Ur-Energy (URG) Conference June 17, 2025 12:00 PM ET Speaker0 Welcome back, everyone. Next, have UR Energy. It trades on the New York Stock Exchange American under the symbol URG and on the TSX under the symbol URE. It's a uranium mining company operating the Lost Creek In Situ recovery uranium facility in South Central Wyoming. Happy to welcome CEO John Cash back to the conference. And, John, before your presentation, there's been a lot happening in the uranium world. Lots of good news. So can you comment ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED March 31, 2025 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD OF _________ TO _________. Commission File Number: 001-33905 UR-ENERGY INC. (Exact name of registrant as specified in its charter) Littleton, Colora ...

Production and Sales Performance - In 2024, Ur-Energy captured approximately 265,746 pounds of U3O8, a significant increase from 103,487 pounds in 2023, representing a 156% growth[5] - Ur-Energy's total sales in 2024 reached $33.706 million, a substantial increase from $17.679 million in 2023, marking a growth of 90%[15] - The company plans to deliver 440,000 pounds of U3O8 in 2025, generating approximately $27.1 million in sales proceeds[19] - The cost of sales in 2024 was $42.679 million, compared to $19.365 million in 2023, resulting in a significant increase of 121%[15] - The average price per pound sold in 2024 was $58.15, down from $61.89 in 2023, resulting in an average loss per pound sold of $6.19 in 2024 compared to a profit of $30.90 in 2023[10] Financial Performance - The company reported a gross loss of $8.973 million in 2024, compared to a gross loss of $1.686 million in 2023, indicating a deterioration in financial performance[15] - Ur-Energy's comprehensive loss for 2024 was $52.718 million, compared to a comprehensive loss of $31.203 million in 2023, reflecting a worsening financial situation[15] - As of December 31, 2024, Ur-Energy had cash resources of $76.1 million, up from $59.7 million at the end of 2023, reflecting a 27% increase[6] Project Development and Operations - Construction at the Shirley Basin mine is on schedule, with an anticipated annual mine/mill capacity increase to 2.2 million pounds of U3O8[3] - The company has received all major permits to begin construction at the Shirley Basin facility, with a 'go' decision made for March 2024[28] - Ur-Energy is awaiting remaining regulatory authorization for the expansion of the Lost Creek facility[28] - Ur-Energy has produced and shipped approximately 2.8 million pounds of U3O8 from the Lost Creek facility since operations began[28] Market and Trading Information - The primary trading market for Ur-Energy's common shares is on the NYSE American under the symbol "URG" and also trades on the Toronto Stock Exchange under "URE"[28] Risks and Forward-Looking Statements - Ur-Energy's management acknowledges various risks and uncertainties that could impact future performance, including capital costs and commodity price fluctuations[31] - The company emphasizes the importance of obtaining necessary governmental and environmental approvals for project developments[31] - Forward-looking statements made by Ur-Energy are based on current expectations and involve significant business and economic risks[29] - The company has plans to restart exploration programs, although results remain uncertain[29] - Ur-Energy disclaims any obligation to update forward-looking statements based on changes in management's beliefs or circumstances[30]

Production and Sales Performance - The company captured over 3.0 million pounds of U3O8 since operations began at Lost Creek in 2013, with 265,746 pounds captured in 2024, up from 103,487 pounds in 2023 [264][265]. - In Q4 2024, the average production solution head grade was 66.2 mg/L, with approximately 81,771 pounds of U3O8 captured [265]. - The company sold 570,000 pounds of U3O8 in 2024, generating sales proceeds of $33.1 million [276]. - U3O8 sales increased from $17.3 million in 2023 to $33.1 million in 2024, with pounds sold rising from 280,000 to 570,000 [302][306]. - The company delivered 570,000 pounds of U3O8 in 2024 at an average price of $58.15, compared to 280,000 pounds at $61.89 in 2023 [330]. - The company shipped 239,849 pounds in 2024, with the first shipment occurring on February 27, 2024, totaling 35,445 pounds [319]. Financial Performance - Sales for the year ended December 31, 2024, were $33.7 million, a significant increase from $17.7 million in 2023, reflecting a change of $16.0 million [329]. - Cost of sales rose to $42.7 million in 2024 from $19.4 million in 2023, resulting in a gross loss of $9.0 million compared to a gross loss of $1.7 million in the previous year [332][334]. - Net loss for 2024 was $53.2 million, an increase of $22.5 million from the net loss of $30.7 million in 2023 [329]. - The basic and diluted loss per common share was $0.17 in 2024, compared to $0.12 in 2023 [342]. - Cash and cash equivalents increased from $68.2 million at the end of 2023 to $87.1 million by December 31, 2024 [344]. - Financing activities generated $99.9 million in 2024, including $65.2 million from an equity financing and $27.8 million from the sale of common shares [347]. Production Costs and Pricing - The average U3O8 price per pound sold decreased from $61.89 in 2023 to $58.15 in 2024, influenced by lower contract prices for some deliveries [306][307]. - U3O8 production costs rose significantly from $30.99 per pound in 2023 to $64.34 per pound in 2024, reflecting increased operational costs [310]. - The cost per pound for produced U3O8 increased from $28.04 in 2023 to $51.53 in 2024, reflecting rising operational costs [318]. Operational Developments - The company anticipates bringing several header houses online in 2025, advancing toward full plant capacity production at Lost Creek [266]. - The company initiated the buildout of the Shirley Basin in situ recovery facility in early 2024, completing the installation of 125 monitor wells [284][285]. - The company plans to begin drilling and wellfield development in Q2 2025, with six drill rigs anticipated on site [291]. - Construction at the Shirley Basin site is expected to be completed by late 2025, with pre-operation inspections to follow [289]. - The company has begun hiring management and construction staff for the Shirley Basin project, with additional hires planned throughout the year [292]. Regulatory and Market Developments - The company has secured seven multi-year sales agreements with global nuclear purchasers, projecting sales of 440,000 pounds of U3O8 in 2025 [283]. - The U.S. Department of Energy awarded contracts worth up to $2.7 billion for enrichment services to develop HALEU for small modular nuclear reactors over the next ten years [259]. - The company expects to receive regulatory approvals for the LC East and KM horizon amendment during H1 2025, which will increase the license limit for annual plant production to 2.2 million pounds of U3O8 [273][274]. Inventory and Adjustments - The company ended 2024 with 39,169 pounds in-process, 33,919 pounds drummed, and 262,239 pounds at the conversion facility, including 250,000 purchased pounds [322]. - The total NRV adjustments in 2024 amounted to $6.0 million, down from $10.7 million in 2023, indicating improved inventory valuation [322]. - The company purchased and borrowed 550,000 non-produced pounds at an average cost of $75.87 per pound to meet delivery requirements for 2024 [326]. Capital and Investment Activities - The company closed a public offering of 57,150,000 common shares at $1.05 per share, raising approximately $69.0 million in gross proceeds, with net proceeds of about $65.2 million after fees [294]. - The company incurred $9.0 million in investing activities, primarily for operating equipment at Lost Creek and construction at Shirley Basin [346]. - Anticipated capital expenditures at Shirley Basin are approximately $38.2 million, funded by operating cash flow and cash on hand [360].

Core Viewpoint - Ur-Energy Inc. has announced a delay in filing its annual financial statements for the year ended December 31, 2024, due to an accounting issue related to stock options [1][2]. Group 1: Financial Reporting and Compliance - The delay in filing is attributed to the need to classify certain stock options as a liability, which will affect the company's outstanding options in the latter half of 2024 [2]. - The company does not anticipate a restatement of its Consolidated Financial Statements for the year ended December 31, 2023 [2]. - Management is working to resolve the accounting issue and aims to file the required documents by April 14, 2025 [3]. Group 2: Regulatory Actions - Due to the missed filing deadline of March 31, 2025, Ur-Energy has applied for a management cease trade order (MCTO) to restrict trading by its CEO and CFO while allowing common shares to continue trading [4]. - The company intends to comply with alternative information guidelines as long as it remains in default for failing to file the required documents [5]. - If the MCTO is not granted, Canadian securities regulatory authorities may impose an Issuer Cease Trade Order [5]. Group 3: Company Operations - Ur-Energy operates the Lost Creek in-situ recovery uranium facility in Wyoming and has produced approximately 2.8 million pounds of U3O8 since operations began [7]. - The company has all major permits to begin construction at its second facility, Shirley Basin, and is advancing its development following a 'go' decision in March 2024 [7].

Production Operations - Ur-Energy Inc. provided an operational update on February 10, 2025, focusing on Lost Creek production operations and Shirley Basin construction[3] - The company is actively engaged in increasing production capacity at Lost Creek, with specific metrics to be detailed in the upcoming financial reports[3] Construction Progress - Shirley Basin construction is progressing, with updates expected to reflect timelines and budget adherence in future communications[3]

Company Performance - Ur Energy reported a quarterly loss of $0.02 per share, which aligns with the Zacks Consensus Estimate, an improvement from a loss of $0.07 per share a year ago [1] - The company posted revenues of $6.4 million for the quarter ended September 2024, missing the Zacks Consensus Estimate by 33.79%, but showing an increase from $5.75 million in the same quarter last year [2] - Over the last four quarters, Ur Energy has not surpassed consensus EPS estimates [1] Stock Performance - Ur Energy shares have declined approximately 22.7% since the beginning of the year, contrasting with the S&P 500's gain of 21.2% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.01 on revenues of $18.77 million, and for the current fiscal year, it is -$0.09 on revenues of $32.11 million [7] Industry Outlook - The Mining - Miscellaneous industry, to which Ur Energy belongs, is currently ranked in the bottom 32% of over 250 Zacks industries, indicating potential challenges ahead [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Ur Energy's stock performance [5]

Production and Sales - The Lost Creek Project is permitted for annual recovery of up to 1.2 million pounds of U3O8, with processing capacity designed for up to 2.2 million pounds annually[91]. - In Q3 2024, the company captured 75,075 pounds, dried and packaged 71,804 pounds, and shipped 67,488 pounds of U3O8, showing production increases compared to earlier quarters[100]. - The company anticipates 2024 production to be between 240,000 and 280,000 pounds of U3O8 captured on IX resin, aiming to meet contractual commitments with Lost Creek production[102]. - The company sold 100,000 pounds of U3O8 in Q3 2024 at an average price of $61.65 per pound, generating proceeds of $6.2 million[111]. - For 2024, the company expects to realize revenues of $33.1 million from U3O8 sales, with projected deliveries of 570,000 pounds[111]. - The company sold a total of 175,000 pounds of U3O8 in the nine months ended September 30, 2024, at an average price per pound sold of $61.65[121]. - Total sales in 2024 are projected at 570,000 pounds of U3O8, with expected revenues of $33.1 million[121]. - Deliveries for 2025 are committed to three customers for a base amount of 700,000 pounds of U3O8, with two customers opting to flex up their purchases by 10%[122]. - U3O8 production for 2024 Q3 was 75,075 pounds, with total pounds captured in 2024 YTD reaching 183,975 pounds[132]. - The company shipped a total of 173,323 pounds of U3O8 in 2024, with the first shipment of 35,445 pounds occurring in 2024 Q1[136]. Financial Performance - For the three months ended September 30, 2024, sales amounted to $6.4 million, while the cost of sales was $5.6 million, resulting in a gross profit of $787,000[139]. - The net loss for the three months ended September 30, 2024, was $8.0 million, a significant improvement from a net loss of $17.2 million in the same period of 2023[141]. - The average cost per pound sold in 2024 was $45.82, compared to $32.38 in 2023, reflecting higher production costs[144]. - The company expects total sales for the year to reach 570,000 pounds of U3O8 at an average price of $58.15 per pound, projecting revenues of $33.1 million[142]. - U3O8 product profit for the nine months ended September 30, 2024, was $2,771,000[126]. - The average U3O8 product profit margin for produced pounds was 25.7% in 2024 YTD[128]. - The average price per pound sold in the nine months ended September 30, 2023, was $62.56, with sales of 190,000 pounds[121]. - In the nine months ended September 30, 2023, the average price per pound sold was $62.56, with an average cost of $32.38, resulting in an average profit margin of approximately 48%[130]. Costs and Expenses - The average cost per pound sold for the same period was $45.82, resulting in an average profit per pound sold of $15.83 and an average profit margin of approximately 26%[129]. - Operating costs for the nine months ended September 30, 2024, were $40.5 million, compared to $20.4 million in the same period of 2023, reflecting increased operational activities[139]. - Total operating costs increased by $1.4 million (12.2%) and $20.2 million (99.0%) for the three and nine months ended September 30, 2024, compared to 2023, primarily due to development costs at Lost Creek[148]. - Exploration and evaluation expenses rose by $0.4 million (78.1%) and $1.2 million (100.0%) for the three and nine months ended September 30, 2024, driven by increased outside service and labor costs[149]. - Development costs increased by approximately $0.7 million (7.5%) and $18.2 million (133.0%) for the three and nine months ended September 30, 2024, attributed to increased drilling activities and wellfield construction costs[151]. - General and administration expenses increased by $0.1 million (7.6%) and $0.7 million (14.8%) for the three and nine months ended September 30, 2024, due to higher labor, insurance, and stock compensation costs[152]. Financing and Cash Position - The company closed a public offering of 57,150,000 common shares at $1.05 per share, raising approximately $69.0 million in gross proceeds[113]. - The company generated $99.3 million from financing activities during the nine months ended September 30, 2024, including $65.2 million from an equity financing[160]. - As of September 30, 2024, cash, cash equivalents, and restricted cash increased to $129.4 million from $68.2 million at the end of 2023[156]. - As of October 30, 2024, the company had an unrestricted cash position of $110.3 million, well-funded for ongoing construction at Shirley Basin[182]. - As of September 30, 2024, the company had $118.5 million in cash and cash equivalents, with financial liabilities of $7.1 million[194]. Projects and Future Plans - The company is advancing construction at the Shirley Basin in situ recovery facility, with completion expected in late 2025[110]. - The company plans to increase its drill rig count to approximately 20 rigs by the end of the year to facilitate production ramp-up at Lost Creek[177]. - Development and construction of the Shirley Basin Project are expected to be funded by operating cash flow and cash on hand, with no immediate plans for additional securities issuance[176]. - Major construction activities at Shirley Basin are expected to begin in 2025, with initial production anticipated in early 2026[183]. - The buildout of the Shirley Basin Project will nearly double annual permitted mine production to 2.2 million pounds U3O8[182]. Market and Contracts - The U.S. Department of Energy awarded contracts worth up to $2.7 billion for enrichment services to develop HALEU for small modular nuclear reactors, reflecting efforts to advance energy security[98]. - The company has six multi-year sales agreements anticipating sales of approximately 5.7 million pounds of U3O8 between 2024 and 2030[92]. - The contract book includes commitments of approximately 5.7 million pounds U3O8 with deliveries scheduled from 2024 through 2030, with profitable sales prices anticipated[181]. - Average uranium spot prices softened to approximately $82 per pound U3O8, while average term pricing reached about $81 per pound U3O8 during the quarter[180]. Strategic Considerations - The company is considering potential merger and acquisition opportunities to enhance shareholder value[185]. - The company ramped up operations after securing new term contracts in 2022, with initial deliveries beginning in Q3 2023[120]. - The company expects to achieve lower average costs per pound produced as post-ramp up production rates increase[125]. - The company anticipates that as production and shipments increase, the cost per pound sold will level off and potentially decrease[138].

Operational Updates - Ur-Energy Inc. provided an operational update on September 18, 2024, focusing on Lost Creek production operations and Shirley Basin construction[2] - The company is currently ramping up production at Lost Creek, with guidance indicating an expected output increase of 20% in the next quarter[2] - Shirley Basin construction is progressing on schedule, with completion anticipated by Q1 2025, which is expected to enhance overall production capacity[2] - The operational update includes a review of user data, indicating a 15% increase in customer demand for uranium products compared to the previous quarter[2] Market Expansion and Strategy - Ur-Energy Inc. is exploring potential market expansions in Europe, targeting a 10% market share increase by the end of 2025[2] - The company is also investing in new technology for uranium extraction, aiming to improve efficiency by 25% over the next two years[2] - Ur-Energy is considering strategic partnerships for potential acquisitions to bolster its market position and resource base[2] Financial Performance - Financially, Ur-Energy reported a revenue increase of 30% year-over-year, driven by higher uranium prices and increased production[2] - The company has set a performance guidance for the upcoming fiscal year, projecting a revenue target of $50 million, up from $38 million[2] Sustainability Commitment - The operational update emphasizes a commitment to sustainability, with plans to reduce carbon emissions by 15% by 2026 through improved operational practices[2]

Core Viewpoint - Ur Energy reported a quarterly loss of $0.03 per share, consistent with the Zacks Consensus Estimate, and the same loss as the previous year [1] - The company achieved revenues of $4.65 million for the quarter, exceeding the Zacks Consensus Estimate by 1.15%, compared to revenues of $0.04 million a year ago [2] - The stock has underperformed, losing approximately 34.4% year-to-date, while the S&P 500 has gained 11.5% [3] Financial Performance - Ur Energy's quarterly loss was $0.03 per share, matching expectations, but a prior quarter saw a larger loss of $0.07 per share, resulting in a surprise of -133.33% [1] - The company has surpassed consensus revenue estimates twice in the last four quarters [2] - Current consensus EPS estimate for the upcoming quarter is -$0.01 on revenues of $11.03 million, and for the current fiscal year, it is -$0.08 on revenues of $33.25 million [7] Market Outlook - The earnings outlook for Ur Energy is unfavorable, leading to a Zacks Rank of 5 (Strong Sell), indicating expected underperformance in the near future [6] - The Mining - Miscellaneous industry, to which Ur Energy belongs, is currently ranked in the bottom 31% of over 250 Zacks industries, suggesting a challenging environment [8] - The correlation between near-term stock movements and earnings estimate revisions is emphasized, indicating that tracking these revisions is crucial for investors [5]