Uranium Energy Stock

Uranium Energy Corp. (UEC) operates as a uranium mining company.

The company is engaged in conventional and in situ recovery (ISR) uranium extraction and recovery, along with the exploration, permitting and evaluation of uranium properties in the United States, the Republic of Paraguay, and Canada.

UEC is working towards fueling the global demand for carbon-free nuclear energy, a key solution to climate change, and energy source for the low-carbon future.

UEC is a pure-play uranium company and is advancing its next generation of low-cost, environmentally friendly, in-situ recovery (‘ISR’) mining uranium projects. The company has two extraction ready ISR hub and spoke platforms in South Texas and Wyoming, anchored by fully licensed and operational processing capacity at its Hobson and Irigaray plants.

UEC also has seven U.S. ISR uranium projects with all of their major permits in place, with additional diversified holdings of uranium assets across the U.S., Canada and Paraguay.

The company is predominantly engaged in uranium mining and related activities, including exploration, pre-extraction, extraction and processing, on uranium projects located in the United States, Canada, and the Republic of Paraguay.

The company has one uranium mine located in the state of Texas, the company’s Palangana Mine, which utilizes ISR mining and commenced extraction of U3O8, or yellowcake, in November 2010. The company has one uranium processing facility located in the state of Texas, the company’s Hobson Processing Facility, which processes material from the company’s ISR Mines into drums of U3O8, the company’s only sales product and source of revenue, for shipping to a third-party storage and sales facility. Since commencement of uranium extraction from the company’s ISR Mines in November 2010 to July 31, 2023, the company’s Hobson Processing Facility has processed 578,000 pounds of U3O8.

The company’s fully-licensed and 100%-owned Hobson Processing Facility forms the basis for the company’s regional operating strategy in the state of Texas, specifically in the South Texas Uranium Belt, where the company utilizes ISR mining. The company utilizes a ‘hub-and-spoke’ strategy whereby the Hobson Processing Facility acts as the central processing site (the ‘hub’) for the company’s Palangana Mine and future satellite uranium mining activities, such as the company’s Burke Hollow and Goliad Projects, located within the South Texas Uranium Belt (the ‘spokes’). The Hobson Processing Facility has a physical capacity to process uranium-loaded resins up to a total of two million pounds of U3O8 annually and is licensed to process up to four million pounds of U3O8 annually.

With the acquisition of U1A in 2022, the Irigaray Processing Facility forms the focus of the company’s regional operating strategy in the Powder River and Great Divide uranium districts in the state of Wyoming. The Irigaray plant has a licensed capacity of 2.5 million pounds of U3O8 per year, with the potential to process uranium from eleven satellite ISR projects in the state, including four fully permitted projects.

Recently, the company acquired a substantial portfolio of projects in Canada, with the purchase of UEX and the Roughrider Project from a subsidiary of Rio Tinto plc (‘Rio Tinto’). The UEX portfolio consists of a mix of uranium deposits, primarily focused on the Athabasca Basin uranium district in Saskatchewan, Canada. This includes interests in the Shea Creek, Christie Lake, Horseshoe Raven, Millennium and Wheeler River projects. In addition to advancing its uranium development projects through its ownership interest in JCU (Canada) Exploration Company, Limited, UEX was advancing several other uranium deposits in the Athabasca Basin which include the Paul Bay, Ken Pen and Orora deposits at the Christie Lake Project, the Kianna, Anne, Colette and 58B deposits at its 49.1%-owned Shea Creek Project, and the Horseshoe and Raven deposits located on its 100%-owned Horseshoe-Raven Project. The Roughrider Project is an exploration stage asset, having been advanced by Rio Tinto over a decade of work. The acquisition brought in an exploration stage, high-grade, conventional asset into UEC’s portfolio that, along with the UEX acquisition, begins to develop a critical mass of 100% owned resources in the Athabasca Basin to accelerate extraction and/or production plans. The two transactions provide a portfolio of medium to long term, high-grade, conventional projects that complement the company’s nearer term, U.S. ISR assets.

In August 2023, the company acquired a portfolio of exploration-stage projects in the Athabasca Basin, Saskatchewan, Canada, for CAD$1.5 million from Rio Tinto Exploration Canada Inc., a subsidiary of Rio Tinto, whereby the company acquired a 60% equity stake in the Henday Lake joint venture, 100% of the Milliken project and a 50% equity stake in the Carswell joint venture project. With this transaction, the company added an additional 44,444 acres of prospective ground in the Athabasca Basin to the company’s existing portfolio.

As of July 31, 2023, the company hold certain mineral rights in various stages in the states of Arizona, Colorado, New Mexico, Texas and Wyoming, in Canada and in the Republic of Paraguay, many of which are located in historically successful mining areas and have been the subject of past exploration and pre-extraction activities by other mining companies.

The company’s operating and strategic framework is based on expanding the company’s uranium extraction activities, which includes advancing certain uranium projects with established mineralized materials towards uranium extraction, and establishing additional mineralized materials on the company’s existing uranium projects or through acquisition of additional uranium projects.

Physical Uranium Program

The company is investing in building the next generation of environmentally friendly uranium projects that will be competitive on a global basis.

During the year ended July 31, 2023 (Fiscal 2023), the company made significant advancements in various aspects of the company’s operations, including:

The company completed and filed TRS reports in accordance with S-K 1300 disclosing mineral resources for each of the company’s Texas ISR Hub and Spoke, updated Wyoming ISR Hub and Spoke, Shea Creek, Horseshoe-Raven, Workman Creek and Roughrider Projects on August 11, 2022, September 14, 2022, January 13, 2023, January 24, 2023, March 16, 2023 and May 2, 2023, respectively;

The company completed the acquisition of UEX on August 19, 2022, making the company one of the largest diversified North American focused uranium companies;

The company completed the acquisition of the Roughrider Project on October 14, 2022. The acquisition of the Roughrider Project represented an opportunity to scale-up in the high-grade Eastern Athabasca Basin of Saskatchewan, Canada;

The company expanded licensed capacity to four million pounds of U3O8 annually at the company’s Hobson Processing Facility, distinguishing the plant as having the largest licensed capacity in Texas and the second largest in the United States; and

The company commenced a drilling campaign at the company’s 82.77% owned Christie Lake Project and drilled 19,778.9 meters.

In-Situ Recovery (ISR) Mining

The company utilizes in-situ recovery or ISR uranium mining for its South Texas projects, as well as the company’s Reno Creek Project in Wyoming, and will continue to utilize ISR mining whenever such an alternative is available to conventional mining.

Hobson Processing Facility

The company’s Hobson Processing Facility is located in Karnes County, Texas, about 100 miles northwest of Corpus Christi. It was originally licensed and constructed in 1978, serving as the hub for several satellite mining projects until 1996, and completely refurbished in 2008. On December 18, 2009, the company acquired the Hobson Processing Facility as part of the company’s acquisition of STMV.

With a physical capacity to process uranium-loaded resins up to a total of two million pounds of U3O8 annually and licensed to process up to four million pounds of U3O8 annually, the company’s fully-licensed and 100%-owned Hobson Processing Facility forms the basis for the company’s ‘hub-and-spoke’ strategy in the state of Texas, specifically in the South Texas Uranium Belt, where the company utilizes ISR mining.

Palangana Mine

The company holds various mining lease and surface use agreements generally having an initial five-year term with extension provisions, granting the company the exclusive right to explore, develop and mine for uranium at the company’s Palangana Mine, a 6,969-acre property located in Duval County, Texas, approximately 100 miles south of the Hobson Processing Facility.

On December 18, 2009, the company acquired the Palangana Mine as part of the company’s acquisition of STMV. In November 2010, the Palangana Mine commenced uranium extraction utilizing ISR mining and in January 2011 the Hobson Processing Facility began processing resins received from the Palangana Mine.

Mineral Properties

The company conducts its ISR activities through two district scale hubs located in Wyoming and Texas. The Irigaray Central Processing Plant (‘CPP’) is located in northeastern Wyoming, was acquired in December 2021 through the acquisition of U1A. The Hobson CPP is located in south Texas, which it acquired in 2009 from Uranium One.

The Wyoming hub is consisted of the following material ISR projects that are intended to feed resources into the Irigaray CPP: Christensen Ranch, Charlie, Reno Creek, Moore Ranch, Ludeman, Allemand-Ross, Barge, Jab/West Jab, the Nine Mile Lake, Red Rim and Clarkson Hill. Please refer to Summary Disclosure Tables 1, 2, 3 and 4 for detailed information on each project. Production from existing wellfields at Christensen Ranch ceased in 2018 and the project was put in care and maintenance mode. Processing of toll resins from other projects continues at the Irigaray CPP. In order for Christensen Ranch to engage in future uranium extraction, the company will need to incur capital expenditures to restart idled wellfields.

The United States Properties

Wyoming Properties

The Irigaray CPP is fully permitted. The Christensen Ranch, Ludeman and Moore Ranch project areas are fully permitted for ISR operations through both the Wyoming Department of Environmental Quality/Land Quality Division (WDEQ/LQD) and the BLM as appropriate. Portions of the Irigaray and Reno Creek project areas are also permitted for ISR operations.

The Allemand-Ross, Barge, Charlie, Clarkson Hill, Jab/West Jab, Nine Mile and Red Rim project areas are not permitted. Portions of the Reno Creek project area and the majority of the Irigaray project area are also not permitted for ISR operations.

The Allemand-Ross, Barge, Charlie, Christensen Ranch, Irigaray, Ludeman, Moore Ranch, Nine Mile and Reno Creek project areas reside in the Powder River Basin (‘PRB’). The PRB is a structural basin that extends over much of northeastern Wyoming and southeastern Montana and consists of a large north-northwest trending asymmetric syncline. The basin is bounded by the Big Horn Mountains on the west and Casper Arch to the southwest, the Black Hills to the east and the Hartville Uplift and Laramie Mountains to the south. The PRB is filled with marine, non-marine and continental sediments ranging in age from early Paleozoic through Cenozoic.

The Jab/West Jab and Red Rim project areas are located within the northeastern portion of the Greater Green River Basin (‘GGRB’). The GGRB is a structural basin that extends over southwestern Wyoming and northwestern Colorado and is divided by the Rock Springs Uplift, a north-south trending anticline. The basin is bounded by the Wyoming thrust belt to the west, the Rawlins Uplift and the Sierra Madre Mountains to the east, the Wind River Mountains to the north and the Uinta Mountains to the south. The GGRB contains up to 25,000 feet of Cretaceous to recent sedimentary rocks.

The Clarkson Hill project area is located in the eastern portion of the Wind River Basin (‘WRB’). The WRB is a structural basin in west-central Wyoming. The basin is bounded by the Wind River Range to the west, the Casper Arch to the east, the Owl Creek Mountains to the north and the Granite Mountains to the south. The WRB is filled with marine, lacustrine and fluvial sediments ranging in age from Paleozoic to Cenozoic.

The Jab/West Jab and Red Rim project areas are located within the northeastern portion of the Great Divide Basin.

The Great Divide Basin (‘GDB’) and the Washakie Basin (‘WB’) in the southwest together comprise the Greater Green River Basin (‘GGRB’).

The Clarkson Hill project area is located in the eastern portion of the Wind River Basin (‘WRB’).

Material Project Descriptions in Wyoming

Irigaray CPP

The Irigaray Project Area is located in Johnson County, Wyoming, northwest of Pumpkin Buttes and near Willow Creek, within the PRB, at latitude 43.8683 and longitude 106.1186 in decimal degrees. The Irigaray Project Area covers 2,320 acres, including all (or portions of) 12 sections of the PRB.

UEC’s mineral holdings in the Irigaray Project Area include two State of Wyoming uranium leases (480 acres) and 92 unpatented lode claims on federally administered minerals (1,840 acres). These mineral holdings comprise 2,320 acres. All payments for all leases and claims are up to date.

The Christensen Ranch Project Area is located in Johnson and Campbell Counties, Wyoming. The Christensen Ranch Project Area covers 11,140 acres, including all (or portions of) 30 sections of the PRB.

UEC’s mineral holdings in the Christensen Ranch Project Area include one State of Wyoming uranium lease (1,280 acres), 358 unpatented lode claims on federally administered minerals (9,140 acres) and one fee (private) mineral lease (720 acres). These mineral holdings comprise 11,140 acres. All payments for all leases and claims are up to date.

The Christensen Ranch Project Area targets mineralization in the Eocene-aged Wasatch Formation of the Powder River Basin.

Moore Ranch ISR Project

The Moore Ranch Project Area is located in Campbell County, Wyoming, the southern portion of the Pumpkin Buttes within the PRB, at latitude 43.5652 and longitude -105.8480 in decimal degrees. The Moore Ranch Project area covers 4,180 acres, including all (or portions of) 16 sections of the PRB.

UEC’s mineral holdings within the Moore Ranch Project Area include three State of Wyoming uranium leases (1,280 acres), 86 unpatented lode claims on federally administered minerals (1,720 acres) and four fee (private) mineral leases (1,180 acres). These mineral holdings comprise 4,180 acres. All payments for all leases and claims are up to date.

Reno Creek ISR Project

The Reno Creek Project Area is in Campbell County, Wyoming, within the PRB, at latitude 43.6796 and longitude -105.7226 in decimal degrees. The Reno Creek Project Area covers 18,763 acres, including all (or portions of) 46 sections of the PRB.

UEC’s mineral holdings in the Reno Creek Project Area include four State of Wyoming uranium leases (3,200 acres), 549 unpatented lode claims on federally administered minerals (10,980 acres) and 36 fee (private) mineral leases (4,583 acres). The mineral holdings comprise 18,763 acres. All payments for all leases and claims are up to date.

The Reno Creek Project Area targets mineralization in the Eocene-aged Wasatch Formation.

Ludeman ISR Project

The Ludeman Project Area is located in Converse County, Wyoming, in the southern portion of the PRB, at latitude 42.9119 and longitude -105.6277 in decimal degrees. The Ludeman Project Area covers 18,101.89 acres, including all (or portions of) 31 sections of the PRB.

UEC’s mineral holdings in the Ludeman Project Area include four State of Wyoming uranium leases (1,440 acres), 746 unpatented lode claims on federally administered minerals (14,920 acres) and two fee (private) mineral leases (1,741.89 acres). These mineral holdings comprise 18,101.89 acres. All payments for all leases and claims are up to date.

Allemand-Ross ISR Project

The Allemand-Ross Project Area is located in Converse County, Wyoming, in the southern PRB Uranium District of Wyoming, at latitude 43.3101 and longitude -105.7787 in decimal degrees. The Allemand-Ross Project Area covers 13,331.72 acres, including all (or portions of) 21 sections within three townships of the PRB.

UEC’s mineral holdings in the Allemand-Ross project area include three State of Wyoming uranium leases (958 acres), 452 unpatented lode claims on federally administered minerals (9,040 acres) and seven fee (private) mineral leases (3,333.72 acres). These mineral holdings comprise 13,331.72 acres. All payments for all leases and claims are up to date.

Barge ISR Project

The Barge Project Area is located in Converse County, Wyoming, the southern portion of the PRB Uranium District of Wyoming, at latitude 43.2729 and longitude -105.5905 in decimal degrees. The Barge Project Area covers 7,480 acres, including all (or portions of) 18 sections of the PRB.

UEC’s mineral holdings in the Barge project area include one State of Wyoming uranium lease (640 acres) and 342 unpatented lode claims on federally administered minerals (6,840 acres). These mineral holdings comprise 7,480 acres. All payments for the lease and claims are up to date.

Jab/West Jab ISR Project

The Jab/West Jab Project Area is located in the GDB in Fremont and Sweetwater counties, Wyoming. The Jab/West Jab Project Area consists of two separate areas of mining claims and state leases separated by less than two miles in the GDB. The Jab/West Jab Project Area is located in both Fremont and Sweetwater Counties in all or portions of 11 sections (5,300 acres), at latitude 42.2611 and longitude -108.1225 in decimal degrees.

UEC’s mineral holdings in the Jab/West Jab Project Area include three State of Wyoming uranium leases (960 acres) and 217 unpatented lode claims on federally administered minerals (4,340 acres). These mineral holdings comprise 5,300 acres. All payments for all leases and claims are up to date.

Charlie ISR Project

The Charlie Project Area is in the PRB in Johnson County at latitude 43.8274 and longitude -106.0594 in decimal degrees. It is surrounded by the Christensen Ranch Project Area. The Charlie Project Area covers 820 acres, including all (or portions of) two sections of the PRB.

UEC’s mineral holdings in the Charlie project area include one State of Wyoming uranium lease (720 acres) and five unpatented lode claims on federally administered minerals (100 acres). These mineral holdings comprise 820 acres. All payments for the lease are up to date.

Nine Mile Lake ISR Project

The Nine Mile Lake Project Area is located in Natrona County, Wyoming, in the PRB, at latitude 42.9807 and longitude -106.3278 in decimal degrees. The Nine Mile Lake Project Area covers all or portions of approximately 22 sections of the PRB.

UEC’s mineral holdings in the Nine Mile project area include two State of Wyoming uranium leases (1,280 acres), 67 unpatented lode claims on federally administered minerals (1,340 acres). These mineral holdings comprise 2,620 acres. All payments for all leases and claims are up to date.

Red Rim Project

The Red Rim Project Area is in the GGRB in Carbon County at latitude 41.6502 and longitude -107.5755 in decimal degrees. The Red Rim Project Area covers 680 acres, including all (or portions of) four sections.

UEC’s mineral holdings in the Red Rim Project Area include 34 unpatented federal mining lode claims (680 acres). All payments for all claims are up to date.

Clarkson Hill Project

The Clarkson Hill Project is located in Natrona County, Wyoming. UEC’s mineral holdings in the Clarkson Hill Project Area include 20 unpatented lode claims on federally administered minerals (400 acres). All payments for all claims are up to date.

Texas Properties

ISR Uranium Activities in Texas

The company’s ISR operations in Texas consist of the following projects, (i) the Hobson CPP; (ii) the Palangana Project; (iii) the Burke Hollow Project; (iv) the Goliad Project; and (v) the Salvo Project. Production from existing wellfields at the Palangana Project ceased in 2016 and the project was put in care and maintenance mode. In order for Palangana to engage in future uranium production, the company will need to incur capital expenditures to restart idled wellfields.

Material Properties in Texas

Hobson CPP

The Hobson Project Area is located in Karnes County, Texas, northwest of Karnes City. The Hobson CPP consists of a resin transfer circuit for loading/unloading IX resin from tanker trucks, an elution circuit to strip uranium from the IX resin, a circuit to precipitate uranium oxide solids, a yellowcake thickener (if necessary) and a modern, zero-emission vacuum dryer.

Palangana Project

The Palangana Project Area is 25 miles west of the town of Alice, Texas, and 15 miles to the southeast of Freer, Texas, in Duval County. Corpus Christi is about 65 miles to the east of the Palangana Project Area.

Burke Hollow ISR Project

UEC’s Burke Hollow Project property is located within the extensive STUP. The Burke Hollow Project consists of one fee (private) mineral leases consisted of 17,511 acres.

Goliad Project

The Goliad Project Area is located in South Texas near the northeast end of the STUP. The Goliad Project Area consists of multiple contiguous leases that would allow the mining of uranium by ISR methods.

Salvo ISR Project

The Salvo Project Area is located in South Texas near the northeast end of the STUP. The Salvo Project Area consists of two leases that would allow the mining of uranium by ISR methods.

The Salvo Project Area is also located in an area of Texas that has extensive farming activity. Most of the property is used for farming and has a high level of crop cultivation. There are two mineral leases consisted of 800 acres at the Salvo Project Area. All payments for the private lease are up to date.

Arizona Properties

Arizona Conventional Uranium Activities

UEC’s projects in Arizona include the material Anderson Project and the non-material Workman Creek Project.

Material Properties in Arizona

Anderson Uranium Project

The Anderson Project Area is located in Yavapai County, west-central Arizona.

The Anderson Project Area covers 8,268 acres (12.9 square miles) and is consisted of 386 contiguous, unpatented lode mining and placer claims totaling 7,628 acres and one Arizona State land section totaling 640 acres. It is located in western Yavapai County, approximately 75 miles northwest of Phoenix. The northern section of the Anderson Project Area holds the open-pit resource, and the adjacent southern section holds the underground resource.

The Anderson Project Area is located along the northeast margin of the Date Creek Basin of the Basin and Range Province of the western United States.

Canadian Uranium Projects

Canadian Conventional Projects

The majority of the company’s Canadian projects are considered to be potential conventional open pit or underground uranium projects. These projects are in two different geological terrains, the well-known Athabasca Basin in Saskatchewan, and the Thelon Basin in Nunavut.

Material Saskatchewan Properties

Roughrider Uranium Project

The Roughrider Project Area is located seven kms north, via gravel road, of Points North Landing, a service centre on Provincial Road 905, in the eastern Athabasca basin of northern Saskatchewan, Canada.

Horseshoe-Raven Project

The Horseshoe-Raven Project Area is in the Wollaston Lake area of Northern Saskatchewan, approximately 695 kms north of Saskatoon, southwest of Wollaston Lake. The Horseshoe-Raven Project Area measures approximately 4,486 hectares comprising one mineral claim to which UEX Corporation (‘UEX’), a wholly-owned subsidiary of UEC, has title.

UEX holds a 100% interest in the Horseshoe-Raven Project Area. The Horseshoe-Raven Project Area is located just east of the eastern margin of the Athabasca Basin.

Shea Creek Project

The Shea Creek Project Area comprises 18 mineral dispositions totaling 32,962 hectares (‘ha’) (330 km2), which are registered to and administered by ORANO. ORANO acts as project operator.

South American Uranium Properties

Paraguay ISR Properties

Material Paraguay ISR Properties

Yuty ISR Project

The Yuty Project Area is located in Paraguay, South America. UEC operates the Yuty Project Area through its wholly-owned subsidiary, Transandes Paraguay S.A. (‘TPSA’), which holds a 100% interest in the Yuty Mining Exploration and Exploitation Concession (the ‘Yuty Concession’) Contract (the ‘Contract’). The planned mining method for the Yuty Project Area is by ISR mining.

The Yuty Project Area covers an area of 289,687 acres (117,232 hectares), located in the eastern region of the country in the Department of Caazapá, 167 miles northeast of the capital of Paraguay. The geographic coordinates of the central part of the Yuty Project Area, where the bulk of past exploration has been carried out (San Antonio area in Block 1), are approximately 26°37’S and 56°20’W.

The U.S. Environmental Regulations

The company’s operations are subject to stringent environmental regulation by state and federal authorities, including the Railroad Commission of Texas (‘RCT’), the Texas Commission on Environmental Quality (‘TCEQ’), the Wyoming Department of Environmental Quality (‘WDEQ’) Land, Water and Air Quality Divisions, the United States BLM(Wyoming) and the United States Environmental Protection Agency (‘EPA’).

Texas

In Texas, where the company’s hub-and-spoke operations are anchored by the fully-licensed Hobson Processing Facility, surface extraction and exploration for uranium is regulated by the RCT, while ISR uranium extraction is regulated by the TCEQ.

As an example of the regulation that guides the company’s industry, before ISR uranium extraction can begin in Texas, a number of permits must be granted by the TCEQ.

The Aquifer Exemption request is submitted by the company to the TCEQ and, once approved, is then submitted by the TCEQ to the EPA for concurrence and final issuance.

Across all of the company’s sites, the company’s employees are required to report all injuries to their supervisor. On an annual basis, all reports are analyzed and tracked as required by the Occupational Health and Safety Association (‘OSHA’).

History

The company was founded in 2003. It was incorporated in 2003 under the laws of the state of Nevada. The company was formerly known as Carlin Gold Inc. and changed its name to Uranium Energy Corp. in 2005.