This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Uranium Resources Provides Full Year 2012 Review And Outlines Near-Term Initiatives

Stocks in this article: URRE

On March 13, 2013, URI announced that its Board of Directors appointed Christopher M. Jones, P.E., as President and CEO effective April 1, 2013. Mr. Jones has more than 30 years experience in the mining industry having successfully lead various mining and production operations, as well as exploration and development projects. He most recently was President and CEO of Wildcat Silver Corporation, and prior to that, he was the Chief Operating Officer and the Mining General Manger at Albian Sands Energy.

Near-term Objectives

Mr. Cryan noted, “In the fourth quarter we outlined URI’s primary areas of focus as we headed into 2013. During the fourth quarter we were able to significantly reduce our cash burn and stabilized our capital levels using our bridge loan facility, the Rights Offering and the restructuring of our bonding requirements on our South Texas properties. We will remain diligent in our efforts to preserve capital for the remainder of 2013.

“With construction plans for our Churchrock Section 8 project currently delayed, discussions aimed at reaching a permanent access agreement with the Navajo Nation and with royalty holders of our Section 8, Section 17 and Mancos properties remain a priority in 2013. Concurrently, in Texas we will continue our exploration efforts with Cameco and look at other opportunities as part of our effort to grow our South Texas asset base and return to production in the state.”

Advancements in New Mexico

URI’s primary focus in New Mexico is advancing the Churchrock Section 8 property, which contains 6.5 million pounds of mineralized uranium material at a grade of 0.11% U 3O 8 and is covered by the Company’s underground injection control permit and NRC license, both of which are in timely renewal.

  • Neutron Acquisition - URI completed a stock-for-stock transaction to acquire 100% of the equity of Neutron on August 31, 2012 on a debt-free basis. The acquisition increased URI’s asset base by more than 50 percent to 152.9 million pounds of in-place mineralized uranium material in New Mexico.
  • Section 8 Feasibility Study – Released the summary results of the feasibility study for its Churchrock Section 8 Project at the end of 2012. ISR is the preferred uranium extraction technology for the project and using an assumed recovery rate of 67% could result in the production of approximately 4.4 million pounds. Pre-production development costs are estimated at $35 million with direct operating costs estimated to be $20 to $23 per pound of U 3O 8 produced.
  • Section 8 Groundwater Study – Completed collaborative study with the Navajo Nation and the City of Gallup with results indicating that existing Gallup, Fort Wingate, Rehoboth and Navajo Nation water wells will not be impacted by Section 8 ISR activities, during mining operations or into the future.
  • Agreement with Navajo Nation – Hydro Resources, Inc., a wholly-owned subsidiary of URI, completed a temporary access agreement with the Navajo Nation for its Churchrock Section 8 property providing access for regulatory requirements to include on-site visits with the Nuclear Regulatory Commission.

Focus in Texas: Tecolote exploration project kicks off, Restoration activities ongoing

In 2012, URI and Cameco completed Phase II of the joint Los Finados exploration project to include drilling 40 holes at an average depth of 1,327 feet. On January 7, 2013, URI announced the expansion of its lease agreement in Kenedy County, Texas, to include the Tecolote tract which has approximately 22,700 net acres and that it will be a part of the exploration program with Cameco. In addition, the Company extended the original lease to 60 months with the election date to lease the acreage for production now being November 30, 2015. The amended lease agreement requires a minimum exploration obligation of $1.0 million, or 100 exploration wells during Phase III. Phase IV and Phase V require $1.5 million, or 150 exploration wells, and $2.0 million, or 200 exploration wells, respectively.

2 of 7

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,948.34 +143.54 0.81%
S&P 500 2,076.45 +5.80 0.28%
NASDAQ 4,777.9080 +12.5280 0.26%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs