NYSE American: UEC
- New and expanded M&I mineral resources rank the Project
as the largest permitted, pre-construction in-situ recovery ("ISR")
uranium project in the U.S.
- First time that the major mineralized trends of the Reno
Creek ISR Project have been consolidated within the Eastern Pumpkin
Buttes District of the Powder River Basin.
- Considerable ISR exploration and expansion potential within
open mineralized trends based on available historical
drilling.
- Added resources benefit from existing production permits in
place.
CORPUS CHRISTI, TX,
Jan. 15, 2019 /PRNewswire/
- Uranium Energy Corp (NYSE American: UEC, the "Company" or
"UEC") is pleased to announce the Company has completed an updated
National Instrument 43-101 Standards of Disclosure for Mineral
Properties ("NI 43-101") resource estimate for its Reno Creek ISR
Project ("Reno Creek" or the "Project").
The Project is in the Powder River Basin, Wyoming, and now includes the
consolidation and inclusion of the former North Reno Creek project
("North Reno Creek") into the Company's Reno Creek Project. *
The report is entitled "Technical Report and Audit of Resources of
the Reno Creek ISR Project, Campbell
County, Wyoming, USA" dated December
31, 2018 as prepared for the Company by Behre Dolbear, an internationally recognized
mining consulting firm (the "Report").
The Report estimates a Measured and Indicated ("M&I")
mineral resource of 26 million pounds of uranium
("U3O8") at a weighted average grade of
0.041% U3O8 contained within 32 million tons,
and an Inferred mineral resource of 1.49 million pounds
U3O8 at a weighted average grade of 0.039%
U3O8 contained within 1.92 million tons.
*
Amir Adnani, President and CEO,
stated, "For decades, the Reno Creek uranium district has been
unable to reach its full potential due to fractured
ownership. Through a string of accretive acquisitions over
the past 24 months, UEC has successfully consolidated the key
project areas, clearing the path for this substantial new resource,
with the benefit of being covered under our existing production
permit. We're executing on contrarian acquisitions during
difficult years in the uranium market and have amassed a production
profile of low-cost and fully permitted ISR projects.
Combining Reno Creek with the Company's South Texas ISR projects,
positions UEC to lead a renaissance in U.S. uranium production via
the ISR mining method, which is globally recognized for being low
cost and environmentally friendly."
The Company completed the acquisition of the North Reno Creek
project in May 2018 (press release
dated May 3, 2018), and since that
time has been focused on updating resources, consolidating permits,
merging databases and locating all Project related information into
a newly opened office in Glenrock,
Wyoming, near the Project.
The Company contracted Behre
Dolbear, an internationally recognized mining consulting
firm, to complete the Report on the Project. The Report will
be filed on SEDAR within 45 days of the date of this press
release. Henceforth, Reno Creek and North Reno Creek will be
considered as one project in terms of resource reporting,
permitting and pre-production planning. The M&I resource
estimate for the Project is presented in Table 1: *
Table 1: Summary of M&I Resource Estimate for the Reno
Creek ISR Project
Reno Creek ISR
Project
Summary of Measured and Indicated Mineral Resources –
In-place1
|
Unit
|
Tons2
(millions)
|
Weighted
Average
Thickness
(feet)
|
Weighted
Average
Grade
(%U3O8)
|
Pounds U3O82
(millions)
|
North Reno
Creek3
|
Measured
|
7.12
|
14.3
|
0.041
|
5.92
|
Indicated
|
8.05
|
11.7
|
0.036
|
5.76
|
Total
|
15.2
|
13.0
|
0.039
|
11.68
|
|
|
|
|
|
Southwest
Reno
Creek
|
|
Measured
|
4.68
|
12.9
|
0.043
|
3.94
|
Indicated
|
4.08
|
10.4
|
0.038
|
3.08
|
Total
|
8.77
|
11.6
|
0.040
|
7.03
|
|
|
|
|
|
Moore
|
Measured
|
2.32
|
10.3
|
0.048
|
2.20
|
Indicated
|
2.31
|
9.0
|
0.042
|
1.92
|
Total
|
4.63
|
9.6
|
0.044
|
4.12
|
|
|
|
|
|
Bing
|
Measured
|
0.30
|
14.6
|
0.038
|
0.23
|
Indicated
|
0.71
|
12.4
|
0.032
|
0.45
|
Total
|
1.02
|
13.0
|
0.033
|
0.67
|
|
|
|
|
|
Pine
Tree
|
Measured
|
0.57
|
14.0
|
0.056
|
0.63
|
Indicated
|
1.83
|
12.2
|
0.051
|
1.87
|
Total
|
2.40
|
12.6
|
0.053
|
2.51
|
|
|
|
|
|
Reno Creek
Project
|
Measured
|
14.99
|
13.2
|
0.043
|
12.92
|
Indicated
|
16.98
|
11.1
|
0.039
|
13.07
|
M + I
Total
|
32.0
|
12.1
|
0.041
|
26.0
|
1Cutoff ≥
0.20 GT (grade × thickness per intercept)
2Columns
may not add due to rounding
3Includes
North Reno Creek acquisition
|
Figure 1 shows the location of the entire
19,769-acre Reno Creek property area. Figure 2 shows
the 6,053-acre permit area covered by Permit 824, Reno Creek ISR
Project Permit to Mine, issued by the Wyoming Department of
Environmental Quality ("WDEQ") on July 17,
2015 (the "Permit"), and associated mineralized
trends. A Source and By Product Materials License for Reno
Creek was issued in February 2017
from the U.S Nuclear Regulatory Commission ("NRC"), supported by a
Final Environmental Impact Statement and Record of Decision, to
permit production of up to 2 million pounds
U3O8 per year.
On September 30, 2018, the
State of Wyoming became an NRC
Agreement State, which gives the State the authority to regulate
in-situ recovery facilities in Wyoming. From this date
forward, UEC will only be required to work with the State WDEQ for
Permit revisions, which will streamline the process to include the
North Reno Creek resources under the existing Permit.
About Reno Creek
The Reno Creek Project is in the Powder River Basin of northeast
Wyoming, one of the most prolific
uranium producing regions in the U.S. and the home of five ISR
uranium mining operations: Cameco's Smith Ranch/Highland and North
Butte, Uranium One's Willow Creek,
Energy Fuels' Nichols Ranch and
Strata's Lance project. The Project is less than 10 miles
from the nearest town of Wright,
Wyoming with a population of 1,800. Substantial
historical exploration, development and permitting work has been
completed on the Reno Creek property, beginning in the late 1960s
and continuing to present. Approximately 10,000 uranium
exploration drill holes have been completed within and near the
Project area by various operators over this time.
Currently, Company geologists are reviewing the historical data
to assess the development of additional resources along 12 miles of
partially defined mineralized trends within the currently held
acreage. Development of a conceptual mining plan to support a
revised Preliminary Feasibility Study is underway and the Company
is planning on completing this document in 2019.
The technical information in this news release has been prepared
in accordance with the Canadian regulatory requirements set out in
NI 43-101 and was reviewed by Robert D.
Maxwell, CPG, a consultant for the Company and a Qualified
Person under NI 43-101.
About Uranium Energy Corp
Uranium Energy Corp is a U.S.-based uranium mining and
exploration company with additional titanium and vanadium
assets. The Company's fully-licensed Hobson Processing
Facility is central to all its uranium projects in South Texas, including the Palangana ISR mine,
the permitted Goliad ISR project and the development-stage Burke
Hollow ISR project. In Wyoming, UEC controls the permitted
Reno Creek ISR uranium project. Additionally, the Company controls
a pipeline of advanced-stage uranium projects in Arizona, Colorado, New
Mexico and Paraguay. The
Company also controls a large high-grade titanium project in
Paraguay and significant vanadium
resources in combination with its Slick Rock uranium project in
Colorado. The Company's operations
are managed by professionals with a recognized profile for
excellence in their industry, a profile based on many decades of
hands-on experience in the key facets of uranium exploration,
development and mining.
Stock Exchange Information:
NYSE American:
UEC,
WKN: AØJDRR
ISN: US916896103
*Notice to U.S. Investors
The mineral resources referred to herein have been estimated in
accordance with the definition standards on mineral resources of
the Canadian Institute of Mining, Metallurgy and Petroleum referred
to in NI 43-101 and are not compliant with U.S. Securities and
Exchange Commission (the "SEC") Industry Guide 7 guidelines.
In addition, measured mineral resources, indicated mineral
resources and inferred mineral resources, while recognized and
required by Canadian regulations, are not defined terms under SEC
Industry Guide 7 and are normally not permitted to be used in
reports and registration statements filed with the SEC.
Accordingly, we have not reported them in the United States.
Investors are cautioned not to assume that any part or all of the
mineral resources in these categories will ever be converted into
mineral reserves. These terms have a great amount of
uncertainty as to their existence, and great uncertainty as to
their economic and legal feasibility. It should be noted that
mineral resources which are not mineral reserves do not have
demonstrated economic viability. It cannot be assumed that
all or any part of measured mineral resources, indicated mineral
resources or inferred mineral resources will ever be upgraded to a
higher category. In accordance with Canadian rules, estimates
of inferred mineral resources cannot form the basis of feasibility
or other economic studies. Investors are cautioned not to
assume that any part of the reported measured mineral resources,
indicated mineral resources or inferred mineral resources referred
to herein are economically or legally mineable.
Safe Harbor Statement
Except for the statements of historical fact contained herein,
the information presented in this news release and oral statements
made from time to time by representatives of the Company are or may
constitute "forward-looking statements" as such term is used in
applicable United States and
Canadian laws and including, without limitation, within the meaning
of the Private Securities Litigation Reform Act of 1995, for which
the Company claims the protection of the safe harbor for
forward-looking statements. 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. 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.
Although the Company believes that the expectations reflected in
such forward-looking statements are based upon reasonable
assumptions, it can give no assurance that its expectations will be
achieved. Forward-looking information is subject to certain
risks, trends and uncertainties that could cause actual results to
differ materially from those projected. Many of these factors
are beyond the Company's ability to control or predict.
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. The
Company assumes no obligation to update or supplement any
forward-looking statements whether as a result of new information,
future events or otherwise. 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. 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