Completed two accretive acquisitions, realized profit from
Physical Portfolio, and strengthened balance sheet:
- Industry leading growth with two accretive acquisitions of UEX
Corporation ("UEX") and Rio Tinto's world-class, development-stage
Roughrider Project.
- Acquired UEX for $192.7 million
primarily in UEC stock which is expected to double total resources
in all categories in the world-class, politically stable and
uranium mining friendly jurisdiction of Canada, leading to the creation of the largest
diversified North American focused uranium company.
- Welcomed Rio Tinto as a new shareholder with the acquisition of
the Roughrider Project for total consideration of $146.2 million comprised of $82.1 million cash and $64.1 million in UEC stock.
- Expanded physical uranium purchases to date and contracted
deliveries to 5.8 million pounds of North American warehoused
uranium ("Physical Portfolio"), resulting in an average cost of
~$38 per pound with various delivery
dates through December 2025.
- Generated revenues of $57.2
million from spot market sales of 1,150,000 pounds at a
weighted average price of $49.75 per
pound, realized gross profit of $13.8
million for the quarter ended Oct 31,
2022.
- No debt and $110.5 million of
cash and liquid assets, comprised of $52.9
million in cash and physical uranium including 866,000
pounds of inventory, and $57.6
million in equity holdings as of December 16, 2022.
CORPUS
CHRISTI, Texas, Dec. 19,
2022 /PRNewswire/ - Uranium Energy Corp (NYSE
American: UEC) the "Company" or "UEC") is pleased to report,
in accordance with NYSE American requirements, the filing of the
Company's quarterly report on Form 10-Q for the quarter ended
October 31, 2022 with the U.S.
Securities and Exchange Commission (the "SEC"). This Form
10-Q filing, which includes the Company's interim condensed
consolidated financial statements, related notes thereto and
management's discussion and analysis, is available for viewing on
the SEC's website at http://www.sec.gov/edgar.shtml or on
the Company's website at www.uraniumenergy.com.
Amir Adnani, CEO and President
stated: "This most recent quarter validates UEC's growth strategy
and our strengths and unique abilities as a pure-play, 100%
unhedged uranium supplier. Supported by our strong balance sheet
and Physical Portfolio we are advancing a two-pronged approach,
combining best in-class: 1) U.S. in-situ recovery ("ISR")
production anchored by two processing plants; and 2) Canadian
high-grade conventional development pipeline. The Company's North
American warehoused Physical Portfolio is enabling opportunistic
and profitable spot market sales and will be a reliable long-term
source of supply."
Acquisition Highlights
The UEX and Roughrider assets are primarily situated in the
eastern Athabasca Basin of
Saskatchewan, Canada. Highlights
of the acquisitions include the following:
- Unlocking Value and Immediate Synergies: Roughrider with
the recently acquired UEX projects located in the eastern
Athabasca Basin, positions UEC
with a critical mass of resources to enhance future production
plans. Near to the development-stage Roughrider Project include
UEC's Raven-Horseshoe, Hidden Bay and Christie Lake Projects.
- Scaling up in Canada's
High-Grade Athabasca Basin: After Cameco and Orano, UEC now
controls the largest diversified resource base, hosted in multiple
assets, in Canada's Athabasca Basin.
- Infrastructure, Nearby Operations and Long-Standing Uranium
History: There are over 20 uranium deposits, four current and
historically producing mines, and two uranium mills within a 100 km
distance from Roughrider, providing excellent infrastructure for
future development, including all-weather roads, an all-weather
airstrip within seven kms and robust electrical grid access,
primarily generated from renewable hydroelectric power
sources.(1)
- World-class Roughrider Project in a Premier Uranium Mining
Jurisdiction: Development-stage Roughrider Project has a
non-current, historic resource of 58 million pounds at an average
grade of 4.73% U3O8 situated in the eastern
Athabasca Basin of Canada, where 10% of global uranium production
was sourced in 2021. (2)(3)
1.
|
Cameco Corporation 2021
ESG Report, SaskPower System Map accessible
at https://www.saskpower.com
|
2.
|
Subject to the
completion of S-K 1300 technical report summary.
|
3.
|
World Nuclear
Association – World Uranium Mining Production and Largest Producing
Uranium Mines in 2021.
|
|
|
The technical information in this news release has been reviewed
by Christopher Hamel, P. Geo, Vice
President Exploration Canada for the Company, being a Qualified
Person under Item 1302 of Regulation S-K.
About Uranium Energy
Corp
Uranium Energy Corp is the fastest growing supplier of the fuel
for the green energy transition to a low carbon future. UEC is the
largest, diversified North American focused uranium company,
advancing the next generation of low-cost, environmentally friendly
In-Situ Recovery ("ISR") mining uranium projects in the United
States and high-grade conventional projects in Canada.
The Company has two production-ready ISR hub and spoke platforms
in South Texas and Wyoming. These two production
platforms are anchored by fully operational central processing
plants and served by seven U.S. ISR uranium projects with all their
major permits in place. Additionally, the Company has diversified
uranium holdings including: (1) one of the largest physical uranium
portfolios of North American warehoused U3O8;
(2) a major equity stake in Uranium Royalty Corp., the only royalty
company in the sector; and (3) a Western Hemisphere pipeline of
resource stage uranium projects. The Company's operations are
managed by professionals with decades of hands-on experience in the
key facets of uranium exploration, development and mining.
Stock Exchange Information:
NYSE American: UEC
Frankfurt Stock Exchange Symbol: U6Z
WKN: AØJDRR
ISN: US916896103
Safe Harbor Statement
Except for the statements of historical fact contained herein,
the information presented in this news release constitutes
"forward-looking statements" as such term is used in applicable
United States and Canadian
securities laws. These statements relate to analyses and other
information that are based on forecasts of future results,
estimates of amounts not yet determinable and assumptions of
management. Any other statements that express or involve
discussions with respect to predictions, expectations, beliefs,
plans, projections, objectives, assumptions or future events or
performance (often, but not always, using words or phrases such as
"expects" or "does not expect", "is expected", "anticipates" or
"does not anticipate", "plans, "estimates" or "intends", or stating
that certain actions, events or results "may", "could", "would",
"might" or "will" be taken, occur or be achieved) are not
statements of historical fact and should be viewed as
"forward-looking statements". Such forward looking statements
involve known and unknown risks, uncertainties and other factors
which may cause the actual results, performance or achievements of
the Company to be materially different from any future results,
performance or achievements expressed or implied by such
forward-looking statements. Such risks and other factors include,
among others, the actual results of exploration activities,
variations in the underlying assumptions associated with the
estimation or realization of mineral resources, the availability of
capital to fund programs and the resulting dilution caused by the
raising of capital through the sale of shares, accidents, labor
disputes and other risks of the mining industry including, without
limitation, those associated with the environment, delays in
obtaining governmental approvals, permits or financing or in the
completion of development or construction activities, title
disputes or claims limitations on insurance coverage. Although the
Company has attempted to identify important factors that could
cause actual actions, events or results to differ materially from
those described in forward-looking statements, there may be other
factors that cause actions, events or results not to be as
anticipated, estimated or intended. Many of these factors are
beyond the Company's ability to control or predict. There can be no
assurance that such statements will prove to be accurate as actual
results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not
place undue reliance on forward-looking statements contained in
this news release and in any document referred to in this news
release. Important factors that may cause actual results to differ
materially and that could impact the Company and the statements
contained in this news release can be found in the Company's
filings with the Securities and Exchange Commission. For
forward-looking statements in this news release, the Company claims
the protection of the safe harbor for forward-looking statements
contained in the Private Securities Litigation Reform Act of 1995.
The Company assumes no obligation to update or supplement any
forward-looking statements whether as a result of new information,
future events or otherwise. This news release shall not constitute
an offer to sell or the solicitation of an offer to buy
securities.
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SOURCE Uranium Energy Corp