Uranium Resources, Inc. (NASDAQ: URRE) (“URI” or the “Company”), today provided an update on the Company’s activities, its liquidity position and its strategy and outlook for 2012.
Access Agreement with Navajo Nation
On July 31, 2012, URI announced that its wholly-owned subsidiary Hydro Resources, Inc. (“HRI”) came to an agreement with the Navajo Nation regarding temporary access for its Churchrock Section 8 (“Section 8”) property via Sections 9 and 17. The agreement is intended by both parties to settle the alleged trespass issue related to the Notice of Violation and Order to Comply with the Navajo Nation Civil Trespass Act received by the Company on April 5, 2012. Additionally, it provides access for regulatory requirements including on site visits with the Nuclear Regulatory Commission, but does not allow for any construction activities or earth disturbances.
Under the terms and for the duration of this agreement, HRI has agreed to the jurisdiction of the Navajo Nation. HRI has also offered to complete remediation of any radioactive contamination on Sections 17 or 8 prior to commencing in situ leach recovery operations on Section 8.
Don Ewigleben, President and CEO of URI, commented, “We believe this initial agreement is a significant step forward toward the advancement of our economically viable Churchrock Section 8 project. We are actively in discussions with the Navajo Nation on a comprehensive agreement and are in the process of developing specific cost and timelines for the remediation work.”
Advancement of Churchrock Section 8 Continues to be a Priority
The Churchrock Section 8 area contains 6.5 million pounds of in-place non-reserve mineralized uranium material. Section 8 falls within the Company’s underground injection control permit and NRC licenses, both of which are in timely renewal and in the process of being renewed. The NRC license addresses in total 27.4 million pounds of in-place, non-reserve, mineralized uranium material for the Company’s Churchrock/Crownpoint Project.