Ur-Energy Inc. (Ur-Energy) engages in uranium mining, recovery and processing activities, including the acquisition, exploration, development and operation of uranium mineral properties in the U.S.
Through the company’s Wyoming operating subsidiary, Lost Creek ISR, LLC, the company began operation of its first in situ recovery uranium facility at the company’s Lost Creek Project in 2013.
The company announced a ramp-up decision in December 2022 to immediately ramp up production to levels suffi...
Ur-Energy Inc. (Ur-Energy) engages in uranium mining, recovery and processing activities, including the acquisition, exploration, development and operation of uranium mineral properties in the U.S.
Through the company’s Wyoming operating subsidiary, Lost Creek ISR, LLC, the company began operation of its first in situ recovery uranium facility at the company’s Lost Creek Project in 2013.
The company announced a ramp-up decision in December 2022 to immediately ramp up production to levels sufficient to deliver into sales commitments totalling 570,000 pounds U3O8 annually beginning in 2024. During 2023, the company captured 103,487 pounds of U3O8 at its Lost Creek plant. The company sold 280,000 pounds U3O8 in 2023 from existing inventory. These sales were the company’s first sales of produced U3O8 since 2019.
The company is engaged in uranium recovery and processing operations, in addition to the exploration for and development of uranium mineral properties. As a uranium producer, the company is advancing the interests of clean energy, thereby contributing in positive ways to address the challenges of global climate change.
Ur-Energy has one direct wholly owned subsidiary: Ur-Energy USA Inc. (‘Ur-Energy USA’). Ur-Energy USA has three wholly-owned subsidiaries: Lost Creek ISR, LLC, a limited liability company formed under the laws of the state of Wyoming to hold and operate the company’s Lost Creek Project and certain other of the company’s Lost Creek properties and assets; NFU Wyoming, LLC (‘NFU Wyoming’), a limited liability company formed under the laws of the state of Wyoming, which acts as the company’s land holding and exploration entity; and Pathfinder Mines Corporation (‘Pathfinder’), a company incorporated under the laws of the state of Delaware, which holds, among other assets, the Shirley Basin and Lucky Mc properties in Wyoming.
The company’s wholly owned Lost Creek Project in Sweetwater County, Wyoming is the company’s flagship property. The project has been fully permitted and licensed since October 2012. The company received operational approval from the U.S. Nuclear Regulatory Commission (‘NRC’) and started production operation activities in August 2013. The company’s first sales of Lost Creek production were made in December 2013.
From commencement of operations until 2020, the company had multiple term uranium sales agreements in place with U.S. utilities for the sale of Lost Creek production or other yellowcake product at contracted pricing. The company completed its initial sales contracts in 2020 when the company sold 200,000 pounds of Uranium Oxide (‘U3O8’).
The company sold 100,000 pounds U3O8 to the U.S. Department of Energy (‘DOE’) National Nuclear Security Administration (‘NNSA’) in January 2023, as a part of the national uranium reserve program. In 2023, the company delivered 180,000 pounds U3O8 into one of the company’s sales agreements, for a total of 280,000 pounds U3O8 sold in 2023. The company has multi-year sales agreements for the delivery of a base quantity ranging between 550,000 and 1,100,000 pounds U3O8 annually beginning in 2024 and continuing until 2030.
Shirley Basin, the company’s other material property, is one of the assets the company acquired as a part of the Pathfinder acquisition in 2013. The company also acquired all the historic geologic and engineering data for the project.
In December 2015, the company’s applications for a permit and license to mine at Shirley Basin was submitted to the state of Wyoming Department of Environmental Quality (‘WDEQ’). The Wyoming Uranium Recovery Program (‘URP’) issued the company’s source material license and the Land Quality Division (‘LQD’) issued the permit to mine for Shirley Basin in 2021. The company received approvals for the project from the U.S. Bureau of Land Management (‘BLM’) in 2020. Therefore, all major authorizations to construct and operate at Shirley Basin have been received. Work continues on detailed engineering and construction designs pending a decision by the company to build out the facility.
The company utilizes in situ recovery (‘ISR’) of the uranium at Lost Creek and will do so at other projects where this is possible, including Shirley Basin.
The company’s Lost Creek processing facility includes all circuits for the capture, concentration, drying and packaging of uranium yellowcake for delivery into sales. The company’s processing facility, in addition to the IX circuit, includes processing trains with separate elution, precipitation, filter press and drying circuits (this contrasts with certain other uranium in situ recovery facilities which operate as a capture plant only, and rely on agreements with other producers for the finishing, drying and packaging of their yellowcake end-product). Additionally, a restoration circuit including an RO unit was installed during initial construction of Lost Creek to complete groundwater restoration once mining is complete.
The company continues to make great strides in reducing water consumption. The first such achievement was the implementation of a Class V treatment system which became operational in early 2017. The system includes water treatment and injection of the clean water into a shallow formation where it can be accessed by future generations. Since implementation of the Class V system, the generation of wastewater during production has been reduced by 23 percent. To further reduce water consumption and enhance IX effectiveness, detailed design and engineering work is progressing for a filtration and wastewater treatment facility, together with procurement of equipment. Field construction will occur as appropriate as design work advances. The system, as envisioned, will allow for more effective use of deep disposal wells working in conjunction with the Class V water recycling system while preserving precious water resources. The company’s intention is to reduce wastewater generation by at least 70 percent.
The elution circuit (the first step after IX) is utilized to transfer the uranium from the IX resin to elution tanks and concentrate the uranium to the point where it is ready for the next phase of processing. The resulting rich eluate is an aqueous solution containing uranyl carbonate, salt and sodium carbonate and/or sodium bicarbonate. The precipitation circuit follows the elution circuit and removes the carbonate from the concentrated uranium solution and combines the uranium with peroxide to create a yellowcake crystal slurry. Filtration and washing is the next step, in which the slurry is loaded into a filter press where excess contaminants such as chloride are removed and a large portion of the water is removed. The final stage occurs when the dewatered slurry is moved to a yellowcake dryer, which further reduces the moisture content, yielding the final dried, product. Refined, salable yellowcake is packaged in 55-gallon steel drums and transported by truck to the conversion facility.
The restoration circuit may be utilized in the production, as well as the post-mining phases of the operation. The RO is utilized as a part of the company’s Class V recycling circuit to minimize the wastewater stream generated during production. Once production is complete, the groundwater must be restored to its pre-mining class of use or better. The first step of restoration involves removing a small portion of the groundwater and disposing of it (commonly known as groundwater sweep). Following sweep, the groundwater is treated utilizing RO and re-injecting the clean water. Finally, the groundwater is homogenized and sampled to ensure the cleanup is complete, concluding the restoration process.
The company’s Lost Creek processing plant was constructed beginning in 2012, with production operations commencing in August 2013. Following receipt of amendments to the company’s source material license in 2021, the licensed capacity of the company’s Lost Creek processing plant allows for up to 2.2 million pounds U3O8 per year, of which up to 1.2 million pounds U3O8 per year may be produced from the company’s wellfields. The Lost Creek plant and the allocation of resources to mine units and resource areas were designed to generate approximately one million pounds of production per year at certain flow rates and uranium concentrations subject to regulatory and license conditions. The excess capacity in the design of the processing circuits of the plant is intended, first, to facilitate routine (and non-routine) maintenance on any particular circuit without hindering production operational schedules. The capacity was also designed to allow the company to process uranium from other mineral projects in proximity to Lost Creek if circumstances warrant in the future (e.g., Shirley Basin Project) or, alternatively, to be able to contract to toll mill/process product from other uranium mine sites in the region. The design permits the company to conduct either of these activities while Lost Creek is producing and processing uranium and/or in years following Lost Creek production from wellfields during final restoration activities.
The company expects that the Lost Creek processing facility will be utilized for the drying and packaging of uranium from Shirley Basin, for which the company anticipates the need only for a satellite plant. However, the Shirley Basin license and permit allows for the construction of a full processing facility, providing greater construction and operating flexibility as may be dictated by market conditions.
Mineral Properties
The company’s land portfolio in Wyoming includes 12 projects. Ten of these projects are in the Great Divide Basin (‘GDB’), Wyoming, including the company’s flagship project, Lost Creek Project. The company controls nearly 1,800 unpatented mining claims and three state of Wyoming mineral leases for a total of approximately 35,400 acres at the company’s Lost Creek Property, including the Lost Creek permit area (the ‘Lost Creek Project’ or ‘Lost Creek’) and certain adjoining projects which the company refers to as LC East, LC West, LC North, LC South and EN project areas (collectively, with the Lost Creek Project, the ‘Lost Creek Property’). Five of the projects at the Lost Creek Property contain reported mineral resources: Lost Creek, LC East, LC West, LC South and LC North.
The company’s Wyoming properties together total approximately 48,000 acres and include the company’s Shirley Basin Project. Other non-material exploration stage projects are located in the GDB and the Lucky Mc Project is in the Gas Hills Uranium District, Wyoming. The Lost Creek Property and the Shirley Basin Project are the only two mineral properties that the company deem to be individually material.
Lost Creek Property – Great Divide Basin, Wyoming
The company acquired the Lost Creek Project area in 2005. Lost Creek is in the GDB, Wyoming. The permit area of the Lost Creek Project covers 4,254 acres (1,722 hectares), comprising 201 lode mining claims and one state of Wyoming mineral lease section. Direct access to Lost Creek is mainly on two crown-and-ditched gravel paved access roads to the processing plant.
The Lost Creek Property includes six contiguous Projects: Lost Creek Project, LC East Project, LC West Project, LC North Project, LC South Project and EN Project. The fully licensed and operating Lost Creek Project is considered the core project while the others are collectively referred to as the Adjoining Projects in the Lost Creek Report. The Adjoining Projects were acquired by the company as exploration targets to provide resources supplemental to those recognized at the Lost Creek Project.
The Lost Creek Report mineral resource estimate includes drill data and analyses of approximately 4,412 historic and current holes and over 2.53 million feet of drilling at the Lost Creek Project alone. With the acquisition of the Lost Creek Project, the company acquired logs and analyses representing approximately 360,000 feet of data.
Together with the Lost Creek Project, Five Adjoining Projects Form the Lost Creek Property
The LC East Project (5,750 acres) was added to the Lost Creek Property in 2011-2012. The company located additional unpatented lode mining claims in 2014. The company’s LC East Project has a source material license and awaits only the WDEQ permit to mine before all major authorizations are in hand to recover uranium at the project. The Lost Creek Report recommends that the company continues to progress all remaining permit amendments to allow for future uranium recovery.
The LC West Project (3,840 acres) was also added to the Lost Creek Property in 2011-2012. The land position here includes one state of Wyoming mineral lease, in addition to the unpatented lode mining claims. The company possesses data related to historical exploration programs of earlier operators.
The LC North Project (6,260 acres) is located to the north and to the west of the Lost Creek Project. Historical wide-spaced exploration drilling on this project consisted of 175 drill holes. The company has conducted two drilling programs at the project. The company may conduct exploration drilling at LC North to pursue the potential of an extension of the MMT of the Lost Creek Project.
The LC South Project (10,200 acres) is located to the south and southeast of the Lost Creek Project. Historical drilling on the LC South Project consisted of 488 drill holes. In 2010, the company drilled 159 exploration holes (total, 101,270 feet) which confirmed numerous individual roll front systems occurring within several stratigraphic horizons correlative to mineralized horizons in the Lost Creek Project. Also, a series of wide-spaced drill holes were part of this exploration program which identified deep oxidation (alteration) that represents the potential for several additional roll front horizons.
The EN Project (5,160 acres) is adjacent to and east of LC South, including unpatented lode mining claims and one state of Wyoming mineral lease. The company has over 50 historical drill logs from the EN project. Some minimal, deep, exploration drilling has been conducted at the project. No mineral resource is yet reported due to the limited nature of the data.
Shirley Basin Mine Site (Shirley Basin, Wyoming)
As a result of the Pathfinder acquisition, the company owns the Shirley Basin Project.
The company controls approximately 3,536 acres of property interests in the general area of the project which is located in central southeast Wyoming, approximately 40 miles south of Casper.
Within the project, the now permitted area (2,605 acres) consists of 1,770 acres of locatable mineral lands that the company controls, and which will allow the company to recover uranium from both the FAB and Area 5 Resource Areas. This total consists of 1,330 acres of U.S. lode mining patents (nine patents), 370 acres of federal unpatented lode mining claims (29 claims), and 70 acres (two tracts) of fee minerals. Together with these mineral rights, the company controls 280 acres of additional surface access rights necessary to develop the project.
In addition to the Lost Creek Property and Shirley Basin Project, the company controls mineral properties for six additional projects in the GDB (four) and the Gas Hills Uranium District (one) in Wyoming and in Mineral County, Nevada (one, proximate to the Camp Douglas and Candelaria Mining Districts).
Arrow Project is an exploration stage uranium project (10 unpatented lode mining claims; approximately 190 acres) located in Sections 30-31, T26N, R94W (Sweetwater County, Wyoming).
Lost Soldier is an exploration stage uranium project located in Sweetwater County, Wyoming on 105 unpatented lode mining claims. Located in Sections 5-8 and 17-18, T26N, R90W and Sections 1 and 11-14, T26N, R91W, the project covers approximately 1,960 acres.
North Hadsell Project is an exploration stage uranium project, comprising 203 unpatented lode mining claims located in Sections 3-5 and 8-10, T26N, Range 91W (Sweetwater County) and Sections 31-34, T 27N, R91W and Sections 21-23, 25-28, 33-34 and 36 T27N, R92W (Fremont County) in Wyoming. The project controls approximately 3,970 acres.
RS Project is an exploration stage uranium project of 54 unpatented lode mining claims totaling an area of approximately 920 acres, located in Sections 6 and 7, T27N, R92W and Sections 1 and 2, T27N, R93W.
The company’s Lucky Mc Project is in the Gas Hills Uranium District, Fremont County, Wyoming. An historic mine site, Pathfinder (Pathfinder Mines Corporation) holds 100% mineral interests at the project through three mineral patents (totaling approximately 970 acres) located in Sections 2 and 3, T32N, R90W, and Sections 21, 22-27 and 35, T33N, R90W; two state of Wyoming mineral leases (together, approximately 410 acres) located in Section 36, T33N, R90W, Section 1, T32N, R91W; and Sections 6 and 7, T32N, R90W; and two unpatented lode mining claims (together, approximately 40 acres) located in Section 6, T32N, R90W and Section 1, T32N, R91W. In 2021, the historic permit to mine was terminated and related reclamation bond and obligations released. Further exploration or development would be accomplished through drill notices and routine permitting and licensing through the WDEQ and/or BLM.
The company’s exploration stage gold project, the Excel Project, is in west-central Nevada, and comprises 93 unpatented lode mining claims (~1,900 acres) in Sections 9, 10, 20-22, 26-29, T5N, R34E. The Excel Project is 100% held by NFU Wyoming. The project is located within the Excelsior Mountains, in Mineral County, Nevada. The company has historical geologic data, as well as data obtained through early-stage field programs, including rock sampling, geochemical soil sampling and drill programs, together with geophysical studies. Further drilling would require additional notice-level permits or plan of operations obtained from the BLM.
Government Regulations
The company’s mineral projects are subject to the General Mining Law, as amended, and myriad related regulatory programs.
Environmental Regulations
The National Environmental Protection Act (‘NEPA’) affects the company’s operations as it requires federal agencies to consider the significant environmental consequences of their proposed programs and actions and inform the public about their decision making.
Protection of Endangered and Protected Species
The company’s sites are subject to federal laws and regulations with respect to the protection of endangered and protected species, including the Endangered Species Act (ESA).
The company continues to work closely with the Wyoming Game and Fish Department (‘WGFD’) and the BLM to mitigate impacts to the sage grouse.
State of Wyoming
The company is regulated by multiple divisions of the state of Wyoming Department of Environmental Quality (LQD, WQD, AQD and URP), the State Engineer’s Office and other State agencies.
Clean Water Act
The EPA and the state of Wyoming have promulgated regulations that require the company to obtain permits to discharge storm water runoff.
History
Ur-Energy Inc. was founded in 2004. The company was incorporated in 2004 under the laws of the province of Ontario.
The Analyst Price Target shows the analysts’ low, high, and average target at a glance.
