Trading Symbol: SXR - Toronto Stock Exchange, Johannesburg Stock
Exchange
TORONTO, ON, and JOHANNESBURG, South Africa, July 28 /CNW/ - sxr Uranium
One Inc. ("Uranium One") is pleased to announce the results of the feasibility
study conducted by Turgis Consulting (Pty) Ltd. ("Turgis") and independently
audited by SRK Consulting South Africa (Pty) Ltd. ("SRK") on Phase I of its
Dominion Reefs Uranium Project ("Dominion Project") located near Klerksdorp,
South Africa.
<<
Highlights of the Dominion Project feasibility study include:
- Phase I, which only contemplates the first 11 years of the mine life,
is financially robust and technically viable
- Phase I Probable Reserves are 31.3 million pounds of uranium oxide
(U(3)O(8)) contained within 18.5 million tonnes at an average head
grade of 0.77 kg/t
- Production at steady state (2011 to 2014) will average 3.8 million
pounds U(3)O(8) per annum
- Average cash operating cost for Phase I is US$14.50 per pound of
U(3)O(8), net of gold by-product credits
- The after-tax, all equity IRR for Phase I is 32% and the after-tax,
all equity NPV is US$184 million at an 8% discount rate at June 1,
2006
- Project payback from commencement of Phase I is estimated to be 5
years
>>
The feasibility study values Phase I of the Dominion Project as an
underground mine and a metallurgical plant with a designed production capacity
of 200,000 tonnes per month. The uranium processing plant will be integrated
with Uranium One's existing carbon-in-leach gold plant. The Dominion Project
will process 18.5 million tonnes through the plant over an 11 year period at
an average mill head grade of 0.77 kg/t of U(3)O(8) and will recover a total
of 27.2 million pounds of U(3)O(8) and 0.5 million ounces of gold. The mine
plan has been developed by applying a selective mining cut to all areas
exceeding 160 cm channel width in order to optimize metal recovery and reduce
operating costs, resulting in the tonnages and grades as stated above. Phase I
will focus on mining ore between surface and an approximate depth of
500 metres. The feasibility study has used as a base case a U(3)O(8) price of
US$46.50/lb, a gold price of US$629/oz and an exchange rate of ZAR6.585 per
US$1. The analysis has been completed in real terms, and the valuation date is
June 1, 2006.
In addition, Turgis has prepared a conceptual study for Phase II of the
Dominion Project, which has been independently audited by SRK, to assess the
viability of extending production from 11 to 30 years by mining the remaining
Indicated Resource as well as a portion of the additional Inferred Resources.
While this analysis has not been conducted to the level of accuracy contained
in the feasibility study for Phase I, the nature of the geological
characteristics of the ore body confirms a mine life in excess of 30 years.
Phase II will begin production in 2012 as Phase I production levels begin to
decline, ensuring a 200,000 tonne per month throughput is maintained.
The results of the feasibility study have enabled the Board of Directors
of Uranium One to endorse the previous decision made by the Board of Directors
of Aflease Gold and Uranium Resources Limited to proceed with the development
of the Dominion Project toward a start-up of production in Q1 2007.
Uranium One's President and CEO, Neal Froneman commented: "It is very
pleasing to declare our first reserve at the Dominion Project of 31.3 million
pounds of uranium oxide. We are advancing well with development of the
Dominion Project. 68% of the work required to commission the new uranium plant
has been completed and we remain on target for production of uranium oxide in
the first quarter of 2007. I am also delighted that we are able to demonstrate
a convincing and sound case for a mine life in excess of 30 years."
Dominion Project Overview
The Dominion Project covers an area of approximately 120 km2 and is
located approximately 20 km to the south west of Klerksdorp in the North West
province of South Africa. The Dominion Project is a brownfields development
project consisting of the Dominion and Rietkuil Sections which include two
former uranium and gold mining operations.
Uranium One completed an initial mine study in May 2005 on the Dominion
Project and subsequently conducted an extensive exploration program in order
to confirm an Indicated Resource for the purposes of completing the
feasibility study on Phase I.
Mineral Resources and Reserves
Uranium One published a revised Mineral Resource for the Dominion Project
on June 14, 2006, declaring: (i) a uranium resource of 47.5 million pounds
U(3)O(8) in the indicated category and 199.2 million pounds U(3)O(8) in the
inferred category; and (ii) a gold resource of 0.9 million ounces in the
indicated category and 3.6 million ounces in the inferred category. Table 1
below summarizes the previously released resource estimate by category as
audited by SRK. The Mineral Resources have been determined using a uranium
price of US$45.00/lb, a gold price of US$528/oz and a ZAR per US$ exchange
rate of 6.50:1, resulting in lower cut-offs than previously reported.
<<
Table 1 - SRK Audited Mineral Resource Estimate at the Dominion Project
(June 1, 2006)
-------------------------------------------------------------------------
Indicated Mineral Resources
-------------------------------------------------------------------------
U(3)O(8) Contained Gold Contained
Reef Unit Tonnes Grade U(3)O(8) Grade Gold
(thousands) (kg/tonne) (k/lb) (g/tonne) (k/oz)
-------------------------------------------------------------------------
Rietkuil Upper 8,575 0.78 14,721 0.89 245
-------------------------------------------------------------------------
Rietkuil Lower 1,194 1.02 2,694 0.79 30
-------------------------------------------------------------------------
Dominion Upper 11,240 0.83 20,652 0.99 358
-------------------------------------------------------------------------
Dominion Lower 4,981 0.86 9,425 1.73 277
-------------------------------------------------------------------------
Total Indicated 25,990 0.83 47,492 1.09 910
-------------------------------------------------------------------------
Inferred Mineral Resources
-------------------------------------------------------------------------
U(3)O(8) Contained Gold Contained
Reef Unit Tonnes Grade U(3)O(8) Grade Gold
(thousands) (kg/tonne) (k/lb) (g/tonne) (k/oz)
-------------------------------------------------------------------------
Rietkuil Upper 52,949 0.52 61,096 0.39 664
-------------------------------------------------------------------------
Rietkuil Lower 39,076 0.75 64,214 0.81 1,018
-------------------------------------------------------------------------
Dominion Upper 54,977 0.35 42,713 0.55 972
-------------------------------------------------------------------------
Dominion Lower 31,420 0.45 31,171 0.95 960
-------------------------------------------------------------------------
Total Inferred 178,422 0.51 199,194 0.63 3,614
-------------------------------------------------------------------------
(1) The Mineral Resources have been reported in accordance with the
classification criteria of the South African Code for Reporting of
Mineral Resources and Mineral Reserves (the SAMREC Code).
(2) The Mineral Resource was estimated by Dr. Carina Lemmer of Geological
& Geostatistical Services and reported to a cut-off of 29 cmkg/t
U(3)O(8) for Dominion and 35 cmkg/t U(3)O(8) for Rietkuil and
0.00 g/tonne gold and was audited by Dr Mike Harley of SRK.
(3) Mineral Resources are not Mineral Reserves and do not have
demonstrated economic viability.
(4) Mineral Resources are inclusive of Mineral Reserves
The Indicated Resources detailed in Table 1 have been converted into a
Probable Reserve, as shown in Table 2, through a process of mine planning and
the application of appropriate modifying factors and is reported as delivered
to the plant.
Table 2 - SRK Audited Mineral Reserve Estimate at the Dominion Project
(June 1, 2006)
-------------------------------------------------------------------------
Probable Mineral Reserves
-------------------------------------------------------------------------
U(3)O(8) Contained Gold Contained
Reef Unit Tonnes Grade U(3)O(8) Grade Gold
(thousands) (kg/tonne) (k/lb) (g/tonne) (k/oz)
-------------------------------------------------------------------------
Rietkuil Upper 6,308 0.68 9,471 0.71 144
-------------------------------------------------------------------------
Rietkuil Lower 639 0.89 1,252 0.50 10
-------------------------------------------------------------------------
Dominion Upper 8,005 0.83 14,613 0.93 239
-------------------------------------------------------------------------
Dominion Lower 3,502 0.78 5,991 1.74 196
-------------------------------------------------------------------------
Total Probable 18,454 0.77 31,327 0.99 589
-------------------------------------------------------------------------
(1) The Mineral Reserve was estimated by Pat Willis of Turgis and audited
by Roger Dixon of SRK.
(2) Tonnes and grade are stated on the basis of delivery to the plant.
(3) Mineral Reserves are included in Mineral Resources.
>>
Phase I: Mine Design and Production Levels
The mine has been divided into two operating areas, the Rietkuil and
Dominion Sections. Phase I contemplates mining from surface to a depth of
approximately 500 metres, initially using two trackless declines on the
Dominion Section and one trackless decline at the Rietkuil Section. All
declines and footwall roadways will be developed using mechanized loading and
hauling. Haul trucks used in the development operation will be used to
transport ore, loaded from stope chutes, to surface via the footwall roadways
and main access declines. Mining on the reef horizon will be undertaken using
traditional South African breast mining methods with face cleaning using
scraper winches or water jetting. Based on Uranium One's operational
experience, it is expected that this method will provide a flexible,
relatively low cost and low risk approach.
A new uranium plant is being established for the Dominion Project and is
being integrated with the existing carbon-in-leach gold recovery plant. Ore
from the Dominion Project will be crushed and milled at the existing plant,
after which both uranium and gold will be extracted. The plants will be
operated as a single facility which will give preference to ore from the
Dominion Project.
Phase I of the project is designed to treat 2.4 million tonnes per annum,
yielding an annual average of 3.8 million pounds of U(3)O(8) during
steady-state production, with a maximum production of 4.3 million pounds of
U(3)O(8) in 2012. The metallurgical recovery determined for Phase I of the
Dominion Project averages 87% for U(3)O(8) and 89% for gold.
Project Status
Three portals have been excavated, and the associated declines are being
developed under the prospecting right. The trackless equipment required for
initial development has been delivered, and the necessary capital equipment is
being procured according to schedule. Staff recruitment and training is in
progress.
The existing incline shaft at the Rietkuil Section has been partially
re-commissioned to facilitate underground development, and some 390 metres of
development has been completed from surface in the new R1 decline at the end
of June 2006. Two new declines, D1 and D2, at the Dominion Section are in
progress, with some 380 metres and 210 metres of development respectively
having already been completed.
Bateman Africa (Pty) Ltd has been awarded the engineering, procurement,
construction and management (EPCM) contract for the erection and commissioning
of the uranium plant. Construction commenced in November 2005 and 68% of the
work required to commission the plant in Q1 of 2007 has been completed.
Contracts have been signed with the South African electricity provider
ESKOM for the up-grade of the applicable sub-stations. The supply of service
and potable water to the mine has been secured from the local municipality.
The Dominion Project is on schedule for the commencement of production in
Q1 2007.
Phase I: Operating Costs
Total operating costs include mining, processing and administrative
costs. Administrative costs include environmental and mine site central
services. The operating cost summary, inclusive of a contingency of 3%, is
shown in Table 3.
<<
Table 3 - Phase I Operating Cost Summary
-------------------------------------------------------------------------
Item US$ per tonne milled
-------------------------------------------------------------------------
Mining 18.5
-------------------------------------------------------------------------
Processing 12.6
-------------------------------------------------------------------------
Administration 3.5
-------------------------------------------------------------------------
Bulk Services (water, power) 3.8
-------------------------------------------------------------------------
Contingency 1.1
-------------------------------------------------------------------------
Total 39.5
-------------------------------------------------------------------------
>>
Cash operating costs average US$14.50/lb of U(3)O(8) from the completion
of mine construction in December 2007, after deducting gold by-product
credits.
Phase I: Capital Costs
The start up construction capital, which will be spent prior to the
commencement of production in Q1 2007, is US$152 million (R1,001 million). Of
this amount, US$38.8 million (R255 million) has been spent up to June 1, 2006.
A further US$27.8 million (R183.1 million) is the construction capital
required to establish the full design capacity of 200 000 tonnes per month by
the end of 2007. Ongoing capital over the life of mine will be incurred from
January 2008 amounting to US$63.8 million (R420 million), which is equivalent
to US$2.4/lb of U(3)O(8) produced over the life of Phase I. Increases in
capital estimates from previous figures are the result of escalation and
design improvements that are intended to minimize the cash operating costs for
the Dominion Project. Capital Costs are summarized in Table 4 below.
<<
Table 4 - Summary Capital Costs for Phase I
-------------------------------------------------------------------------
Item Construction Capital to Ongoing Capital 2008 to
end of 2007 (US$ mm) 2016 (US$ mm)
-------------------------------------------------------------------------
Mining 57.1 60.5
-------------------------------------------------------------------------
Plant 111.0 0.0
-------------------------------------------------------------------------
Administrative 3.7 0.8
-------------------------------------------------------------------------
Contingency 8.0 2.5
-------------------------------------------------------------------------
Total 179.8 63.8
-------------------------------------------------------------------------
>>
Phase I: Financial Evaluation
The project has been valued in real terms as at June 1, 2006. At a real
discount rate of 8%, Phase I is estimated to yield an after-tax, all equity
NPV of US$184 million (R1,212 million) and an after-tax, all equity IRR of
32%. Project payback from commencement for Phase I is estimated to be 5 years.
Table 5 below summarizes the results of the feasibility study. In addition to
the significant NPV of Phase I, this phase of the Dominion Project pays for
the infrastructure and processing facilities to be used in the contemplated 19
year Phase II extension.
<<
Table 5 - Summary of Phase I Feasibility Study Results
-------------------------------------------------------------------------
Total/
Average 2006(1) 2007 2008 2009 2010 2011
-------------------------------------------------------------------------
Tonnes milled
(000's) 18,455 466 1,902 2,126 2,404 2,396
-------------------------------------------------------------------------
U(3)O(8) Mill
head grade
(kg/tonne) 0.77 0.58 0.78 0.75 0.69 0.81
-------------------------------------------------------------------------
U(3)O(8) Recovery 87% 83% 87% 86% 85% 87%
-------------------------------------------------------------------------
U(3)O(8) produced
(lbs 000's) 27,187 491 2,817 3,045 3,106 3,722
-------------------------------------------------------------------------
Gold produced
(oz 000's) 534.8 20.2 55.1 46.1 58.0 78.0
-------------------------------------------------------------------------
Sales revenue
(US$ million) 1,600.6 24.0 145.0 167.4 180.2 214.9
-------------------------------------------------------------------------
Opex
(US$ million) 747.8 7.3 29.3 79.2 84.3 98.5 96.4
-------------------------------------------------------------------------
Construction
Capital
(US$ million)(2) 141.0 79.9 61.1
-------------------------------------------------------------------------
Ongoing Capital
(US$ million) 63.8 21.5 15.0 11.8 8.1
-------------------------------------------------------------------------
Taxes and
royalties
(US$ million) 245.5 2.5 4.0 31.6
-------------------------------------------------------------------------
Cash flow
(US$ million)(3) 375.1 -87.7 -73.0 10.7 66.1 62.9 68.2
-------------------------------------------------------------------------
US$ cost/tonne
milled(4) 39.5 41.6 39.7 41.0 40.2
-------------------------------------------------------------------------
US$ cost/lb
produced(4)(5) 14.5 15.8 18.2 20.0 12.7
-------------------------------------------------------------------------
-----------------------------------------------------------------
2012 2013 2014 2015 2016 2017
-----------------------------------------------------------------
Tonnes milled
(000's) 2,331 2,194 2,202 1,380 1,054
-----------------------------------------------------------------
U(3)O(8) Mill
head grade
(kg/tonne) 0.93 0.88 0.77 0.64 0.56
-----------------------------------------------------------------
U(3)O(8) Recovery 89% 88% 87% 84% 82%
-----------------------------------------------------------------
U(3)O(8) produced
(lbs 000's) 4,290 3,746 3,260 1,637 1,073
-----------------------------------------------------------------
Gold produced
(oz 000's) 64.0 72.0 75.6 41.5 24.4
-----------------------------------------------------------------
Sales revenue
(US$ million) 233.1 225.8 204.8 121.1 71.8 12.5
-----------------------------------------------------------------
Opex
(US$ million) 92.5 84.7 83.1 52.2 40.3
-----------------------------------------------------------------
Construction
Capital
(US$ million)(2)
-----------------------------------------------------------------
Ongoing Capital
(US$ million) 4.3 1.7 1.4
-----------------------------------------------------------------
Taxes and
royalties
(US$ million) 58.6 57.8 49.9 25.9 12.0 3.2
-----------------------------------------------------------------
Cash flow
(US$ million)(3) 67.3 83.9 72.9 59.0 24.7 20.1
-----------------------------------------------------------------
US$ cost/tonne
milled(4) 39.7 38.6 37.7 37.8 38.2
-----------------------------------------------------------------
US$ cost/lb
produced(4)(5) 12.2 10.5 10.9 16.0 23.2
-----------------------------------------------------------------
The numbers in the above table have been rounded, and any resulting
discrepancies should not be regarded as material.
(1) June 1 to December 31, 2006 only
(2) Construction capital excludes US$38.8 million spent prior to
valuation date
(3) Cash flow shown is after tax, royalties and other adjustments
(4) Costs shown are from the completion of construction in December 2007
(5) Cost quoted after gold credits
>>
Phase I: Sensitivity Analysis
An analysis of the after-tax, all equity 8% NPV for Phase I of the
Dominion Project shows that the mine operation is leveraged to both the
uranium and gold price, as well as to changes in the Rand per US dollar
exchange rate. The project is less sensitive to changes in capital
expenditures and operating expenditures.
<<
Table 6 - Phase I: 8% NPV Sensitivity (Assuming ZAR7.500 Rand per US$1)
------------------- -------------------- ----------------------------
Construc- Cash
Fixed Fixed tion Operating
U(3)O(8) Gold Capital Costs
Price NPV Price NPV (NPV US$ (NPV US$
(US$/lb) (US$ mm) (US$/oz) (US$ mm) Change mm) mm)
------------------- -------------------- ----------------------------
------------------- -------------------- ----------------------------
60.00 348.9 850 259.8 +10% 200.1 180.4
------------------- -------------------- ----------------------------
55.00 298.5 750 238.6 +5% 204.9 195.1
------------------- -------------------- ----------------------------
46.50 209.8 629 209.8 0% 209.8 209.8
------------------- -------------------- ----------------------------
35.00 87.5 550 192.6 -5% 214.6 225.9
------------------- -------------------- ----------------------------
30.00 31.8 450 170.8 -10% 220.9 241.2
------------------- -------------------- ----------------------------
Table 7 - Phase I: 8% NPV Sensitivity (Assuming Base Case ZAR6.585 per
US $1)
------------------- -------------------- ----------------------------
Construc- Cash
Fixed Fixed tion Operating
U(3)O(8) Gold Capital Costs
Price NPV Price NPV (NPV US$ (NPV US$
(US$/lb) (US$ mm) (US$/oz) (US$ mm) Change mm) mm)
------------------- -------------------- ----------------------------
------------------- -------------------- ----------------------------
60.00 324.4 850 232.2 +10% 173.7 152.8
------------------- -------------------- ----------------------------
55.00 274.0 750 210.4 +5% 178.9 168.4
------------------- -------------------- ----------------------------
46.50 184.0 629 184.0 0% 184.0 184.0
------------------- -------------------- ----------------------------
35.00 60.5 550 166.8 -5% 189.2 199.6
------------------- -------------------- ----------------------------
30.00 3.4 450 145.1 -10% 194.4 215.2
------------------- -------------------- ----------------------------
Table 8 - Phase I: 8% NPV Sensitivity (Assuming ZAR5.500 per US$1)
------------------- -------------------- ----------------------------
Construc- Cash
Fixed Fixed tion Operating
U(3)O(8) Gold Capital Costs
Price NPV Price NPV (NPV US$ (NPV US$
(US$/lb) (US$ mm) (US$/oz) (US$ mm) Change mm) mm)
------------------- -------------------- ----------------------------
------------------- -------------------- ----------------------------
60.00 238.1 850 144.9 +10% 80.7 54.7
------------------- -------------------- ----------------------------
55.00 186.4 750 120.9 +5% 87.2 74.2
------------------- -------------------- ----------------------------
46.50 93.7 629 93.7 0% 93.7 93.7
------------------- -------------------- ----------------------------
35.00 -37.9 550 75.9 -5% 100.1 113.1
------------------- -------------------- ----------------------------
30.00 -109.5 450 53.4 -10% 106.6 132.6
------------------- -------------------- ----------------------------
>>
Phase II: Mine Life
Turgis has also prepared a conceptual study to assess the viability of
extending the mine life at current production rates from 11 years to 30 years
by mining the remaining Indicated Resource as well as a portion of the
additional Inferred Resource at the Dominion Project. This study has also been
independently audited by SRK. Readers are cautioned that Mineral Resources are
not Mineral Reserves and do not have demonstrated economic viability.
Given the geological characteristics of the ore body, the ongoing
exploration program and the history of conversion, it is expected that the
Inferred Resources will be re-categorized and increased in the future. This
will necessitate the revision of the existing plans, which is expected to
result in a mine life in excess of 30 years.
Phase II: Mine Design and Production Levels
The mine design strategy for Phase II will be the same as for Phase I
with the addition of a new trackless decline at the Dominion Section, and at
the Rietkuil Section a vertical shaft will be sunk to access the down-dip
extensions of the resource to a depth of approximately 1,000 metres.
Production from Phase II will maintain a constant plant throughput of 200,000
tonnes, extending the life of mine to at least 30 years.
The Phase II study is based on the modelling of a selected portion of the
Inferred Resource, totalling 60.8 million tonnes at a grade of 0.74 kg/tonne
of U(3)O(8) of the total declared Inferred Resource of 178.4 million tonnes at
a grade of 0.51 kg/tonne U(3)O(8). The anticipated tonnage available for
mining will be 48.1 million tonnes at an average head grade of 0.69 kg/tonne
of U(3)O(8), and a gold grade of 0.85 g/tonne, assuming similar modifying
factors as in the Phase I study.
The Phase II study has been conducted on Inferred Resources, so it has
not been possible to apply a selected mining cut and therefore the grades
quoted above are likely to be enhanced when a selected mining cut is applied.
The processing facility used for Phase I will treat the tonnage mined during
Phase II. The recoveries will remain grade dependent and will therefore be
similar to those described in the Feasibility Study.
Phase II: Operating Costs
The study shows that the operating cost per tonne (excluding royalties),
adjusted to take into account the depth of mining and changes in mine layout
during Phase II, will be approximately US$41/tonne milled (R264/tonne milled)
over the 30 year production plan.
Phase II: Capital Costs
It is expected that Phase II will require additional construction capital
of approximately US$98 million (R645 million) in 2006 dollar terms, to be
spent over an 8 year period commencing in 2008, to establish a fourth decline,
sink a vertical shaft, and a new tailings facility.
Update on Status of Dominion Project Permits
Uranium One has secured a prospecting right for the Dominion Project,
which is in the process of being converted into a new order mining right. In
accordance with the mining right application, all environmental planning
requirements have been complied with. A water use licence has been approved.
An application for registration with the National Nuclear Regulator has been
made. All the necessary surface rights for the project have either been
purchased or secured.
Qualified Person
Roger Dixon of SRK Consulting South Africa (Pty) Ltd. is the qualified
person for the purposes of NI 43-101 and has supervised the preparation of the
information that forms the basis of all of the above information.
Update on Status of Honeymoon Feasibility Study
Uranium One is currently awaiting the completion of an agreement
regarding the amendment of a legacy uranium sales contract, the commercial
terms of which have already been agreed to by the parties. It is anticipated
that the definitive contract will be signed as soon as practicable, after
which a formal announcement detailing the results of the feasibility study
will be made.
About sxr Uranium One
sxr Uranium One Inc. is a Canadian uranium and gold resource company with
a primary listing on the Toronto Stock Exchange and a secondary listing on the
Johannesburg Stock Exchange. The Corporation owns the Dominion Reefs Uranium
Mine in South Africa and the Honeymoon Uranium Project in South Australia, as
well as a number of exploration projects. The Corporation holds a 79% interest
in Aflease Gold Limited, which owns the Modder East gold project in South
Africa. Through a joint venture with Pitchstone Exploration Ltd., the
Corporation is also engaged in uranium exploration activities in the Athabasca
Basin of Saskatchewan.
Cautionary Statement
No stock exchange, securities commission or other regulatory authority
has approved or disapproved the information contained herein.
This News Release includes certain "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of 1995 and
"forward-looking information" within the meaning of applicable Canadian
legislation. All statements other than statements of historical fact, included
in this release, including, without limitation, statements regarding potential
mineralization and reserves and future plans and objectives of Uranium One,
are forward looking statements (or forward-looking information) that involve
various risks and uncertainties. There can be no assurance that such
statements will prove to be accurate and actual results and future events
could differ materially from those anticipated in such statements. Important
factors could cause actual results to differ materially from Uranium One's
expectations. Such factors include, among others, the actual results of
exploration activities, actual results of reclamation activities, the
estimation or realization of mineral reserves and resources, the timing and
amount of estimated future production, costs of production, capital
expenditures, costs and timing of the development of new deposits,
availability of capital required to place the the company's property into
production, conclusions of economic evaluations, acceptance of the Dominion
feasibility study by lending institutions, changes in project parameters as
plans continue to be refined, future prices of commodities, possible
variations in ore grade or recovery rates, failure of plant, equipment or
processes to operate as anticipated, accidents, labor disputes and other risks
of the mining industry, delays in obtaining governmental approvals, permits or
financing or in the completion of development or construction activities,
Uranium One's hedging practices, currency fluctuations, title disputes or
claims limitations on insurance coverage, as well as those factors discussed
under "Risk Factors" in Uranium One's Annual Information Form and Management's
Discussion and Analysis as filed with securities regulatory authorities in
Canada. Although Uranium One has attempted to identify important factors that
could cause actual results to differ materially, there may be other factors
that cause 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. Accordingly, readers should not place undue
reliance on forward-looking statements. Uranium One undertakes to update any
forward-looking statements that are included herein, except in accordance with
applicable securities laws.
To receive the Corporation's news releases by email, please register on
the Corporation's website: www.uranium1.com
%SEDAR: 00005203E
