Post on 24-Jun-2018
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DISCLAIMER
Statements contained in this presentation which are not historical facts are forward-looking statements that involve risks,
uncertainties and other factors that could cause actual results to differ materially from those expressed or implied by
such forward- looking statements. Factors that could cause such differences, without limiting the generality of the
following, include: risks inherent in exploration activities; volatility and sensitivity to market prices for uranium; volatility
and sensitivity to capital Market fluctuations; the impact of exploration competition; the ability to raise funds through
private or public equity financings; imprecision in resource and reserve estimates; environmental and safety risks
including increased regulatory burdens; unexpected geological or hydrological conditions; a possible deterioration in
political support for nuclear energy; changes in government regulations and policies, including trade laws and policies;
demand for nuclear power; failure to obtain necessary permits and approvals from government authorities; weather and
other natural phenomena; and other exploration, development, operating, financial market and regulatory risks.
Although Uranium Energy Corp. believes that the assumptions inherent in the forward-looking statements are
reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this release.
Uranium Energy Corp. disclaims any intention or obligation to update or revise any forward-looking statement, whether
as a result of new information, future event or otherwise.
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ABOUT Uranium Energy Corp
BUSINESS MODEL AND MISSION STATEMENT:
Achieving near-term, low-cost uranium production using In-Situ Recovery (ISR) mining in Texaswhile developing a pipeline of additional significant uranium resources for ongoing major growth across the U.S.
4 KEY COMPETITIVE ADVANTAGES DRIVE THE UEC BUSINESS MODEL TOWARDS PRODUCTION:
FAST TRACK PERMITTING: Texas remains top U.S. jurisdiction for permitting ISR uranium projects.The Goliad ISR project is the clear, near-term production leader for investors looking to take part in the growth of the US uranium sector.
LOW COST ISR MINING: Substantially lower capital expenditure requirements when compared to conventional mining and quicker pay-back schedule for investors.
TECHNICAL TEAM: Technical team has decades of production track-record combined with a strong corporate team to secure financial resources needed to put projects into production.
EXCLUSIVE DATA: Control of more than 500,000 ft. of historic drilling reports throughout the Uranium states of WY, AZ, UT, CO, NM, TX for acquiring the most economic new projects.
INVESTMENT SUMMARY
US uranium growth strategy built around technical excellence and near-term production
Why investin UEC as a junior
U308 stock?
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Poised to become one of the few, new uranium producers in the world
$26M cash on hand, funded to develop and construct flagship project
Technical team involved with 35 ISR projects in the US
Low Permitting Risk in Texas with Draft Permit and Production Area Authorization 1 in hand
Low Geological risk with shallow deposit and ISR process
Last major ISR project put into production (in 2005) by UEC team in Texas
‘Security of supply’ premium with all projects in the U.S
OFFICERS AND DIRECTORSAlan Lindsay – Chairman
Over 30 years of experience in executive management
Successful founder of public companies in mining and biotech sectors
Amir Adnani - President, Chief Executive Officer, Director
An entrepreneur with extensive contacts throughout the financial and mining communities.
Founder of Blender Media Inc, a financial marketing firm that was named a fastest growing company in Canada
Harry L. Anthony – Chief Operating Officer, Director
Internationally recognized expert in the field of ISR uranium mining.
Pat Obara – Chief Financial Officer
Experience as a financial officer of TSX-listed companies in mining and technology.
Erik Essiger – Director
Over 18 years of international business experience, former manager at PWC in Germany.
Ivan Obolensky – Director
40 years experience in the investment banking business in New York as a research analyst.
Vincent Della Volpe – Director
38 year career as a portfolio manager, with several billions of dollars under management
Mark Katsumata - DirectorThirteen years solid experience in financial reporting and Canadian/U.S. securities regulation compliance as Chief Financial Officer/Vice President, Finance of numerous TSX/TSX Venture companies
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TECHNICAL TEAM
World-renowned ISR expert with 30 yrs experience
Harry AnthonyChief Operating
Officer
Curtis SealyVice Presidentof Production
40 years experience designing and constructing
mines internationally
Clyde YanceyVice Presidentof Exploration
Proven US uranium mine finder
Ed BrezinskiVice President of Corporate Development
20 years experience with utility companies, nuclear fuel traders
and brokers
Larry MinterSenior Geologist
Proven discoverer of uranium ore bodies in the
southwestern United States
Robert UnderdownGeneral Manager of Texas Operations
Has held senior operational positions at ISR uranium
mines in Texas since 1978
Joshua LeftwichEnvironmental
Manager
Formerly Manager ofEnvironmental Health
and Safety at Alta Mesa ISR uranium mine
Clint MilneSenior Geologist
35 years experience exploring for uranium in
US with Mobil Oil, Kennecott Energy and ARCO
Craig HolmesPermitting Manager
Leonard Garcia
Land LeasingSpecialist
30 years experience in title research, lease negotiation
and land acquisition
Dr. Aiguo BianMine Development
Geologist
Formerly a professor in the Department of Physics and Geosciences at the Texas
A&M University
Andrew Kurrus
Chief Geologist Texas
30 years experience exploring for uranium in the US
30-year career dedicated to permitting of uranium mines
spanning 26 projects in the US.
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THE FUTURE IS NUCLEAR POWER
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Global reactors connected to the grid
Today nuclear generates 16% of world’s electricity
The number of reactors globally:under construction is 45, being planned is 112, and being proposed is 276
Further doubling by 2035 with constant growththere after
There are 440 nuclear power plants operating in world with 104 in U.S.
U.S.is the largest consumer of uranium in the world with nuclear supplying ~22% of U.S. electric power
Source: Nuclear Association ( world-nuclear.org)
World Primary Supply vs. Demand2002-2020 – Mid Production Case
Source: Uranium Market Outlook
2009: Existing production of 120M needs to be increased by 55% to keep up with existing demand
Uninterrupted demand for new uranium production sources
In 2010 as UEC enters productionthe shortfall will be ~60M lbs/year
New Production
Existing Production
60M lb World Deficit
At UEC Production
Start in H2 2010
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Rising Prices & Global Production Challenges 2006-2009
(Million pounds U3O8) 2006 2007 2008 2009
Projected Production (Start of Year) 114.6 117.0 123.9 120.0
Total Consumption 166.9 167.4 168.8 ~168
Actual Production (End of Year) 102.6 108.1 115 ?
Net Difference in Production -10% -8% -7.2% ?
Publication Source: UX Consulting
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U.S. was the Largest Uranium Producer in the 20th Century
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Cumulative Global Uranium Production[t U]Total to 2000 {OCED 2002}
World Total = 1,939,951 t
EXPLORATION DATABASES
JURISDICTION PROVIDER YEARS OF DATA DRILL HOLES
US, Canada, Australia Kerr-McGee 40
Maps, Geologic reports,
Engineering feasibility analyses
Texas Continental Oil (now Conoco Phillips) 10 250
Texas Mobil Oil (now ExxonMobil) 20 1,000
Texas Moore Energy 20 1,000
Texas Knupke 40 500
Texas Nueces Mineral Co 10 370
Wyoming Robert Odell (Rocky Mountain Uranium Scout) 50 500
Wyoming NAMMCO (William Kirkwood) 15 500
Wyoming Jebsen 20 130
Arizona Oklahoma Public Services 10 200
15 States Brenniman 9 7,200
5 States Halterman 500
3 States Jebsen II 20 500
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Project / Historic Operator ResourceMM lbs
Goliad / Moore Energy 6.9(1)
Nichols / Texaco Corp 1.3(1)
Cebolleta / Standard Oil of Ohio 10.1(1)
West Ranch / Kerr McGee 2.6
Los Cuatros / Teck Corp 12.0
Colorado Plateau / Uravan Minerals 3.3
Artillery Peak / Oklahoma Public Services 2.0
Burnt Wagon / Kirkwood Oil 0.5
Grants Ridge / Homestake / Anaconda Mining 0.24
Carnotite / Uravan Minerals 2.6
Total 41.54
PROJECTS
Note: The resources stated are historical in nature. Recent independent verification of the data has not yet been performed. The Company has not completed sufficient exploration to verify the historical resource estimates.
(1) 43-101 Technical Reports completed and available on SEDAR
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TEXAS ISR: FAST TRACK PERMITTING ADVANTAGE
Texas is an ‘Agreement State’. The Texas Commission on Environmental Quality (TCEQ) issues the mining permit. No Federal approvals are necessary.
TCEQ issued a Draft Mine Permit for the Goliad ISR Project, the first in over ten years to a publicly listed company in the U.S.
All required permitting applications filed with the TCEQ
30+ years of uranium mining in Texas, 31 applications made = 31final permits granted.
Company’s proposed ISR Plant will be capable of processing 2,000,000 million pounds U3O8 per year
ISR Capital of the Western World
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TEXAS ISR: A REGIONAL OPPORTUNITY
South Texas uranium trend covers 300 miles in over 54 counties.
26 of 31 current or historic deposits in trend have been ISR amenable deposits.
South Texas trend shows good potential to make Goliad a long-term regional uranium production center.
Company announced 43-101 report on Nichols property for first satellite project.
UEC technical team has been involved in 35 ISR plants or satellites in the US.
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GOLIAD ISR PROJECT - OVERVIEW
Initial area of confirmation and definition drilling
Exploration Permit ~10,000 acres
(outlined)
Located in north Texas, Goliad is the largest ISR Uranium Project in Texas.
6.9 million pounds 43-101 Compliant Resource, Measured & Indicated 5.4 million pounds and Inferred 1.5 million pounds U3O8.
Independent resource estimate is based on the results from 1,086 drill holes, 599 by UEC, 487 historic.
Exciting “Blue Sky” Potential- Uranium mineralization remains open laterally in all directions. Resource poised to grow.
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Mineralization is in four sand horizons from depths of 90 to 450 feet.
Average thickness of 15 feet and average grade of 0.075%* across all four sand horizons.
Project is amenable to ISR.
Metallurgical testing has been independently reviewed with recoveries of 86% to 89%.
GOLIAD ISR PROJECT GEOLOGY
* Based on a positive chemical/radiometric disequilibrium factor of 1.494. The disequilibrium factor (DEF) refers to the ratio of the actual grade of uranium in the formation to the grade obtained from gamma ray logging.
Aquiclude orupper confining layer
Aquiclude orlower confining layer – base of D sand
Surface
450 Feet
ISR’s LONG STANDING ADVANTAGES
Today virtually all US uranium production is by way of ISR mining
Typical production profile for a Texas ISR uranium project:
CAPEX of $20 to $25 million
Cash cost of $12 to $15 per pound
According to the World Nuclear Association, 25% of global uranium production in 2006 was by ISR mining
ISR mining has several advantages over conventional mining
minimal environmental impact
lower capital and operating costs
Mesteña Uranium LLC, Alta Mesa ISR Uranium Project, South Texas
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THE ISR MINING PROCESS
Amenable ISR deposits are located in an aquifer or underground permeable rock, such as sandstone, that is saturated in water
Ground water fortified with oxidizing agents pumped in to the ore body “in-situ” causing the uranium contained in the ore to dissolve
Dissolved uranium (U3O8) solution pumped to the surface to be separated processed into a dried form of yellowcake uranium
Yellowcake is then shipped to a conversion facility for sale to nuclear plants for electricity generation
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Partnerships, Joint Ventures & Sector Consolidation: Global Activity over past 120 days
Uranium projects continue to get financed, despite tough market conditions
Huge interest from Japan to lock-in attractive, high IRR projects at low prices
Permitting continues to be a crucial driver in all transactions
Security of supply likely prompted these deals
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Eastern Goldfields, Australia (Lake Maitland)Project Value: US$140mmType: Open PitBuyer: JAURD and ITOCHU
Namibia, Africa (Valencia)Project Value: C$578mmType: Open PitBuyer: George Forrest International
USA and Kazakhstan Investment Value: C$270mmProject Types: ISRBuyer: Toshiba, and TEPCO, and JBIC
Canada and USAInvestment Value: C$95mmProject Types: Open Pit & ISRBuyer: KEPCO
CEBOLLETA PROJECT –A Premier Development Opportunity
L-Bar Ranch Reclaimed Mill Site
L-Bar Mine & Mill (circa 1978)
Former producing uranium mine situated in the Grants Uranium District, New Mexico
Grants District produced over 340M lbs U3O8 prior to 1986, largest producing uranium field in the USA. Over 100 M lbs produced from the Jackpile Mine immediately adjacent to Cebolleta that was operated by Anaconda between 1953-1982.
UEC controls 49% of Cebolleta in partnership with Neutron Energy Inc.
The Cebolleta Land Grant is a private entity managed by a board of trustees who have the authority to approve and use the natural resources within the grant boundary.
43-101 report with historic resource of 20.86 million pounds of U3O8 grading 0.124%
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10-Day Average Volume (as of July 1, 2009):
• UEC: AMEX ~ 2,400,000• U6Z: Frankfurt ~ 150,000
SHARE CAPITAL AND CASH POSITION
AS OF June 30, 2009 (un-audited)
Issued & OutstandingWarrantsOptionsFully Diluted
Cash on handCash potential from Warrants*Cash potential from optionsTotal
Monthly cash burn
*Warrants:
3,238,458 warrants @ 3.104,549,917 warrants @ 3.10500,000 warrants @ $1.00
Mgmt. & insider ownershipInstitutional ownership
55,989,561 8,288,375 5,448,000
69,725,936
$26,495,084$24,643,962
$3,037,267 $ 54,176,313
~$550,000
Expiring
July 2010June 2011
March 2016
~25%~35%
One Year Price/Volume Chart
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CORPORATE HISTORYOct 2004 UEC acquires portfolio of uranium projects in Wyoming, Arizona, Colorado
Oct 2005 UEC acquires advanced stage Goliad Uranium Project in Texas
Feb 2006 UEC goes public by listing shares on the OTCBB under the symbol URME
Jul 2006UEC raises $5,000,000 equity financing 2,500,000 units, at a subscription price of US $2.00 per unit; each unit is comprised of one common share and one-half warrant exercisable at $2.50 per share
Jan 2007UEC raises $13,500,000 equity financing5,400,000 units, at a subscription price of US $2.50 per unit; each unit is comprised of one common share and one-half warrant exercisable at $3.00 per share
Sep 2007 UEC begins trading on the Amex under a new symbol UEC
Dec 2007UEC raises $6,750,000 equity financing1,800,000 units, at a subscription price of US $3.75 per unit; each unit is comprised of one common share and one warrant exercisable at $4.25 per share
Mar 2008 UEC reports independent NI 43-101 resource estimate at Goliad project
Mar 2008 UEC acquires exclusive rights to historic Kerr-McGee uranium database
June 2008 Draft Mine Permit Issued For Goliad ISR Uranium Project In South Texas
July 2008UEC raises $15,294,597.60 equity financing6,372,749 units, at a subscription price of US $2.40 per unit; each unit is comprised of one common share and one-half warrant exercisable at $3.10 per share
Dec 2008 Completes filing of final permit applications for Goliad ISR project
Jan 2009 UEC reports NI 43-101 resource estimate at Nichols Project in South Texas
Feb 2009 UEC Announces Advances in Permitting for the Goliad ISR Project
May 2009 UEC Receives Production Area-1 Draft Authorization at Goliad
June 2009 UEC raises $23,319,601 equity financing9,099,834 units, together with 2000,000 common Shares at a subscription price of US $2.40 per unit; each unit is comprised of one common share and one-half warrant exercisable at $3.10 per share
June 2009 Uranium Energy Corp Added to Russell 2000 Index and Russell 3000 Index
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Analyst Coverage
National Bank Financial Brian Christie, MSc (416) 869-7118
CIBC World Markets Ian Parkinson (416) 956-6169
Dundee Capital David A. Talbot (416) 350-3082
Haywood Securities Geordie Mark, Ph.D (604) 697-6089
RBC Capital Markets Adam Schatzker (416) 842-7850
Versant Partners Anthona D. Curic, MBA (416) 849-5009
INVESTMENT SUMMARY
US uranium growth strategy built around technical excellence and near-term production
Why investin UEC as a junior
U308 stock?
23
Poised to become one of the few, new uranium producers in the world
$26M cash on hand, funded to develop and construct flagship project
Technical team involved with 35 ISR projects in the US
Low Permitting Risk in Texas with Draft Permit and Production Area Authorization 1 in hand
Low Geological risk with shallow deposit and ISR process
Last major ISR project put into production (in 2005) by UEC team in Texas
‘Security of supply’ premium with all projects in the U.S