S&P/ASX 200 Index (ASX: XJO) uranium stock Boss Energy Ltd (ASX: BOE) is feeling the selling heat today.
Boss Energy shares closed yesterday, trading for $2.70. In morning trade on Wednesday, shares are swapping hands for $2.56 apiece, down 5.2%.
For some context, the ASX 200 is down 1.7% at this same time.
This underperformance comes despite a positive production update from Boss Energy, which was released this morning.
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ASX 200 uranium stock ramps up production
Boss Energy shares aren't getting a boost yet from the production update for its Honeymoon Uranium Mine, located in South Australia.
On 22 April, the ASX 200 uranium stock announced the production of its first drum of uranium at Honeymoon.
Today, management reported that commissioning and ramp-up to steady-state production are proceeding according to plan, with key production metrics meeting the feasibility study forecasts.
According to the release, Boss Energy's first NIMCIX production column has achieved nameplate uranium production.
Following that first drum of uranium in April, July, and August, Boss Energy produced 72,516 pounds of the radioactive metal.
Looking ahead, the miner said that the commissioning of its second NIMCIX column is underway. This will reportedly "ensure" that the Honeymoon Uranium Mine remains on track to meet Boss Energy's FY 2025 production target of 850,000 pounds of uranium.
The ASX 200 uranium stock also said that construction of its third NIMCIX column is on target for commissioning and production in the December quarter.
Commenting on the progress, Boss Energy managing director Duncan Craib said, "We continue to meet or exceed all of our key targets and are comfortably on track to meet our production guidance."
Craib added:
The first IX circuit is now operating at nameplate capacity, proving that the technology works at the rate and scale forecast in the feasibility study. This is a pivotal point in the project's development.
Commissioning of the second IX circuit is underway and construction of the third is advancing rapidly.
Supplies of the pregnant leach solution, grades and extraction rates are meeting or exceeding our targets and overall uranium production rates are rising in line with the schedules in the feasibility study.
The ASX uranium stock highlighted that each new NIMCIX production column that comes online will result in a proportional increase in production and lower the cost per pound produced.
Boss Energy share price snapshot
It's been a tough year for the ASX 200 uranium stock, with shares now down 40% in 2024.
