URANIUM RESOURCES, INC.
EMERGING URANIUM PRODUCTION
London, New York & Toronto
10 – 12 November 2015
Christopher M. Jones
President and Chief Executive Officer
Uranium Resources, Inc.
(Nasdaq: URRE)
(ASX:URI)
CAUTIONARY STATEMENT
This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are subject to risks, uncertainties and assumptions and are identified by words such as “expects,” “estimates,” “projects,” “anticipates,” “believes,” “could,” and other similar words. All statements addressing operating performance, events, or developments that Uranium Resources Inc. (“URI”) expects will occur in the future, including but not limited to statements relating to (i) resulting cost savings, synergies and other expectations as a result of the transaction between URI and Anatolia Energy Limited, (ii) the ability to optimize technical and operational components of the combined business, the timing and results of the updated Pre-Feasibility Study for the Temrezli project, (iii) the timing, occurrence, rates and cost of production at the properties in the United States and Turkey, including statements regarding future growth pipeline, the timing and completion of the proposed transaction with Laramide Resources Ltd., (iv) the cost of uranium production at the properties, (v) capital resources, capitalization and ownership, including relationships with major shareholders, (vi) additions of reserves and resources, the timing of the analysis of historical data, and the occurrence, extent and results of any future exploration program, including drilling, (vii) mineral resources and exploration results, which includes inferred resources (see “Cautionary Note Regarding References to Resources and Reserves”), (viii) future improvements in the demand for and price of uranium and growth in nuclear generating capacity, (ix) adequacy of funding and access to capital markets, and (x) plans for capital management, revenue, cash generation and profits are forward-looking statements.
Because they are forward-looking, they should be evaluated in light of important risk factors and uncertainties.
These risk factors and uncertainties include, but are not limited to, (i) the ability to enter into and close upon definitive documentation with Laramide Resources Ltd., (ii) the ability to raise additional capital in the future, (iii) worldwide demand for uranium, including specifically the spot price and long-term contract price of uranium, (iv) the ability to reach agreements with any royalty holders, (v) operating conditions at the projects, including without limitation weather conditions, (vi) government (including tribal governments) regulation of the uranium industry and the nuclear power industry, (vii) maintaining sufficient financial assurance in the form of sufficiently collateralized surety instruments, (viii) unanticipated geological, processing, regulatory and legal or other problems which may be encountered, (ix) the ability to enter into and successfully close acquisitions or other material transactions, (x) the fact that NI 43-101 reports describe various types of “resources” which are not recognized by the SEC, inferred resources are the lowest standard of resource allowed under NI 43-101 standards and may not qualify as “mineralized material” under SEC staff positions, “reserves” are defined differently by the SEC and under NI 43-101 standards (see “Cautionary Note Regarding References to Resources and Reserves”), (xi) access rights, (xii) timely receipt of recovery and other permits from regulatory agents, and (xiii) other factors which are more fully described in the URI’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and other filings with the SEC, and Anatolia’s Annual Report.
Should one or more of these risks or uncertainties materialize, or should any of the underlying assumptions prove incorrect, actual results may vary materially from those currently anticipated. In addition, undue reliance should not be placed on forward-looking statements. Except as required by law, Anatolia and URI disclaim any obligation to update or publicly announce any revisions to any of the forward-looking statements contained in this presentation.
CAUTIONARY NOTE REGARDING REFERENCES TO RESOURCES AND RESERVES
URI discloses mineral resources, including inferred resources, pursuant to the Canadian Institute of Mining, Metallurgy and Petroleum Standards (CIM Standards) for reporting mineral resources and reserves, and Canadian National Instrument 43-101 (NI 43-101). Investors are cautioned that the requirements and terminology of NI 43-101 and the CIM Standards differ significantly from the requirements and terminology of the SEC set forth in the SEC’s Industry Guide 7 (“SEC Industry Guide 7”). Accordingly, the Company’s disclosures regarding mineralization may not be comparable to similar information disclosed by the Company in the reports it files with the SEC. Without limiting the foregoing, while the terms “mineral resources,” “inferred resources,” “indicated resources” and “measured mineral resources” are recognized and required by NI 43-101 and the CIM Standards, they are not recognized by the SEC and are not permitted to be used in documents filed with the SEC by companies subject to SEC Industry Guide 7. Mineral resources which are not mineral reserves do not have demonstrated economic viability, and investors are cautioned not to assume that all or any part of a mineral resource will ever be converted into reserves. Further, inferred resources have a great amount of uncertainty as to their existence and as to whether they can be mined legally or economically. It cannot be assumed that all or any part of the inferred resources will ever be upgraded to a higher resource category. Under Canadian rules, estimates of inferred mineral resources may not form the basis of a feasibility study or pre-feasibility study, except in rare cases. The SEC normally only permits issuers to report mineralization that does not constitute SEC Industry Guide 7 compliant “reserves” as in-place tonnage and grade without reference to unit amounts. In addition, the NI 43-101 and CIM Standards definition of a “reserve” differs from the definition in SEC Industry Guide 7. In SEC Industry Guide 7, a mineral reserve is defined as a part of a mineral deposit which could be economically and legally extracted or produced at the time the mineral reserve determination is made, and a “final” or “bankable” feasibility study is required to report reserves, the three-year historical price (or in certain circumstances, a contract price) is used in any reserve or cash flow analysis of designated reserves and the primary environmental analysis or report must be filed with the appropriate governmental authority. URI discloses non-reserve mineralized material that is considered too speculative geologically to be categorized as reserves under SEC Industry Guide 7. Estimates of non-reserve mineralized material are subject to further exploration and development, are subject to many risks and highly speculative, and may not be converted to future reserves of URI. Investors are cautioned not to assume that all or any part of such non-reserve mineralized material exists, or is economically or legally extractible. Mineralized material that is not reserves does not have any demonstrated economic viability.
COMPETENT PERSON STATEMENTS
Information in this presentation which relates to Mineral Resources and Reserves in Texas and New Mexico is based on and fairly represents information and supporting documentation, which was compiled by and verified under the supervision of Dean T. (“Ted”) Wilton (CPG-7659) who is Chief Geologist and Vice President of Uranium Resources, and a Qualified Person under Canadian National Instrument 43-101. Mr Wilton is a Registered Professional Geologist in the State of Wyoming and is a Certified Professional Geologist by the American Institute of Professional Geologists (AIPG), a Recognised Overseas Professional Organisation (ROPO) as listed by the ASX. Mr Wilton has over 40 years of minerals industry experience, including more than 5 years of experience which are relevant to the style of mineralisation and type of deposits under consideration. By virtue of his Professional Geologist Certification from AIPG he qualifies as a “Competent Person” as defined in the 2012 Edition of the “Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Wilton consents to the inclusion of this information herein in the form and context in which it appears, and confirms that this information is an accurate representation of the available data and studies in respect of the projects to which “foreign resource estimates” relate.
Information in this presentation which relates to Anatolia’s Mineral Resources and Exploration Results is based on information compiled by Mr Dimitry Pertel and Mr Robert Annett, who are Members of the Australian Institute of Geosciences (“AIG”). Mr Pertel is employed by CSA Global Pty Ltd and Mr Annett is a non-Executive Director of Anatolia Energy Ltd. Mr Pertel and Mr Annett have over 20 years of exploration and mining experience in a variety of mineral deposit styles, and have sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the “Australasian Code for reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Pertel and Mr Annett consent to inclusion in this presentation of the matters based on their information in the form and context in which it appears.
The information in this presentation which relates to Temrezli Plant and Well field Engineering is based on information compiled by Mr Thomas Young who at the effective date of the Pre-feasibility Study was employed by TetraTech Inc. Mr Young is a Professional Engineer in the State of Colorado and is a member of a Recognised Overseas Professional Organisation (ROPO) as listed by the ASX. Mr Young has over 30 years experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code for reporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Young consents to inclusion in this presentation of the matters based on this information in the form and context in which it appears.
The information in this presentation which relates to Temrezli’s well field geology is based on and fairly represents information compiled by Mr Stephen Lunsford who at the effective date of the Temrezli Pre-feasibility Study was a consultant to TetraTech Inc. Mr Lunsford is a Professional Geologist in the State of Wyoming and is a member of a Recognised Overseas Professional Organisation (ROPO) as listed by the ASX. Mr Lunsford has over 40 years experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the “Australasian Code for rReporting of Exploration Results, Mineral Resources and Ore Reserves”. Mr Lunsford consents to inclusion in this presentation of the matters based on this information in the form and context in which it appears.
DISCLOSURE REGARDING FOREIGN ESTIMATES
5 URI wishes to confirm that the information reported in relation to the URI Mineral Resources is on the basis of a “foreign estimates” (Foreign Estimate) and as sucharenot reported in accordance with the JORC Code. The following additional information is provided in accordance with Listing Rule 5.12.
The information provided in relation to Foreign Estimates was extracted from URI’s website and various filings with the SEC (USA). URI discloses Mineral Resources, including inferred resources, pursuant to the CIM Standards and NI 43-101.
URI believes that the categories of mineralisation reported are similar to the JORC Code (2012) classification. The Foreign Estimates in their current form are considered to be accurate representations of the available data, and are the most recent Resource Statements by URI.
URI considers the Foreign Estimates to be material to URI. URI also believes that the Foreign Estimates are relevant to shareholders as they provide an indication of the current estimated mineralisation under the control of URI.
URI believes that the Foreign Estimates are sufficiently reliable and consistent with estimation methodologies commonly used at the time of their estimation. URI reported the Foreign Estimates and has been involved in the exploration and evaluation of these deposits. URI has significant experience in uranium exploration and the production of uranium from its uranium assets in South Texas, USA, and files all necessary information relating to their activities with the governing authorities (SEC).
Information relating to the key assumptions, mining and processing parameters, and methods used to prepare the Foreign Estimates are documented in a number of historic NI 43-101 reports held by URI, and various filings with the SEC.
After completion of the merger of URI and Anatolia, URI intends to evaluate the required work necessary to verify the Foreign Estimates in accordance with Appendix 5A (JORC Code).
Cautionary Statement
The foreign estimates of mineral resources and reserves in this presentation are not reported in accordance with the Australian JORC Code. A competent person has not done sufficient work to classify the foreign estimates as mineral resources or ore reserves in accordance with the JORC Code but URI notes the close similarity of the Canadian NI 43-101 and JORC classification systems. It is uncertain that following evaluation and/or further exploration work that the foreign estimates will be able to be reported as mineral resources or ore reserves in accordance with the JORC Code. This will require new estimates and future reporting under JORC (2012) after completion of the merger.
THE NEW URANIUM RESOURCES
We have
The Temrezli Project
– Low CAPEX, Low OPEX, High-Margin
We have a
Clear Pathway to Profitable Uranium Production
We have a deep pool of in-house
Uranium Expertise
We have one of the
Largest Uranium Mineralisation
bases in the USA
We have
2 Licensed Processing Facilities
in South Texas
We have a demonstrated ability to execute
Proactive M&A
1Does not include US$3.9 million in restricted cash, nor does it include any cash from recently announced LOI with Laramide Resources Ltd. 2 Subject to the successful closing of recently announced agreement. Closing is currently anticipated to occur by the end of first quarter of 2016. 3Convertible Loan with RCF, matures 31 December 2016, and is convertible into 3.076m shares at US$2.60 per share at RCF’s election
Shares outstanding
51.5 million
Options/Warrants
9.5 million
Share Price
US$0.76
A$ 1.06
Market Capitalisation
US$38.4M
A$53.7M
Cash and Equivalents
(9/30/15)
1US$3.8 million
Sale Proceeds from LOI
2$12.5 million
Convertible Note
3US$8.0 million
CORPORATE SNAPSHOT
All metrics on this slide are prepared on the basis that the merger between Uranium Resources and Anatolia Energy Limited is completed
500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 3,500,000 $0.00 $1.00 $2.00 $3.00 $4.00 $5.00 V o lu m e Sh ar e P ri ce (US $)
Major Shareholders
%
Resource Capital Fund V LP
14.3%
JP Morgan Nominees
5.5%
Global X Management Company LLC
5.4%
Azarga Resources Ltd
4.7%
RMB Resources Ltd
4.3%
Sprott
2.9%
Focus on setting the foundation for a robust long-term uranium production company
Five project level and/or M&A deals completed since November 2014
Chris Jones joins as CEO
March 2013
Reduction of overhead by US$1.5M pa through office closures
May 2013
Appointment of Jeff Vigil as Vice President and CFO
June 2013
Renegotiation of Uranium Sales Contact with ITOCHU
July 2013
Placement raises US$10.3 million
Feb 2014
Cebolleta Project Resource Update (5.7Mt @ 1700ppm U308)
April 2014
Terrence Cryan appointed to Chairman
June 2014
Juan Tafoya Project Resource Update (4.2Mt @ 1450ppm U308)
June 2014
Land Swap Deal: URI gains 5 new projects in vicinity of South Texas processing plants
Nov 2014
Exploration drilling commenced on new South Texas properties
Feb 2015
Placement to raise US$6.0 million
March 2015
Divestment of Roca Honda Project for US$ 2.5M cash, plus royalties, new acreage and shares in Energy Fuels
May 2015
Merger with Anatolia Energy announced
June 2015
Acquisition of extensive data set acquired for Butler Ranch, South Texas, including historical resource of 1.2Mlbs
July 2015
LOI to divest Churchrock and Crownpoint properties for $12.5 million strengthens financial position.
Nov 2015
A TRANSFORMATIONAL 30 MONTHS UNDER NEW LEADERSHIP
1
2
3
4
5
MERGED ENTITY PROJECT PIPELINE
Evaluation Projects:
Ambrosia Lake
Near Term
(Now-2018)
Mid Term
(3-5 Years)
Long Term
(5-8+ Years)
Temrezli
Kingsville Dome
Rosita
Butler Ranch
Sefaatli
Cebolleta
Sejita Dome
Juan Tafoya
Jack Pump
Nell
Nose Rock
West Largo
Pipeline of Projects
TURKEY
TEXAS, USA
NEW MEXICO, USA
ISR development project
ISR method of recovery
Conventional method of recovery
National Instrument 43-101
Compliant Technical Report
Alta Mesa Este
(Processing plant on standby)
TEMREZLI PROJECT
Long life, low cost project, nearing development decision
Pre-Feasibility completed February 2015:
Average annual production of 800,000 pounds of uranium
over 12 years
Average cash operating costs of US$16.89/ lb U
3O
8
Free cash flow of over US$345M over life of mine
URI will now update the PFS to reflect cost savings identified by
the merger, updated wellfield design and drilling quotes
Mineralization below the water table and generally less than
200m deep
Potential for resource extensions and additions
Upside from Sefaatli satellite property – hub and spoke
development plan for regional deposits proved up over time
Update of PFS Expected to be completed in Q1, 2016
CATEGORY
TONNES
(‘000s)
GRADE
(ppm
U
30
8)
U
30
8(Mlbs)
Measured
2,008
1,378
6.1
Indicated
2,178
1,080
5.2
Inferred*
1,020
888
2.0
TOTAL
RESOURCE
5,206
1,157
13.3
THE ROSITA PLANT
Plan to relocate idle capital equipment at
Rosita plant to the Temrezli site, providing up
to US$8 million in capital savings
Rosita facility is designed to scale up the
production from 800,000lbs per annum to
1.6Mlbs U
30
8per annum with some capital
upgrades
URI team’s experience in designing and
building the Rosita facility, and will reduce
Temrezli’s EPCM and other engineering costs
by US$3 million
Expected synergies reduce estimated Temrezli
PFS development capital costs by 27%
12
Robust Financial Returns
1
Total Resources
2
13.3Mlb U
3
0
8
Life of mine
12 years
Annual Production (avg.)
0.8 M lb U
3
0
8
Upfront Capital Cost
$41.0M
Cash Operating Cost
$16.89/lb
Pre-Tax NPV
(8%)
$191.1M
Free Cash Flow
$345.5M
Internal Rate of Return
65%
0%10% 20% 30% 40% 50% 60% 70% 80% 90% $0 $50 $100 $150 $200 $250 $300 $350 $400 $450 $500 $40.00 $50.00 $60.00 $70.00 $80.00 In tern al Ra te o f Ret urn U SD M ill io ns
Free Cash Flow NPV IRR
• Key financial metrics based on the Development Case as presented in the announcement of Anatolia’s Pre-Feasibility Study on 16 February 2015
• All figures quoted in US Dollars. Assumed U308price of $65/lb by the Independent Pre-Feasibility Study completed by TetraTech
1. Excludes potential synergies from the merger of URI and Anatolia.
0
10
20
30
40
50
60
70
80
90
100
-
25
50
75
100
125
150
175
200
225
250
275
300
325
350
US$/lb
-A
ll in C
o
sts
MM lbs U3O8
TEMREZLI - LOWEST QUARTILE OF INDUSTRY COSTS
Source: Operating Mines’ Design Capacity – UxC 2013 and Dundee’s current data
1. Based on the Development Case as presented in the announcement of Anatolia’s Pre-Feasibility Study on 16 February 2015
Temrezli PFS
1
:
$30.12
Cumulative
Production
Capacity
So. Texas estimate:
$40-$45
1
2
3
4
REGIONAL EXPLORATION SETTING - TURKEY
Christopher M. Jones,
President, CEO and Director
•
Joined in March 2013; more than 30 years of industry experience; licensed Professional Engineer (US
and Canada)
•
B.S. in Mining Engineering from South Dakota School of Mines and an MBA from Colorado State
University
Jeffrey L. Vigil,
VP and CFO
•
Joined in June 2013; more than 30 years of financial experience, including 20 years of mining
background with 10 years in the uranium sector
•
B.S. in Accounting from the University of Wyoming; licensed CPA
Ted Wilton,
VP, Chief Geologist
•
Joined in April 2012; more than 40 years of industry experience; Certified Professional Geologist
•
B.G.S., Geology with an Engineering minor from New Mexico Institute of Mining & Technology
Dain A. McCoig,
VP, South Texas Operations
•
Joined in 2004; experienced in all phases of ISR development and production; licensed Professional
Engineer in Texas
•
Managed design and construction of Rosita Facility in Texas
•
B.S. in Mechanical Engineering from Colorado School of Mines
Cevat Er *
General Manager - Turkey
•
Joined Anatolia in March 2015. Founder of SRK Ankara, with 30 years of Turkish mining and
environmental experience
•
M.Sc. from Arizona State, and B.S. Geological Engineering
John W. Lawrence,
General Counsel and Corporate
Secretary
•
Joined in October 2012; more than 30 years of experience in law and licensing across nuclear fuel cycle
•
B.S. in Nuclear Engineering from Purdue University and a J.D. from Catholic University, Columbus
School of Law
* Joined URI upon completion of the merger with Anatolia.
OUTSTANDING LEADERSHIP TEAM
URI’s Texas landholdings total 17,000 acres (6,880
hectares)
All projects are located near our existing processing
infrastructure
Our Kingsville Dome facility is on standby, ready to
restart upon strong uranium prices
Sejita Dome: Greenfield exploration opportunity;
resembles Kingsville Dome in its potential.
Roll-Front mineralization in sandstones amenable to
in-situ recovery
Acquired historic resources data of 1.3M pounds
U
3
O
8
and logs from over 2,000 drill holes in Butler
Ranch data set
1
1. Please refer to URI’s news release of July 7, 2015.
MID & LONG TERM: POTENTIAL IN NEW MEXICO
URI holds a dominant resource and land position in
the Grants
U
ranium
B
elt
One of the largest known concentrations of
sandstone-hosted uranium deposits in
the world
Cebolleta
: Ready for Preliminary Economic
Assessment
Ready for infill drilling to upgrade to indicated
resources and identify historic
St. Anthony
deposit
resources
Juan Tafoya
: Ready for Preliminary Economic
Assessment
15 road miles to Cebolleta
URI’s land position in New Mexico totals
approximately 186,000 acres (73,500 hectares)
18
HIGHLY LEVERAGED TO THE URANIUM PRICE
VERY SIGNIFICANT LEVERAGE TO THE URANIUM PRICE
$0
$20
$40
$60
$80
$100
$120
$140
$160
$0
$100
$200
$300
$400
$500
$600
$700
Dec-06
Dec-07
Dec-08
Dec-09
Dec-10
Dec-11
Dec-12
Dec-13
Dec-14
Ur
ani
um
S
po
t P
ric
e
M
ar
ke
t
Ca
pit
ali
sat
io
n
(US$
M
illi
o
ns)
19
More reactors are under construction or ordered today than prior to 2011
Governments around the world are focused on carbon reduction - The only base load solution is nuclear power
There are 393 operating nuclear power facilities around the world
China, India, Russia and Korea are building or have ordered 148 new reactors
China alone has 25 reactors currently under construction
China consumes 19Mlbs per year, and is forecast to grow to 73Mlbs by 2030
Global annual consumption of Uranium is 175Mlbs
0 100 200 300 400 500 600 700 Operable Reactors Under Construction Ordered or Planned Total Reactors
Feb-15
Pre-Fukushima
GLOBAL DEMAND FOR URANIUM IS GROWING
URANIUM SUPPLY & DEMAND FUNDAMENTALS
20
Source: Cantor Fitzgerald estimates using data from Ux Consulting and World Nuclear Association.
Uranium Demand
is Rising
MM lbs
Current
140
160
180
200
220
240
260
2012A
2013A
2014E
2015E
2016E
2017E
2018E
2019E
2020E
2021E
2022E
2023E
2024E
2025E
Sources: Ux Consulting for uranium prices to date and ThomsonOne for analysts’ forecast prices. There are currently three analyst estimates for 2017-18.
URANIUM SPOT & LONG-TERM PRICES
Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17 Dec-18 Dec-19 Dec-20
Uranium Average Weekly Spot Price Uranium Long Term Price
$47.06
$51.21
$136.00 Average
Weekly Spot
$95.00 LT
LT
$58.19
9/29/2015: $36.50 Avg.
Weekly Spot Price;
$44.00 LT
FORECAST PERIOD
21
22
THE INVESTMENT PROPOSITION
Low-cost production from
High-Grade Temrezli ISR Project
Large portfolio of undeveloped uranium mineralisation, providing
Significant Leverage
to the Uranium Price
Strong Scope for Re-Rating
as we progress towards uranium production
Potential for
Material Synergies
through use of URI infrastructure and personnel
We will
Remain Active in M&A
to continue to grow our company
Medium term
Production Potential
at other US and Turkish projects
Timely, growing
Production Profile is Well Aligned With Uranium’s Solid Outlook
Appendices
BOARD OF DIRECTORS
Terence J. Cryan
Chairman
Managing Director at Concert Energy Partners, a New York private equity and investment advisory firm.
Chairman of the Board of Ocean Power Technologies, Inc., and he is a Board Leadership Fellow of the
National Association of Corporate Directors. Former Sr. Managing Director, Investment Banking, at Bear
Stearns.
Christopher M. Jones
President and CEO
CEO since March 2013; over 30 years of industry experience and a licensed professional engineer.
Paul Cronin *
Director
CEO of Anatolia Energy and former investment banker with RMB Resources. Advisor to Nufcor
Uranium Limited, and VP of Nuclear Origination at Constellation Energy.
Marvin K. Kaiser
Director
More than 40 years of industry experience, including EVP, Chief Administrative Officer and CFO at The
Doe Run Co.
Patrick Burke *
Director
Director of Anatolia and corporate lawyer with more than 20 years experience in mergers and
acquisitions, and a detailed understanding of ASX, ASIC and Corporations law in Australia.
Tracy A. Stevenson
Director
Founding member of Bedrock Resources, a private financial advisory firm focused on natural resource
businesses. Former Global Head of Business Process Improvements at Rio Tinto.
Mark K. Wheatley
Director
Executive Chairman of Xanadu Mines. Over 35 years of industry experience and former chairman and
Chief Executive Officer of Southern Cross Resources, predecessor to Uranium One.
PRO FORMA COMBINED MINERAL RESERVES & RESOURCES
In Place Reserves in South Texas
1,2(At August 2015)
Property Short Tons Grade
(% U3O8) In-Place Pounds
Recovery Method
Kingsville Dome 35,000 0.07 50,000 ISR
Rosita 384,000 0.08 624,000 ISR
Total 419,000 0.08 674,000
Footnotes to the Reserves table:
1.The Company estimates a 65% recovery rate for ISR methods and used a price assumption of $53.58 per uranium pound, which is the trailing three-year, average long-term price of uranium using Ux Consulting’s “Term” pricing data.
2.Amounts have been rounded.
Non-Reserve Mineralized Material
1Property Short Tons (millions) (% UGrade
3O8) Recovery Method
Temrezli Project, Turkeya
Measured & Indicated 4.6 0.13 ISR
Inferred 1.1 0.09 ISR
US Projects
Cebolleta3 Inferred 5.6 0.17 Conventional
Juan Tafoya3Inferred 4.2 0.15 Conventional/ISR
Butler Ranch2 (Historical) 0.4 0.15 ISR
Ambrosia Lake (Historical) 0.7 0.17 Conventional/ISR
Nose Rock (Historical) 7.5 0.15 Conventional
West Largo (Historical) 2.8 0.30 Conventional
Footnotes to the Mineralized Material table:
1.Investors are cautioned not to assume that all or any part of such non-reserve mineralized material exists, or is economically or legally extractible. See “Cautionary Note Regarding References to Resources and Reserves” and other disclosures on slides 3 and 4. Amounts have been rounded.
2.URI acquired historic resources data as part of a mineral data set of drill logs and other geological information as announced in a July 7, 2015 news release.
3.Each project’s Canadian National Instrument 43-101 compliant Technical Report on resources is available on the Company’s website. Classified as Inferred Resources under the Canadian Institute of Mining, Metallurgy and Petroleum Definition Standards.
a. JORC compliant resources
