Ur-energy Inc. · TSX:URE
Ur-energy — Q3 2015 Earnings Presentation
15 slides from Ur-energy's earnings presentation, Nov 3, 2015
Slide 1: Ur-Energy Third Quarter 2015 Teleconference and Webcast
NYSE MKT: URG • TSX: URE Ur - Energy Third Quarter 2015 Teleconference and Webcast
Slide 2: Forward-looking statements
NYSE MKT: URG • TSX: URE This presentation contains “forward - looking statements,” within the meaning of applicable securities laws, regarding events or conditions that may occur in the future . Such statements include without limitation the Company’s ability to maintain steady state and improve pr
Slide 3: Third Quarter Highlights
NYSE MKT: URG • TSX: URE 3 See Disclaimer re Forward - looking Statements and Projections (slide 2) ▪ Lost Creek ISR – our 100% Owned Uranium Production Facility – Initiated Production 3Q 2013 • Produced 1,000,000 th pound of U 3 0 8 2Q 2015 • State of the art flagship project • Results demonstrate
Slide 4: Share Capital & Cash Position
NYSE MKT: URG • TSX: URE 4 Share Capital & Cash Position As of 9/30/15 Shares Outstanding 130.19M Stock Options & RSUs 9.45M Warrants 8.32M Fully Diluted 147.96M Market Cap (11/02/15) US$72.58M Cash (10/29/15) US$3.0M Share Price (11/02/15) US$0.56 52 Week Range US$.53 - $1.08 Avg. Daily Volume ~231
Slide 5: Long-term uranium sales contracts
NYSE MKT: URG • TSX: URE ▪ Multiple long - term contracts spanning 2013 - 2021 timeframe, post Fukushima ▪ ~2.8M lbs committed 2016 – 2020 (avg. price $49.60/lb) ▪ De - risking by securing future revenue stream in an uncertain market • 2015 : 630,000 lbs U 3 O 8 at avg. price of $50.10/lb - $31.56M
Slide 6: Maximum Anticipated US Uranium Market Requirements
Maximum Anticipated US Uranium Market Requirements (2015-2024) thousand pounds U0, equivalent 60,000 50,000 se = 2015 2016 = 2017S 2018 += 2019-2020» 2021 «2022» 20232024 Untied market requirements ==Maximum under purchase contracts >) Maximum anticipated market requirements ela Enrichment feed deli
Slide 7: Drilling and Mine Unit Construction Status
NYSE MKT: URG • TSX: URE 7 Drilling Status ▪ MU1 - 100% of original planned wells installed ▪ MU2 - Production well installation ongoing in first 3 header houses ▪ Exploration – Completed 150 hole program Mine Unit 1 Interior of Header House Mine Unit Construction Status ▪ MU1 Surface Construction ▪
Slide 8: Lost Creek Plant production
NYSE MKT: URG • TSX: URE 8 2014 Q4 2015 Q1 2015 Q2 2015 Q3 YTD Through October 28, 2015 Captured Lbs. 150k 192k 207k 172k 635k Drummed Lbs. 117k 177k 184k 177k 602k Shipped Lbs. 102k 172k 180k 184k 609k HHs Operating 7 9 10 11 11 Avg. Grade 123 ppm 110 ppm 108 ppm 86 ppm 100 ppm U 3 O 8 Production ▪
Slide 9: U3O8 Production and Revenues from Operations
NYSE MKT: URG • TSX: URE 9 2013 2014 2015 Q1 2015 Q2 2015 Q3 190K lbs captured 596K lbs captured 192K lbs captured 207K lbs captured 172K lbs captured 131K lbs drummed 548K lbs drummed 177K lbs drummed 184k lbs drummed 177k lbs drummed $21.98/lb cash cost * $19.73/lb cash cost * $18.86/lb cash cost
Slide 10: Lost Creek resource growth and exploration
NYSE MKT: URG • TSX: URE ▪ June 17, 2015 43 - 101 Technical Report increased MU1 resources Net increase to MU1 of 1.3 Mlbs. Measured resource (55% increase) after production accounting. Lowered GT cut - off from 0.30 to 0.20 ▪ 2015 Exploration Program • Phase 1 drilling in Q1 delineated 121,000 lbs.
Slide 11: Shirley Basin Project
NYSE MKT: URG • TSX: URE ▪ Purchase closed in December 2013 ▪ On patented mining claims – we own the ground ▪ NI 43 - 101 Preliminary Economic Assessment published January 27, 2015 ▪ 8.8 million pounds, shallow, high grade roll front deposit ▪ ISR amenable mineralization ▪ Permit applications nearin
Slide 12: Price and Cost per Pound Sold by Quarter
NYSE MKT: URG • TSX: URE 12 ▪ Cash cost per pound falling quarter - over - quarter (Q1 $18.86, Q2 $16.15, Q3 $15.19) ▪ All - in costs below $30 ▪ Margins improving $2.52 $3.18 $4.73 $2.78 $2.59 $20.77 $20.32 $18.86 $16.15 $15.19 $14.23 $13.47 $13.32 $10.05 $10.09 $31.80 $37.13 $38.36 $36.17 $36.21 $
Slide 13: Ending Inventory by Quarter
NYSE MKT: URG • TSX: URE 13 Increasing operational efficiencies (steady state) permits ▪ b uilding inventory; ▪ d iscretionary spot sales; ▪ low cash cost per pound in ending inventory (Q3 $16.50). 66,298 65,233 79,284 79,036 71,860 5,634 15,188 25,819 30,006 22,455 47,506 56,259 82,021 66,314 102,7
Slide 14: Q4 corporate priorities
NYSE MKT: URG • TSX: URE ▪ Continued focus to attain company - wide cost savings ▪ Long - term s ales a greements • Multiple contracts t hrough 2021 • Very selective as to pricing that we will accept ▪ M & A activities ▪ No equity financing ▪ Q4 corporate priorities • Lost Creek: continue at steady
Slide 15: For more information, please contact
NYSE MKT: URG • TSX: URE For more information, please contact: Jeff Klenda , Board Chairman & Executive Director Rich Boberg , Senior Director of Investor and Public Relations By Mail: Ur - Energy Corporate Office 10758 W. Centennial Rd., Suite 200 Littleton, CO 80127 USA By Phone: Office 720.981.45