Slide 1: Ur-Energy 2016 Q1 Teleconference and Webcast
NYSE MKT: URG • TSX: URE Ur - Energy 2016 Q1 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 operations ;
Slide 3: Highlights: Lost Creek resource growth, production and Shirley Basin
NYSE MKT: URG • TSX: URE 3 See Disclaimer re Forward - looking Statements and Projections (slide 2) ▪ Lost Creek Resource Growth – Two 2015 Updates • Net increase of 4.6 million lbs. Measured & Indicated resource • Resources from exploration drilling: 139,000lbs Measured & Indicated; 498,000lbs Infe
Slide 4: Share Capital & Cash Position
NYSE MKT: URG • TSX: URE 4 Share Capital & Cash Position As of 03/31/2016 Shares Outstanding 143.4M Stock Options & RSUs 9.5M Warrants 8.2M Fully Diluted 161.1M Cash (05/05/2016) US$4.1M Market Cap (05/09/2016) US$71.7M Share Price (05/09/2016) US$0.50 52 Week Range US$0.44 - $1.07 Avg. Daily Volume
Slide 5: Lost Creek resources and increase since Fukushima
NYSE MKT: URG • TSX: URE 5 See Disclaimer re Forward - looking Statements and Projections (slide 2) Measured: 9.39 Mlbs eU 3 O 8 (in 9.74 Mt @ 0.048%) 1 Indicated: 5.22 Mlbs eU 3 O 8 (in 5 .94 Mt @ 0.044%) Inferred: 6.44 Mlbs eU 3 O 8 (in 7.37 Mt @ 0.044%) Based on grade cutoff of 0.02% eU 3 O 8 and
Slide 6: Summary of Economics
NYSE MKT: URG • TSX: URE Economic Parameter Pre - Income Tax LoM OPEX $14.58 Total Cost per Pound $29.29 Production 13.8 million lbs. Net Cash Flow $510.9 million NPV (8%) $250.4 million IRR 53.7% 1. Based on drilling results of 138 pattern wells and 42 monitor wells and delineation drill holes from
Slide 7: Long-term sales contracts and cash flow
NYSE MKT: URG • TSX: URE ▪ Cash flow is King! ▪ Multiple long - term contracts spanning 2013 - 2021 timeframe, post Fukushima • ~3.1M lbs committed 2016 – 2021 (avg. price $49.81/ lb ) ▪ De - risking by securing future revenue stream in an uncertain market • 2015 : 630,000 lbs U 3 O 8 at avg. price
Slide 8: Mine unit drilling and construction
NYSE MKT: URG • TSX: URE 8 Mine Unit 1 Interior of Header House Drilling ▪ MU1: ▪ 100% of original planned wells installed ▪ Modifying completions in Header House 13 to enhance flow ▪ MU2: ▪ Excellent MU1 recoveries allow for deferred development ▪ Monitor wells and pump testing complete ▪ Cased wel
Slide 9: U3O8 Production
NYSE MKT: URG • TSX: URE 9 2016 Q1 2015 Q4 2015 Q3 2015 Q2 Captured Lbs. 159k 212k 172k 207k Drummed Lbs. 174k 189k 177k 184k Shipped Lbs. 182k 182k 184k 180k HHs Operating 12 12 11 10 Avg. Grade 82 ppm 85 ppm 86 ppm 108 ppm U 3 O 8 Production ▪ All plant systems functional with maintenance occurrin
Slide 10: Uranium production, revenues and falling costs
NYSE MKT: URG • TSX: URE 10 2013 YTD 2014 YTD 2015 YTD 2016 Q1 190K lbs captured 596K lbs captured 784K lbs captured 159K lbs captured 131K lbs drummed 548K lbs drummed 727K lbs drummed 174K lbs drummed $21.98/lb cash cost * $19.73/ lb cash cost * $16.27/ lb cash cost* $15.41/ lb cash cost* Uranium
Slide 11: Cost per pound sold by quarter
NYSE MKT: URG • TSX: URE 11 $4.73 $2.78 $2.59 $2.80 $2.61 $18.86 $16.15 $15.19 $15.42 $15.41 $13.32 $10.05 $10.09 $8.13 $6.71 $38.36 $36.17 $36.21 $35.45 $31.85 $50.55 $45.08 $56.39 $34.47 $36.12 $- $10.00 $20.00 $30.00 $40.00 $50.00 $60.00 2015 Q1 2015 Q2 2015 Q3 2015 Q4 2016 Q1 $ per Pound Quarter
Slide 12: Ending inventory by quarter
NYSE MKT: URG • TSX: URE 12 79,284 79,036 71,860 88,788 71,602 25,819 30,006 22,455 30,367 22,062 82,021 66,314 102,782 63,776 173,178 $31.37 $27.37 $29.43 $25.23 $25.34 $- $5.00 $10.00 $15.00 $20.00 $25.00 $30.00 $35.00 - 50,000 100,000 150,000 200,000 250,000 300,000 2015 Q1 2015 Q2 2015 Q3 2015 Q
Slide 13: Operating costs by year
NYSE MKT: URG • TSX: URE 13 $3.3 $3.3 $2.9 $17.5 $7.7 $5.4 $5.6 $6.0 $5.5 $- $5.0 $10.0 $15.0 $20.0 $25.0 $30.0 2013 2014 2015 $ Millions Year Operating Costs $ millions Exploration and evaluation Development General & administrative
Slide 14: Shirley Basin Preliminary Economic Assessment
NYSE MKT: URG • TSX: URE ▪ Preliminary Economic Assessment analyses (pre - income tax): • 8.8 million pounds, shallow, high grade roll front deposit • Production of 6.3 million lbs. • Estimated operating cost of $14.54/lb. • Estimated total cost per pound of $31.26/lb. • NPV (8%) of $146.0 million,
Slide 15: 2016 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 ▪ Demonstrated Production Profile Growth • Lost Creek resources increased by 53% M&I and 36% Inferre
Slide 16: For more information, please contact
NYSE MKT: URG • TSX: URE For more information, please contact: Jeff Klenda , 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 720.981.4588 Tol