPro Tip noting a "large price uptick over the last six months." Additionally, the company's liquid assets exceeding short-term obligations suggest financial stability as it pursues expansion.
Investors considering UAMY should note that while the company does not pay a dividend, it operates with a moderate level of debt, which could provide flexibility for future growth initiatives. For a more comprehensive analysis, InvestingPro offers 5 additional tips that could provide deeper insights into UAMY's financial health and market position.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.