September 2012 Corporate Presentation

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September 2012 Corporate Presentation

  1. 1. N YSE M KT: UR G TSX : UR E Ur-Energy is an Advanced Pre-Production Junior Mining Company Focused on development of low-cost uranium production properties in the United States Corporate Objectives: •Lost Creek Development •Resource Growth •Strategic OpportunitiesCorporate PresentationSeptem ber 2012
  2. 2. DisclaimerThis presentation contains “forward-looking statements,” within the meaning of applicable securities laws, regarding events or conditions thatmay occur in the future. Such statements include without limitation the long term effects on the uranium market of events in Japan in 2011including supply and demand projections; the Company’s timeframe for events leading to and culminating in the commencement of production atLost Creek (including procurement, construction); the technical and economic viability of the Lost Creek Project (including the projectionscontained in the preliminary analysis of economics of the Lost Creek Project); receipt of (and related timing of) Record of Decision from the U.S.Bureau of Land Management related to Lost Creek; timing and completion of closing of the Pathfinder transaction; the ability to completeadditional favorable uranium sales agreements and ability to reduce exposure to volatile market; the potential of exploration targets throughoutthe Lost Creek Property; and the further exploration, development and permitting of exploration projects including Lost Soldier, the Nebraskaproperty, Screech Lake and, following a closing, at PMC projects; and whether a re-rating of the Company will occur as production nears. Thesestatements are based on current expectations that, while considered reasonable by management at this time, inherently involve a number ofsignificant business, economic and competitive risks, uncertainties and contingencies. Numerous factors could cause actual events to differmaterially from those in the 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 marketfluctuations; the impact of exploration competition; the ability to raise funds through private or public equity financings; imprecision in resourceand 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; weather and other natural phenomena; delays in obtaining or failures to obtain required governmental, environmentalor other project approvals; and other exploration, development, operating, financial market and regulatory risks. Although Ur-Energy Inc.believes that the assumptions inherent in the forward-looking statements are reasonable, undue reliance should not be placed on thesestatements, which only apply as of the date of this presentation. Ur-Energy Inc. disclaims any intention or obligation to update or revise anyforward-looking statement, whether as a result of new information, future events or otherwise.Cautionary Note Regarding Projections: Similarly, this presentation also may contain projections relating to an extended future period and,accordingly, the estimates and assumptions underlying the projections are inherently highly uncertain, based on events that have not takenplace, and are subject to significant economic, financial, regulatory, competitive and other uncertainties and contingencies beyond the control ofUr-Energy Inc. Further, given the nature of the Companys business and industry that is subject to a number of significant risk factors, there canbe no assurance that the projections can be or will be realized. It is probable that the actual results and outcomes will differ, possibly materially,from those projected.The attention of investors is drawn to the Risk Factors set out in the Companys Annual Information Form and Annual Report on Form 40-F,dated March 2, 2012, which are filed, respectively, with the regulatory authorities in Canada on SEDAR and with the U.S. Securities andExchange Commission on EDGAR. (www.sedar.com and http://www.sec.gov/edgar.shtml)Cautionary Note to U.S. Investors Concerning Estimates of Measured, Indicated or Inferred Resources: the information presented usesthe terms "measured", "indicated" and "inferred" mineral resources. United States investors are advised that while such terms are recognizedand required by Canadian regulations, the United States Securities and Exchange Commission does not recognize these terms. United Statesinvestors are cautioned not to assume that all or any part of measured or indicated mineral resources will ever be converted into mineralreserves. United States investors are also cautioned not to assume that all or any part of an inferred mineral resource exists, or is economicallyor legally minable.John Cooper, Ur-Energy Project Geologist, P.Geo. and SME Registered Member, and Qualified Person as defined by NationalInstrument 43-101, and Catherine Bull, Ur-Energy Project Engineer, Wyoming P.E., and Qualified Person as defined by the NI 43-101,reviewed and approved the technical information contained in this presentation. 2 N YSE M KT: UR G TSX : UR E
  3. 3. Ur-Energy At A Glance Re-Rating is Likely as URG Nears Production Advanced Pre-Production Project at Lost Creek, Wyoming Final EIS received from BLM on August 17, 2012 Record of Decision (ROD) expected to be signed after 30 day NOA Construction anticipated to commence September/October First production forecast for mid-2013 Expanding Resources Through Acquisition and Exploration Definitive agreement to acquire Pathfinder Mines Corporation Continued expansion of the Lost Creek Property Secure Future Revenue Stream Through Sales Agreements Strong Balance SheetSee Disclaimer re Forward-looking Statements and Projections (slide 2) 3 N YSE M KT: UR G TSX : UR E
  4. 4. Ur-Energy’s Market PositionShare Capital & Cash Position NYSE MKT: URGAs of 07/26/12Shares Outstanding 121.1MStock Options & RSUs 8.0MFully Diluted 129.1MMarket Cap (09/06/12) C$115.03MCash (06/30/12) C$35.7MDebt $0Cash per share (06/30/12) ~C$0.295Share price (09/06/12) C$0.9652 Week Range C$.64 - $1.49Avg. Daily Volume ~660,000 TSX: URE(3-mo URG & URE 09/06/12)Member of S&P/TSX SmallCap IndexGeographical Distribution as of 6/30/12United States ~46%Canada ~40%Other ~14%See Disclaimer re Forward-looking Statements and Projections (slide 2) 4 N YSE M KT: UR G TSX : UR E
  5. 5. Analyst CoverageUnited StatesRoth Capital Partners Michael Legg (New York, NY) 1 646 358 1917CanadaDundee Securities David A. Talbot (Toronto, ON) 1 416-350-3082Haywood Securities Colin Healey (Vancouver, BC) 1 604-697-7400Raymond James David Sadowski (Vancouver, BC) 1 604-659-8255RBC Capital Adam Schatzker (Toronto, ON) 1 416-842-7850Ur-Energy Inc. is followed by the analysts listed above. This list, including the firms and individual analysts at these firms, is subjectto change at any time without notice. Please note that any opinions, estimates, forecasts, conclusions or recommendationsregarding Ur-Energy Inc. performance made by these analysts are theirs alone and do not represent opinions, estimates, forecasts,conclusions, recommendations or predictions of Ur-Energy Inc. or its management. Ur-Energy Inc. does not by its reference aboveor in any other manner imply its endorsement of or concurrence with such information, conclusions or recommendations. 5 N YSE M KT: UR G TSX : UR E
  6. 6. Experienced Management Team Board of Directors Ex ecutive Directors Wayne W. Heili, President & Chief Executive Officer (Metallurgical Engineer) Jeffrey T. Klenda*, Board Chairman, Executive Director (Mining Finance) Non-Ex ecutive Directors W. William Boberg*, Former President & CEO (Professional Geologist) James M. Franklin*, Chair-Technical Committee (Professional Geologist) Paul Macdonell*, Chair-Compensation and Corp. Governance & Nominating Committees (Senior Federal Mediator) Thomas H. Parker, Chair-Audit Committee (Professional Engineer) Officers Roger L. Smith, Chief Financial Officer & Chief Administrative Officer(CPA & MBA) Steven M. Hatten, VP Operations (Mining Engineer) John W. Cash, VP Regulatory Affairs, Exploration & Geology (Geologist & Geophysicist) Penne A. Goplerud, Corporate Secretary & General Counsel (JD)* Founding Directors 6 N YSE M KT: UR G TSX : UR E
  7. 7. Industry Leading ProfessionalsHighly Experienced Technical and Management Team113 Years of Direct Uranium Production Experience ISR operations experience – Nebraska, Texas & Wyoming 7 N YSE M KT: UR G TSX : UR E
  8. 8. Nuclear Fuel Demand is GrowingUS NRC approved four new construction & operation licenses thisyear (2012) First nuclear power plant licenses in 30+ yearsHEU Agreement to expire next year Provides 13% of world and 45% of US annual supply63 new reactors under constructionRussia, China and India represent 50% of new builds and havereaffirmed support for nuclear powerSaudi Arabia & the United Kingdom combined have announcedplans to build 24 new reactors See Disclaimer re Forward-looking Statements and Projections (slide 2) 8 N YSE M KT: UR G TSX : UR E
  9. 9. Global Supply Picture is Dynamic Today’s capital markets present a significant obstacle to development of new large scale mining centers Current prices do not incentivize new supply development or sustain high cost conventional producers Large scale production growth is being curtailed for the foreseeable future Olympic Dam expansion delayed Kintyre shelved No new growth for Paladin under $85/pound New production will only come from a limited number of low cost, scalable projects See Disclaimer re Forward-looking Statements and Projections (slide 2) 9 N YSE M KT: UR G TSX : UR E
  10. 10. The US Uranium Market US Demand is not met by US Production The US mines produce ~ 4M lbs of uranium / yr 1 The US utilities consume 55M lbs of uranium / yr 1 Ur-Energy is well positioned to capitalize on this opportunitySee Disclaimer re Forward-looking Statements and Projections (slide 2) 1 – U.S. Energy Information Administration 10 N YSE M KT: UR G TSX : UR E
  11. 11. Sound Marketing StrategyBalancing strategic andeconomic benefits of thespot/term price ratioDe-risking by securing futurerevenue stream in an uncertainmarketSecuring pricing that supportsdevelopment plans for the LostCreek ProjectFour term contracts secured with North American utilitiesExclusive representation by NuCore Energy, LLC in off-takepurchase agreement negotiations See Disclaimer re Forward-looking Statements and Projections (slide 2) 11 N YSE M KT: UR G TSX : UR E
  12. 12. Ur-Energy’s US Projects 12 N YSE M KT: UR G TSX : UR E
  13. 13. ISR – Low Impact Mining CAMECO Smith Ranch ISR Mine Powder River Basin, Wyoming 13 N YSE M KT: UR G TSX : UR E
  14. 14. Lost Creek ISR ProjectUr-Energy’s Flagship PropertyGrowing ResourcesShovel Ready Uranium ISR MineLicensed for Production*Low Projected Operating CostsLow Pre-Production Capital Cost* Anticipating Final BLM approval in September, 2012 See Disclaimer re Forward-looking Statements and Projections (slide 2) 14 N YSE M KT: UR G TSX : UR E
  15. 15. The Lost Creek PropertyUpgrade to the NI 43-101 Mineral Resource Estimate on the LostCreek Property (as of April 30, 2012 PEA)Measured: 4.20 Mlbs eU3O8 (in 3.85 Mt @ 0.055%)Indicated: 4.15 Mlbs eU3O8 (in 3.96 Mt @ 0.053%)Inferred: 2.87 Mlbs eU3O8 (in 2.99 Mt @ 0.049%)* Based on grade cutoff of 0.02% eU3O8 and a GT cutoff of 0.3 Updated technical report includes new claims and upgraded resources Exploration targets within the Lost Creek Project and adjoining projects provide potential of additional resources U3O8 Lost Creek Project – 4,254 permit acres Adjoining Projects – ~38,000 acres Many of these exploration targets remain conceptual in nature. There has been insufficient exploration to define mineral resource estimates at all such exploration targets. It is uncertain if further exploration will result in the additional target areas being delineated as further mineral resource. See Disclaimer re Forward-looking Statements and Projections (slide 2) 15 N YSE M KT: UR G TSX : UR E
  16. 16. Lost CreekAdjacent to Rio Tinto Sweetwater Mine Complex (NRC licensed conventional uranium mill) JK 16 NYSE MKT: URG TSX: URE
  17. 17. 2012 Property AcquisitionAsset Exchange Added ~5,250 acres No Cash CostAdditional ~250 new mining claims stakedResource gain (as of April 30, 2012 PEA) Measured: 1.26 Mlbs eU3O8 (in 1.16 Mt @ 0.054%) Indicated: 1.33 Mlbs eU3O8 (in 1.55 Mt @ 0.043%) Inferred: 0.85 Mlbs eU3O8 (in 0.93 Mt @ 0.048%) * Based on grade cutoff of 0.02% eU3O8 and a GT cutoff of 0.3Ur-Energy possesses ~1,100 holes ofhistoric drill data on new landsProperties directly adjacent to Lost CreekProject boundaries See Disclaimer re Forward-looking Statements and Projections (slide 2) 17 N YSE M KT: UR G TSX : UR E
  18. 18. Preliminary Economic Assessment April 30, 2012 PEA* Updates Resources and Economics Mineral Resource Increase from February 2012 PEA 45% I ncrease in Measured and Indicated Resources 42% I ncrease in Inferred Resources Estimates Operating Costs at US$16.12/ lb Lowest quartile of all uranium producers Project Internal Rate of Return (I RR ) at 87% Pre-Production Capital Costs of Only US$31.6M Rem aining Lowest quartile of all developing uranium production facilities Extended Life of Mine to 8-10 years * P relim inary Econom ic Assessm ent of the Lost Creek P roperty, Sw eetw ater County, W yom ing P repared by Ur-Energy Inc. – April 30, 2012 (posted on SEDAR and EDGAR ) Cautionary Statement: This PEA is preliminary in nature, and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. The estimated mineral recovery used in this PEA is based on both site-specific laboratory recovery data as well as URE personnel and industry experience at similar facilities. There can be no assurance that recovery at this level will be achieved. See Disclaimer re Forward-looking Statements and Projections (slide 2) 18 N YSE M KT: UR G TSX : UR E
  19. 19. Shovel ReadyPlant Engineering Completed Groundbreaking in October 2012 Nine month estimated build-outPurchased Key Plant Equipment Ion Exchange & Elution Columns Process Tanks and Equipment Header HousesPre-Production Capital of $31.6M Ur-Energy’s Ion Exchange Columns Process Plant: $18.8M Initial Production Area: $4.7M Disposal Well Installation: $6.4M Infrastructure: $1.7MStaffed for Construction Management Personnel Field Support Crew Interior of Ur-Energy’s Prototype Header House 19 N YSE M KT: UR G TSX : UR E
  20. 20. Moving to Production Final EIS received from BLM on August 17, 2012 30 day Notice of Availability (NOA) period ends Sept. 17, 2012 Record of Decision (ROD) expected to be signed shortly after Licenses and Permits Received  US NRC License  Wyoming DEQ Permit to Mine – Includes Approval of First Mine Unit  WDEQ Class I UIC Permit (water disposal well)  EPA Aquifer Exemption Construction: 9 month build-out First Production Planned for second quarter next year Ramp-up to 1 million pound per year production rate See Disclaimer re Forward-looking Statements and Projections (slide 2) 20 N YSE M KT: UR G TSX : UR E
  21. 21. Pathfinder Mines Corporation PMC holds Ur-Energy’s Next Production CenterDefinitive Purchase Agreement withCogema Resources signed in July,2012 PATHFINDERIncludes Shirley Basin & Lucky Mcprojects located in historic uraniumproduction centersOver 71 million pounds U3O8produced by PMCPMC’s extensive explorationdatabase includedPurchase Price: US$13.25 millionTransaction expected to close in first quarter of 2013 See Disclaimer re Forward-looking Statements and Projections (slide 2) 21 N YSE M KT: UR G TSX : UR E
  22. 22. Shirley Basin Property Snapshot Located in the Historic Shirley Basin Mining District Historic estimate of resources: >10 million lbs U3O8* High grade roll front deposit: average 0.21% U3O8 Based on historic reports and drilling results* Uranium resources can be converted to NI 43-101 compliant Shallow, ISR amenable mineralization Main mineral trend located on patented mining claims Low holding costs and free of royalty interests Brownfield property with existing infrastructure, permits and licenses Licensed ISR by-product disposal facility*Ur-Energy is not treating the historic reports as current mineral resources or mineral reserves, because a QualifiedPerson has not yet conducted sufficient work to classify the estimates as such. See Disclaimer re Forward-looking Statements and Projections (slide 2) 22 N YSE M KT: UR G TSX : UR E
  23. 23. Lucky Mc Property Snapshot Located in the Gas Hills Uranium District 2nd largest historical producing district in the US Historic estimate of resources: 4.7 million lbs U3O8* Based on historic reports and drilling results* Uranium resources can be converted to NI 43-101 compliant Low holding costs Resources on patented mining claims and state leases Existing infrastructure and mining permits Strategic opportunities with nearby developers Cameco and Strathmore*Ur-Energy is not treating the historic reports as current mineral resources or mineral reserves, because a QualifiedPerson has not yet conducted sufficient work to classify the estimates as such. See Disclaimer re Forward-looking Statements and Projections (slide 2) 23 N YSE M KT: UR G TSX : UR E
  24. 24. Lost Soldier – 12.2M M&I lbs U3O8 Can be Licensed with NRC as Amendment to Lost Creek License NI 43-101 Resource | July 2006 Measured & Indicated: 12.2 Mlbs eU3O8 (in 9.4 Mt @ 0.065%) Inferred: 1.8 Mlbs eU3O8 (in1.6 Mt @ 0.055%) M & I Resource average GT of 1.1 (17.2 ft @ 0.065% U3O8) Shallow: 240 feet deep Over 3,700 drill holes define deposit (Technical Report on the Lost Soldier Project, Wyoming, C. Stewart Wallis, Roscoe Postle Associates Inc., July 10, 2006 - Posted on SEDAR) See Disclaimer re Forward-looking Statements and Projections (slide 2) 24 N YSE M KT: UR G TSX : UR E
  25. 25. Screech Lake, Thelon Basin, NWT Completed Audio-Magnetotelluric Geophysical Survey, and Soil Gas Hydrocarbon and Enzyme Leach Soil Geochemistry Analyses to Better Define Drill Targets MegaTEM Survey Screech Lake See Disclaimer re Forward-looking Statements and Projections (slide 2) 0 4 Kilometers 25 N YSE M KT: UR G TSX : UR E
  26. 26. Ur-Energy – Right Now!Growth Oriented Technical & Management TeamStrong Balance Sheet C$35.7 Million (06/30/12)Advanced Pre-Production Project at Lost Creek Low-cost uranium production center Project construction planned to begin by October 2012Signed Multiple Long-Term Uranium Sales Agreements Reducing Company exposure to volatile marketplaceRe-rating Likely as Ur-Energy Nears Production See Disclaimer re Forward-looking Statements and Projections (slide 2) 26 N YSE M KT: UR G TSX : UR E
  27. 27. Re-Rating Potential Stage EV/LbURG Upside vs. Producers Producers $4.41  3X (+$3.02/Lb) URG $1.39 Source: Dundee (Aug 23, 2012) As Ur-Energy Nears Production, Re-rating is Likely See Disclaimer re Forward-looking Statements and Projections (slide 2) 27 N YSE M KT: UR G TSX : UR E
  28. 28. Company Growth Objectives Advance Lost Creek to Production Nameplate production of 1 Million Lbs in 2014 Resource Expansion Through Ongoing Exploration Efforts Increase minable resources that will be accessible to the Lost Creek processing plant Exploration properties in Wyoming and Western Nebraska Growth in Production Profile Development of second production site at Shirley Basin Proven acquisition strategy with focus on production potential Monetizing Historic Exploration Databases Data is a valuable commodity for Explorers and DevelopersSee Disclaimer re Forward-looking Statements and Projections (slide 2) 28 N YSE M KT: UR G TSX : UR E
  29. 29. Ur-Energy’s News Flow Final Regulatory Approval Record of Decision (ROD) expected to be signed September 2012 Construction at Lost Creek Project Expected start September/October 2012 Expanding Resources Acquisition ExplorationSee Disclaimer re Forward-looking Statements and Projections (slide 2) 29 N YSE M KT: UR G TSX : UR E
  30. 30. Ur-Energy - The Right People. The Right Projects. Right Now.  For more information, please contact: Wayne Heili, President, Chief Executive Officer & Director Jeff Klenda, Board Chairman & Director Rich Boberg, Director of Public Relations  By Mail: Ur-Energy Corporate Office 10758 W. Centennial Rd., Ste. 200 Littleton, CO 80127 USA  By Phone: Office (720) 981-4588 Toll-Free (866) 981-4588 Fax (720) 981-5643  By E-mail: wayne.heili@ur-energyusa.com jeff.klenda@ur-energyusa.com rich.boberg@ur-energyusa.com 30 NYSE M KT: URG N YSE MKT: UR G TSX:: URE TSX UR E

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