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 ~~September 30, 2023~~March 31, 2024

☐

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)

Canada		Not Applicable
State or other jurisdiction of incorporation or organization		(I.R.S. Employer Identification No.)

10758 West Centennial Road, Suite 200

Littleton, Colorado 80127

(Address of principal executive offices, including zip code)

Registrant’s telephone number, including area code: 720-981-4588

Securities registered pursuant to Section 12(b) of the Act:

Title of each class:		Trading Symbol		Name of each exchange on which registered:
Common stock		URG (NYSE American); URE (TSX)		NYSE American; TSX

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☐

Accelerated filer

☐

Non-accelerated filer

☒

Smaller reporting company

☒

Emerging growth company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes ☐ No ☒

As of ~~October 26, 2023,~~May 2, 2024, there were ~~265,989,118~~281,626,324 shares of the registrant’s no par value Common Shares (“Common Shares”), the registrant’s only outstanding class of voting securities, outstanding.

UR-ENERGY INC.

TABLE OF CONTENTS

Table of Contents

When we use the terms “Ur-Energy,” “we,” “us,” or “our,” or the “Company” we are referring to Ur-Energy Inc. and its subsidiaries, unless the context otherwise requires. Throughout this document we make statements that are classified as “forward-looking.” Please refer to the “Cautionary Statement Regarding Forward-Looking Statements” section below for an explanation of these types of assertions.

Cautionary Statement Regarding Forward-Looking Information

This report on Form 10-Q contains "forward-looking statements" within the meaning of applicable United States (“U.S.”) and Canadian securities laws, and these forward-looking statements can be identified by the use of words such as "expect," "anticipate," "estimate," "believe," "may," "potential," "intends," "plans" and other similar expressions or statements that an action, event or result "may," "could" or "should" be taken, occur or be achieved, or the negative thereof or other similar statements. These statements are only predictions and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance, or achievements expressed or implied by these forward-looking statements. Such statements include, but are not limited to: (i) the ability to maintain safe and compliant operations at Lost ~~Creek as we continue to ramp up and operate at commercial production levels;~~Creek; (ii) the timing for ongoing ~~hiring and training of staff at Lost Creek, and the related timing for~~ construction and development work at Lost Creek, including the schedule for bringing additional header houses online; (iii) future development and construction priorities and timelines for Shirley Basin, including timing for a decision to commence construction-related activities and whether our current projections for buildout are able to be met; (iv) our ability to ~~ramp-up to~~reach steady state higher production levels at Lost Creek in a timely and cost-effective manner including timely delivery into our ~~contracts~~contracts; (iv) development and ~~at what profit margins;~~construction priorities and timelines for Shirley Basin, and whether our current projections for buildout can to be met; (v) the ability to complete additional favorable uranium sales agreements; (vi) the timing and outcome of final regulatory approvals of the amendments for uranium recovery at the LC East Project; ~~(vi)~~(vii) continuing effects of supply-chain disruption, and challenges in the labor market, and whether the Company will continue to anticipate and overcome such delays; ~~(vii) the viability of our ongoing research and development efforts, including the timing and cost to permit, implement and operate one or more of them;~~ (viii) whether the new centralized services facility will provide the operational, financial and environmental benefits currently foreseen; (ix) the ability to complete additional favorable uranium sales agreements, including whether fuel buyers will remain in the market and continue to focus on North American product; (x) the effects of the current evolving uranium market, including supply and demand, and whether increases in spot and term pricing will continue and be sustained; ~~(xi)~~(ix) the impacts of global geopolitical events on the nuclear fuel industry and specifically U.S. uranium ~~producers, including the war in Ukraine and other conflicts which may affect production, shipment and commitment of uranium and nuclear fuel supplies; (xii)~~producers; (x) whether new or continuing sanctions on Russia will affect imports of nuclear fuel to the U.S.~~; (xiii)~~, including whether ~~proposals in Congress to support~~ the ~~nuclear industries~~ban on Russian uranium will be ~~made~~signed into law and what effects ~~they would have; and (xiv) impacts~~it will have on the ~~global markets of climate change initiatives of nations~~uranium market; and ~~multi-national companies.~~(xi) whether we will be able to expand our production portfolio business with organic or inorganic growth. Additional factors include, among others, the following: ~~challenges presented by current inventories and largely unrestricted imports of uranium products into the U.S.;~~ future estimates for production; capital expenditures; operating costs; mineral resources, grade estimates and recovery rates; market prices; business strategies and measures to implement such strategies; competitive strengths; estimates of goals for expansion and growth of the business and operations; plans and references to our future successes; our history of operating losses and uncertainty of future profitability; status as an exploration stage company; the lack of mineral reserves; risks associated with obtaining permits and other authorizations in the U.S.; risks associated with current variable economic conditions; ~~our ability to service our debt and maintain compliance with all restrictive covenants related to the debt facility and security documents;~~ the possible impact of future debt or equity financings; the hazards associated with mining production operations; compliance with environmental laws and regulations; wastewater management; the possibility for adverse results in potential litigation; uncertainties associated with changes in law, government policy and regulation; uncertainties associated with a Canada Revenue Agency or U.S. Internal Revenue Service audit of any of our cross border transactions; changes in size and structure; the effectiveness of management and our strategic relationships; ability to attract and retain key personnel and management; uncertainties regarding the need for additional capital; sufficiency of insurance coverages, bonding surety arrangements, and indemnifications for our inventory; uncertainty regarding the fluctuations of quarterly results; foreign currency exchange risks; ability to enforce civil liabilities under U.S. securities laws outside the U.S.; ability to maintain our listing on the NYSE American and Toronto Stock Exchange (“TSX”); risks associated with the expected classification as a "passive foreign investment company" under the applicable provisions of the U.S. Internal Revenue Code of 1986, as amended; risks associated with our investments and other risks and uncertainties described under the heading “Risk Factors” in our Annual Report on Form 10-K, dated March 6, ~~2023.~~2024.

Table of Contents

Cautionary Note to Investors Concerning Disclosure of Mineral Resources

Unless otherwise indicated, all mineral resource estimates included in this report on Form 10-Q have been prepared in accordance with U.S. securities laws pursuant to Regulation S-K, Subpart 1300 (“S-K 1300”). Prior to these estimates, we prepared our estimates of mineral resources in accord with Canadian National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”) and the Canadian Institute of Mining, Metallurgy and Petroleum Definition Standards for Mineral Resources and Mineral Reserves (“CIM Definition Standards”). NI 43-101 is a rule developed by the Canadian Securities Administrators which establishes standards for public disclosure an issuer makes of scientific and technical information concerning mineral projects. We are required by applicable Canadian Securities Administrators to file in Canada an NI 43‑101 compliant report at the same time we file an S-K 1300 technical report summary. The NI 43‑101 and S-K 1300 reports (for each of the Lost Creek Property (March 4, 2024) and Shirley Basin ~~Project),~~Project, as amended ~~September 19, 2022,~~(March 11, 2024)), are substantively identical to one another except for internal references to the regulations under which the report is made, and certain organizational differences.

Investors should note that the term “mineral resource” does not equate to the term “mineral reserve.” Mineralization may not be classified as a “mineral reserve” unless the determination has been made that the mineralization could be economically and legally produced or extracted at the time the reserve determination is made. Investors should also understand that “inferred mineral resources” have a great amount of uncertainty as to their existence and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an “inferred mineral resource” will ever be upgraded to a higher category. Under S-K 1300, estimated “inferred mineral resources” may not form the basis of feasibility or pre-feasibility studies. Additionally, as required under S-K 1300, our report on the Lost Creek Property includes two economic analyses to account for the chance that the inferred resources are not upgraded as production recovery progresses and the Company collects additional drilling data; the second economic analysis was prepared which excluded the inferred resources. The estimated recovery excluding the inferred resources also establishes the potential viability at the property, as detailed in the S-K 1300 report. Investors are cautioned not to assume that all or any part of an “inferred mineral resource” exists or is economically or legally mineable.

Table of Contents

PART I

Item 1. FINANCIAL STATEMENTS

Ur-Energy Inc.

Interim Consolidated Balance Sheets

(expressed in thousands of U.S. dollars)

(the accompanying notes are an integral part of these consolidated financial statements)

	Note		September 30, 2023			December 31, 2022			Note		March 31, 2024			December 31, 2023

Assets
Current assets
Cash		3		54,627			33,003
Accounts receivable		4		5,608			8
Cash and cash equivalents										3		53,896			59,700
Current portion of lease receivable (net)												78			77
Inventory		5		4,701			9,903			4		4,698			2,571
Prepaid expenses				1,595			1,030					1,347			1,321
Total current assets				66,531			43,944					60,019			63,669

Non-current assets
Lease receivable (net)												194			208
Restricted cash		6		8,434			8,137			5		8,641			8,549
Mineral properties		7		34,892			35,682			6		34,938			34,906
Capital assets		8		21,216			20,132			7		21,148			21,044
Total non-current assets				64,542			63,951					64,921			64,707
Total assets				131,073			107,895					124,940			128,376

Liabilities and shareholders' equity
Current liabilities
Accounts payable and accrued liabilities		9		3,316			1,168			8		4,842			2,366
Current portion of notes payable		10		5,603			5,366			9		-			5,694
Current portion of warrant liability										10		-			1,743
Current portion of lease liability				123			-					169			162
Current portion of warrant liability		12		2,539			-
Environmental remediation accrual				69			69					63			69
Total current liabilities				11,650			6,603					5,074			10,034

Non-current liabilities
Notes payable		10		1,463			5,694
Warrant liability										10		10,913			11,549
Asset retirement obligations										11		31,367			31,236
Lease liability				556			16					640			687
Asset retirement obligations		11		31,110			30,701
Warrant liability		12		13,075			2,382
Total non-current liabilities				46,204			38,793					42,920			43,472

Shareholders' equity
Share capital		13		294,869			258,646			12		322,213			302,182
Contributed surplus				19,814			19,843					20,184			19,881
Accumulated other comprehensive income				3,975			4,265					4,001			3,718
Accumulated deficit				(245,439	)		(220,255	)				(269,452	)		(250,911	)
Total shareholders' equity				73,219			62,499					76,946			74,870
Total liabilities and shareholders' equity				131,073			107,895					124,940			128,376

Table of Contents

Ur-Energy Inc.

Interim Consolidated Statements of Operations and Comprehensive Loss

~~(expressed~~(expressed in thousands of U.S. dollars, except share data)

~~(the~~(the accompanying notes are an integral part of these consolidated financial statements)

			Three Months Ended September 30,						Nine Months Ended September 30,										Three Months Ended March 31,
	Note		2023			2022			2023			2022			Note		2024			2023

Sales		14		5,752			-			12,238			19			13		-			6,447
Cost of sales		15		(4,855	)		(1,655	)		(14,310	)		(5,039	)		14		(1,139	)		(6,504	)
Gross profit (loss)				897			(1,655	)		(2,072	)		(5,020	)
Gross loss																		(1,139	)		(57	)

Operating costs		16		(11,289	)		(2,910	)		(20,373	)		(9,668	)		15		(15,145	)		(3,065	)
Operating profit (loss)				(10,392	)		(4,565	)		(22,445	)		(14,688	)
Operating loss																		(16,284	)		(3,122	)

Net interest income (expense)				406			(114	)		1,079			(451	)
Net interest income																		488			213
Warrant liability revaluation gain (loss)		12		(7,216	)		(295	)		(4,155	)		1,620			10		(2,756	)		1,867
Foreign exchange gain (loss)				13			19			335			29
Other income (loss)		14		2			(7	)		2			1,247
Net income (loss)				(17,187	)		(4,962	)		(25,184	)		(12,243	)
Foreign exchange gain																		12			336
Other loss																		(1	)		(7	)
Net loss																		(18,541	)		(713	)

Foreign currency translation adjustment				144			87			(290	)		137					283			(317	)
Comprehensive income (loss)				(17,043	)		(4,875	)		(25,474	)		(12,106	)
Comprehensive loss																		(18,258	)		(1,030	)

Earnings (loss) per common share:
Loss per common share:
Basic				(0.07	)		(0.03	)		(0.10	)		(0.06	)				(0.07	)		-
Diluted				(0.07	)		(0.03	)		(0.10	)		(0.06	)				(0.07	)		-

Weighted average common shares:
Basic				265,279,380			221,844,180			257,385,661			219,431,614					278,030,162			241,893,816
Diluted				265,279,380			221,844,180			257,385,661			219,431,614					278,030,162			241,893,816

Table of Contents

Ur-Energy Inc.

Interim Consolidated Statements of Changes in Shareholders' Equity

~~(expressed~~(expressed in thousands of U.S. dollars, except share data)

~~(the~~(the accompanying notes are an integral part of these consolidated financial statements)

Nine Months Ended September 30, 2023	Note		Shares		Share Capital			Contributed Surplus			Accumulated Other Comprehensive Income			Accumulated Deficit			Total Shareholders’ Equity
Three Months Ended March 31,																				Note		Shares		Share Capital			Contributed Surplus			Accumulated Other Comprehensive Income			Accumulated Deficit			Shareholders’ Equity

December 31, 2022				224,699,621		258,646			19,843			4,265			(220,255	)		62,499					224,699,621		258,646			19,843			4,265			(220,255	)		62,499

Exercise of stock options		13		536,183		429			(131	)		-			-			298			12		536,183		429			(131	)		-			-			298
Shares issued for cash		13		39,491,000		37,528			-			-			-			37,528			12		39,491,000		37,528			-			-			-			37,528
Share issue costs		13		-		(2,992	)		-			-			-			(2,992	)		12		-		(2,992	)		-			-			-			(2,992	)
Stock compensation				-		-			253			-			-			253					-		-			253			-			-			253
Comprehensive income (loss)				-		-			-			(317	)		(713	)		(1,030	)
Comprehensive loss																							-		-			-			(317	)		(713	)		(1,030	)

March 31, 2023				264,726,804		293,611			19,965			3,948			(220,968	)		96,556					264,726,804		293,611			19,965			3,948			(220,968	)		96,556

December 31, 2023																							270,898,900		302,182			19,881			3,718			(250,911	)		74,870

Exercise of stock options																					12		74,674		61			(21	)		-			-			40
Exercise of warrants																					10		8,188,250		15,849			-			-			-			15,849
Shares issued for cash																					12		2,464,500		4,227			-			-			-			4,227
Share issue costs		13		-		(10	)		-			-			-			(10	)		12		-		(106	)		-			-			-			(106	)
Stock compensation				-		-			266			-			-			266					-		-			324			-			-			324
Comprehensive income (loss)				-		-			-			(117	)		(7,284	)		(7,401	)
Comprehensive loss																							-		-			-			283			(18,541	)		(18,258	)

June 30, 2023				264,726,804		293,601			20,231			3,831			(228,252	)		89,411

Exercise of stock options		13		1,005,541		960			(288	)		-			-			672
Redemption of RSUs		13		241,857		308			(389	)		-			-			(81	)
Stock compensation				-		-			260			-			-			260
Comprehensive income (loss)				-		-			-			144			(17,187	)		(17,043	)

September 30, 2023				265,974,202		294,869			19,814			3,975			(245,439	)		73,219
March 31, 2024																							281,626,324		322,213			20,184			4,001			(269,452	)		76,946

~~Table of Contents~~

~~Ur-Energy Inc.~~

~~Interim Consolidated Statements of Changes in Shareholders' Equity~~

~~(expressed in thousands of U.S. dollars, except share data)~~

~~(the accompanying notes are an integral part of these consolidated financial statements)~~

Nine Months Ended
September 30, 2022

Note

Shares

Share
Capital

Contributed
Surplus

Accumulated
Other
Comprehensive
Income

Accumulated
Deficit

Total
Shareholders’
Equity

December 31, 2021

216,782,694

248,319

20,040

4,142

(203,115 )

69,386

Exercise of stock options

13

239,422

244

(73 )

-

-

171

Exercise of warrants

13

259,000

308

-

-

-

308

Shares issued for cash

13

1,214,774

2,128

-

-

-

2,128

Share issue costs

13

-

(53 )

-

-

-

(53 )
Stock compensation

-

-

261

-

-

261

Comprehensive income (loss)

-

-

-

(108 )

(6,928 )

(7,036 )

March 31, 2022

218,495,890

250,946

20,228

4,034

(210,043 )

65,165

Exercise of stock options

13

80,603

81

(25 )

-

-

56

Shares issued for cash

13

669,535

1,185

-

-

-

1,185

Share issue costs

13

-

(30 )

-

-

-

(30 )
Stock compensation

-

-

464

-

-

464

Comprehensive income (loss)

-

-

-

158

(353 )

(195 )

June 30, 2022

219,246,028

252,182

20,667

4,192

(210,396 )

66,645

Exercise of stock options

13

320,000

269

(81 )

-

-

188

Exercise of warrants

13

3,560,000

4,346

-

-

-

4,346

Stock compensation

-

-

239

-

-

239

Comprehensive income (loss)

-

-

-

87

(4,962 )

(4,875 )

September 30, 2022

223,126,028

256,797

20,825

4,279

(215,358 )

66,543

8
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Ur-Energy Inc.
Interim Consolidated Statements of Cash Flow
(expressed in thousands of U.S. dollars)
(the accompanying notes are an integral part of these consolidated financial statements)


Nine Months Ended
September 30,

Three Months Ended
March 31,

Note

2023

2022

Note

2024

2023

Cash provided by (used for):

Operating activities

Net income (loss) for the period

(25,184 )

(12,243 )
Net loss for the period

(18,541 )

(713 )

Items not affecting cash:

Stock based compensation

779

964

324

253

Net realizable value adjustments

8,158

5,039

1,139

2,875

Amortization of mineral properties

828

936

(22 )

313

Depreciation of capital assets

1,546

1,362

603

473

Accretion expense

371

339

121

122

Amortization of deferred loan costs

33

34

33

11

Provision for reclamation

-

(1
)

(6 )

-

Warrant liability revaluation loss (gain)

4,155

(1,620 )
Unrealized foreign exchange loss (gain)

(329 )

(27 )
Mark to market loss (gain)

2,756

(1,867 )
Unrealized foreign exchange gain

(12 )

(336 )
Changes in non-cash working capital:

Accounts receivable

(5,600 )

-

Lease receivable

13

-

Inventory

(2,956 )

(7,019 )

(3,266 )

753

Prepaid expenses

(565 )

(481 )

(131 )

(170 )
Accounts payable and accrued liabilities

2,105

381

2,612

613

(16,659 )

(12,336 )

(14,377 )

2,327

Investing activities

Purchase of capital assets

(1,923 )

(213 )

(843 )

(665 )

(1,923 )

(213 )

(843 )

(665 )

Financing activities

Issuance of common shares and warrants for cash

13

46,637

3,313

Issuance of common shares for cash

12

4,227

46,637

Share issue costs

13

(3,002 )

(83 )

12

(106 )

(2,914 )
Proceeds from exercise of warrants and stock options

969

3,279

12

11,202

298

RSU redeemed for cash

(81 )

-

Repayment of debt

(4,027 )

-

(5,767 )

(1,324 )

40,496

6,509

9,556

42,697

Effects of foreign exchange rate changes on cash

7

(130 )

(48 )

-

Increase (decrease) in cash, cash equivalents, and restricted cash

21,921

(6,170 )

(5,712 )

44,359

Beginning cash, cash equivalents, and restricted cash

41,140

54,155

68,249

41,140

Ending cash, cash equivalents, and restricted cash

17

63,061

47,985

16

62,537

85,499

98
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Ur-Energy Inc.
Condensed Notes to Consolidated Financial Statements
~~September 30, 2023~~March 31, 2024
(expressed in thousands of U.S. dollars unless otherwise indicated)

1. Nature of Operations

Ur-Energy Inc. (the “Company”) was incorporated on March 22, 2004, under the laws of the Province of Ontario. The Company continued under the Canada Business Corporations Act on August 8, 2006. The Company is an exploration stage issuer, as defined by United States Securities and Exchange Commission (“SEC”). The Company is engaged in uranium mining and recovery operations, with activities including the acquisition, exploration, development, and production of uranium mineral resources located primarily in Wyoming. The Company commenced uranium production at its Lost Creek Project in Wyoming in 2013.

Due to the nature of the uranium recovery methods used by the Company on the Lost Creek Property, and the definition of “mineral reserves” under Subpart 1300 to Regulation S-K (“S-K 1300”), the Company has not determined whether the property contains mineral reserves. The recoverability of amounts recorded for mineral properties is dependent upon the discovery of economic resources, the ability of the Company to obtain the necessary financing to develop the properties and upon attaining future profitable production from the properties or sufficient proceeds from disposition of the properties.

2. Summary of Significant Accounting Policies

Basis of presentation

These interim consolidated financial statements do not conform in all respects to the requirements of U.S. generally accepted accounting principles (“US GAAP”) for annual financial statements. These interim consolidated financial statements reflect all normal adjustments which in the opinion of management are necessary for a fair presentation of the results for the periods presented. These interim consolidated financial statements should be read in conjunction with the audited annual consolidated financial statements for the year ended December 31, ~~2022.~~2023. We applied the same accounting policies as in the prior year. Certain information and footnote disclosures required by US GAAP have been condensed or omitted in these interim consolidated financial statements.

3. Cash and Cash Equivalents

The Company’s cash and cash equivalents consist of the following:

Cash and cash equivalents
September 30, 2023
December 31, 2022

March 31,
2024

December 31,
2023

Cash on deposit
5,360 2,560

11,046

11,515

Money market accounts
49,267 30,443

42,850

48,185

54,627 33,003

53,896

59,700

4. ~~Accounts Receivable~~Inventory

The Company’s ~~accounts receivable~~inventory consists of the following:

Accounts Receivable

September 30, 2023

December 31, 2022

Trade receivables

5,605

-

Other receivables

3

8

5,608

8

Inventory by Type

March 31,
2024

December 31,
2023

Plant inventory

1,593

1,343

Conversion facility inventory

3,105

1,228

4,698

2,571

Using lower of cost or net realizable value (“NRV”) calculations, the Company reduced the inventory valuation by $1,139 and $2,875 for the three months ended March 31, 2024 and 2023, respectively.

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Ur-Energy Inc.
Condensed Notes to Consolidated Financial Statements
~~September 30, 2023~~March 31, 2024
(expressed in thousands of U.S. dollars unless otherwise indicated)

~~Trade receivables included $5.4 million from the sale of U~~₃O₈ ~~in September. The receivable was collected in October.~~
5.~~Inventory~~
~~The Company’s inventory consists of the following:~~
Inventory by Type

September 30, 2023

December 31, 2022

Plant inventory

949

-

Conversion facility inventory

3,752

9,903

4,701

9,903

Using lower of cost or net realizable value (“NRV”) calculations, the Company reduced the inventory valuation by $8,158 and $5,039 for the nine months ended September 30, 2023, and September 30, 2022, respectively.
6. Restricted Cash

The Company’s restricted cash consists of the following:

Restricted Cash

September 30, 2023

December 31, 2022

March 31,
2024

December 31,
2023

Cash pledged for reclamation

8,434

8,137

8,629

8,518

Other restricted cash

12

31

8,434

8,137

8,641

8,549

The Company’s restricted cash consists of money market ~~accounts~~ and short-term government ~~bonds.~~bond investment accounts.

The bonding requirements for reclamation obligations on various properties have been reviewed and approved by the Wyoming Department of Environmental Quality (“WDEQ”), including the Wyoming Uranium Recovery Program (“URP”), and the Bureau of Land Management (“BLM”) as applicable. The restricted accounts are pledged as collateral against performance surety bonds, which secure the estimated costs of reclamation related to the properties. Surety bonds ~~totaling~~totaled $28.4 million and ~~$28.3~~$28.4 million as of ~~September 30, 2023,~~March 31, 2024, and December 31, ~~2022, respectively, provide coverage for the reclamation obligations and are collateralized by restricted cash.~~2023, respectively.

7.6. Mineral Properties

The Company’s mineral properties consist of the following:

Mineral Properties

Lost Creek
Property

Shirley Basin
Property

Other U.S.
Properties

Total

December 31, 2022

3,280

17,688

14,714

35,682

Change in estimated reclamation costs

-

38

-

38

Depletion and amortization

(828 )

-

-

(828 )

September 30, 2023

2,452

17,726

14,714

34,892

11
~~Table of Contents~~
~~Ur-Energy Inc.~~
~~Condensed Notes to Consolidated Financial Statements~~
~~September 30, 2023~~
~~(expressed in thousands of U.S. dollars unless otherwise indicated)~~
Mineral Properties

Lost Creek Property

Shirley Basin Property

Other U.S. Properties

Total

December 31, 2023

2,466

17,726

14,714

34,906

Change in estimated reclamation costs

-

10

-

10

Depletion and amortization

22

-

-

22

March 31, 2024

2,488

17,736

14,714

34,938

Lost Creek Property

The Company acquired certain Wyoming properties in 2005 when Ur-Energy USA Inc. purchased 100% of NFU Wyoming, LLC. Assets acquired in this transaction include the Lost Creek Project, other Wyoming properties, and development databases. NFU Wyoming, LLC was acquired for aggregate consideration of $20 million plus interest. Since 2005, the Company has increased its holdings adjacent to the initial Lost Creek acquisition through staking additional claims and making additional property purchases and leases.

There is a royalty on each of the State of Wyoming sections under lease at the Lost Creek, LC West and EN Projects, as required by law. We are not recovering U₃O₈ within the State section under lease at Lost Creek and are therefore not subject to royalty payments currently. Other royalties exist on certain mining claims at the LC South, LC East and EN Projects. There are no royalties on the mining claims in the Lost Creek, LC North, or LC West Projects.

10
Table of Contents
Ur-Energy Inc.
Condensed Notes to Consolidated Financial Statements
March 31, 2024
(expressed in thousands of U.S. dollars unless otherwise indicated)
Shirley Basin Property

The Company acquired additional Wyoming properties in 2013 when Ur-Energy USA Inc. purchased 100% of Pathfinder Mines Corporation (“Pathfinder”). Assets acquired in this transaction include the Shirley Basin property, other Wyoming properties, and development databases. Pathfinder was acquired for aggregate consideration of $6.7 million, the assumption of $5.7 million in estimated asset reclamation obligations, and other consideration.

Other U.S. Properties

Other U.S. properties include the acquisition costs of several prospective mineralized properties, which the Company continues to maintain through claim payments, lease payments, insurance, and other holding costs in anticipation of future exploration efforts.

8.7. Capital Assets

The Company’s capital assets consist of the following:


March 31, 2024

December 31, 2023

Capital Assets

Cost

Accumulated
Depreciation

Net Book
Value

Cost

Accumulated
Depreciation

Net Book
Value

Rolling stock

5,765

(3,819 )

1,946

5,226

(3,701 )

1,525

Enclosures

35,227

(17,278 )

17,949

35,190

(16,850 )

18,340

Machinery and equipment

2,127

(1,113 )

1,014

2,016

(1,081 )

935

Furniture and fixtures

265

(168 )

97

265

(163 )

102

Information technology

1,205

(1,073 )

132

1,198

(1,067 )

131

Right of use assets

14

(4 )

10

14

(3 )

11

44,603

(23,455 )

21,148

43,909

(22,865 )

21,044

8. Accounts Payable and Accrued Liabilities

September 30, 2023

December 31, 2022

Capital Assets

Cost

Accumulated
Depreciation

Net Book
Value

Cost

Accumulated
Depreciation

Net Book
Value

Rolling stock

4,996

(3,618 )

1,378

3,486

(3,437 )

49

Enclosures

35,167

(16,423 )

18,744

34,379

(15,164 )

19,215

Machinery and equipment

1,935

(1,067 )

868

1,659

(1,007 )

652

Furniture and fixtures

265

(159 )

106

265

(144 )

121

Information technology

1,145

(1,037 )

108

1,114

(1,035 )

79

Right of use assets

14

(2 )

12

33

(17 )

16

43,522

(22,306 )

21,216

40,936

(20,804 )

20,132

Accounts payable and accrued liabilities consist of the following:
Accounts Payable and Accrued Liabilities

March 31,
2024

December 31,
2023

Accounts payable

3,663

1,680

Accrued payroll liabilities

831

578

Accrued severance, ad valorem, and other taxes payable

348

108

4,842

2,366

1211
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Ur-Energy Inc.
Condensed Notes to Consolidated Financial Statements
~~September 30, 2023~~March 31, 2024
(expressed in thousands of U.S. dollars unless otherwise indicated)

9.~~Accounts Payable and Accrued Liabilities~~
~~Accounts payable and accrued liabilities consist of the following:~~
Accounts Payable and Accrued Liabilities

September 30, 2023

December 31, 2022

Accounts payable

2,372

660

Accrued payroll liabilities

780

449

Accrued severance, ad valorem, and other taxes payable

164

59

3,316

1,168

~~10.~~ Notes Payable

On October 15, 2013, the Sweetwater County Commissioners approved the issuance of a $34.0 million Sweetwater County, State of Wyoming, Taxable Industrial Development Revenue Bond (Lost Creek Project), Series 2013 (the “Sweetwater IDR Bond”) to the State of Wyoming, acting by and through the Wyoming State Treasurer, as purchaser. On October 23, 2013, the Sweetwater IDR Bond was issued, and the proceeds were in turn loaned by Sweetwater County to Lost Creek ISR, LLC pursuant to a financing agreement dated October 23, 2013 (the “State Bond Loan”). The State Bond Loan ~~calls~~called for payments of interest at a fixed rate of 5.75% per annum on a quarterly basis commencing January 1, 2014. The principal was scheduled to be paid in 28 quarterly installments commencing January 1, 2015.

On October 1, 2019, the Sweetwater County Commissioners and the State of Wyoming approved an eighteen-month deferral of principal payments beginning October 1, 2019. On October 6, 2020, the State Bond Loan was again modified to defer principal payments for an additional eighteen months. Quarterly principal payments resumed on October 1, 2022, and were to continue until October 1, 2024.
On March 27, 2024, we pre-paid the ~~last payment is~~remaining $4.4 million due on ~~October 1, 2024.~~the bond loan. The State Bond Loan was secured by all the assets of the Lost Creek Project. All releases of collateral have been obtained following the final repayment of the facility.

The following table summarizes the Company’s current ~~and~~debt. The Company has no long-term debt.

Current and Long-term Debt

September 30, 2023

December 31, 2022

Current

State Bond Loan

5,646

5,409

Deferred financing costs

(43 )

(43 )

5,603

5,366

Long-term

State Bond Loan

1,463

5,727

Deferred financing costs

-

(33 )

1,463

5,694

Current Debt
March 31,
2024
December 31,
2023
State Bond Loan
-
5,727
Deferred financing costs
-
(33 )
-
5,694

~~The schedule of remaining payments on outstanding debt as of September 30, 2023, is presented below.~~10. Warrant Liability

Remaining Payments

Total

2023

2024

Final Payment

State Bond Loan

Principal

7,109

1,382

5,727

Oct-2024

Interest

309

102

207

7,418

1,484

5,934

In February 2021, the Company issued 16,930,530 warrants to purchase 8,465,265 common shares at $1.35 per whole common share for a term of three years.
In February 2023, the Company issued 39,100,000 warrants to purchase 19,550,000 common shares at $1.50 per whole common share for a term of three years.
Because the warrants are priced in U.S. dollars and the functional currency of Ur-Energy Inc., the parent company entity, is Canadian dollars, a derivative financial liability was created. Using Level 2 inputs of the fair value hierarchy under US GAAP, the liability created is measured and recorded at fair value, and adjusted monthly, using the Black-Scholes model described below as there is no active market for the warrants. Any gain or loss from the adjustment of the liability is reflected in net income for the period.

1312
Table of Contents

Ur-Energy Inc.
Condensed Notes to Consolidated Financial Statements
~~September 30, 2023~~March 31, 2024
(expressed in thousands of U.S. dollars unless otherwise indicated)

The Company’s warrant liabilities consist of the following. The Company has no current warrant liability.
Warrant Liability Activity

Feb-2021
Warrants

Feb-2023
Warrants

Total

December 31, 2023

1,743

11,549

13,292

Warrants exercised

(4,770 )

(20 )

(4,790 )
Mark to market revaluation loss (gain)

3,072

(316 )

2,756

Effects for foreign exchange rate changes

(45 )

(300 )

(345 )

March 31, 2024

-

10,913

10,913

The fair value of the warrant liabilities on March 31, 2024, was determined using the Black-Scholes model with the following assumptions:

Feb-2023

Black-Scholes Assumptions as of March 31, 2024

Warrants

Expected forfeiture rate

0.0 %
Expected life (years)

1.9

Expected volatility rate

55.7 %
Risk free rate

4.1 %
Expected dividend rate

0.0 %
Exercise price

$ 1.50

Market price

$ 1.60

11. Asset Retirement Obligations

Asset retirement obligations ~~(“ARO”)~~ relate to the Lost Creek mine and Shirley Basin project and are equal to the current estimated reclamation cost escalated at inflation rates ranging from 0.74% to ~~2.44%~~2.52% and then discounted at credit adjusted risk-free rates ranging from 0.33% to ~~9.23%~~9.24%. Current estimated reclamation costs include costs of closure, reclamation, demolition and stabilization of the wellfields, processing plants, infrastructure, aquifer restoration, waste dumps, and ongoing post-closure environmental monitoring and maintenance costs. The schedule of payments required to settle the future reclamation extends through 2033.

The present value of the estimated future closure estimate is presented in the following table.

Asset Retirement Obligations

Total

December 31, ~~2022~~2023

~~30,701~~31,236

Change in estimated reclamation costs

3810

Accretion expense

~~371~~121

~~September 30, 2023~~March 31, 2024

~~31,110~~31,367

The restricted cash discussed in note 65 relates to the surety bonds provided to the governmental agencies for these and other reclamation obligations.

~~12.~~ ~~Warrant Liability~~
In February 2021, we issued 16,930,530 warrants as part of an underwritten public offering with two warrants redeemable for one common share of the Company’s stock at a price of $1.35 per full share. The warrants will expire in February 2024.
In February 2023, we issued 39,100,000 warrants as part of an underwritten public offering with two warrants redeemable for one common share of the Company’s stock at a price of $1.50 per full share. The warrants will expire in February 2026.
Because the warrants are priced in U.S. dollars and the functional currency of Ur-Energy Inc. is Canadian dollars, a derivative financial liability was created. The liability created, and adjusted monthly, is calculated using the Black-Scholes model described below as there is no active market for the warrants. Any gain or loss from the adjustment of the liability is reflected in net income for the period.

1413
Table of Contents

Ur-Energy Inc.
Condensed Notes to Consolidated Financial Statements
~~September 30, 2023~~March 31, 2024
(expressed in thousands of U.S. dollars unless otherwise indicated)

~~The Company’s warrant liabilities consist of the following:~~
Warrant Liability Activity

Feb-2021
Warrants

Feb-2023
Warrants

Total

December 31, 2022

2,382

-

2,382

Warrants issued

-

9,109

9,109

Mark to market revaluation loss (gain)

154

4,000

4,154

Effects for foreign exchange rate changes

3

(34 )

(31 )

September 30, 2023

2,539

13,075

15,614

Warrant Liability Duration

Feb-2021
Warrants

Feb-2023
Warrants

Total

Current portion of warrant liability

2,539

-

2,539

Long-term warrant liability

-

13,075

13,075

2,539

13,075

15,614

~~The fair value of the warrant liabilities on September 30, 2023, was determined using the Black-Scholes model with the following assumptions:~~

Feb-2021

Feb-2023

Black-Scholes Assumptions as of September 30, 2023

Warrants

Warrants

Expected forfeiture rate

0.0 %

0.0 %
Expected life (years)

0.3

2.4

Expected volatility rate

52.9 %

66.2 %
Risk free rate

4.8 %

4.7 %
Expected dividend rate

0.0 %

0.0 %
Exercise price

$ 1.35

$ 1.50

Market price

$ 1.54

$ 1.54

~~13.~~12. Shareholders’ Equity and Capital Stock

Common shares

The Company’s share capital consists of an unlimited amount of Class A preferred shares authorized, without par value, of which no shares are issued and outstanding; and an unlimited amount of common shares authorized, without par value, of which ~~265,974,202~~281,626,324 shares and ~~224,699,621~~270,898,900 shares were issued and outstanding as of ~~September 30, 2023,~~March 31, 2024, and December 31, ~~2022,~~2023, respectively.
On February 4, 2021, the Company closed an underwritten public offering of 14,722,200 common shares and accompanying warrants to purchase up to 7,361,100 common shares, at a combined public offering price of $0.90 per common share and accompanying warrant. The warrants have an exercise price of $1.35 per whole common share and will expire three years from the date of issuance. Ur-Energy also granted the underwriters a 30-day option to purchase up to an additional 2,208,330 common shares and warrants to purchase up to 1,104,165 common shares on the same terms. The option was exercised in full. Including the exercised option, Ur-Energy issued a total of 16,930,530 common shares and accompanying warrants to purchase up to 8,465,265 common shares. The gross proceeds to Ur‑Energy from this offering were approximately $15.2 million. After fees and expenses of $1.3 million, net proceeds to the Company were approximately $13.9 million.
15
~~Table of Contents~~
~~Ur-Energy Inc.~~
~~Condensed Notes to Consolidated Financial Statements~~
~~September 30, 2023~~
~~(expressed in thousands of U.S. dollars unless otherwise indicated)~~

On February 21, 2023, the Company closed an underwritten public offering of 34,000,000 common shares and accompanying warrants to purchase up to 17,000,000 common shares, at a combined public offering price of $1.18 per common share and accompanying warrant. The warrants have an exercise price of $1.50 per whole common share and will expire three years from the date of issuance. Ur-Energy also granted the underwriters a 30-day option to purchase up to an additional 5,100,000 common shares and warrants to purchase up to 2,550,000 common shares on the same terms. The option was exercised in full. Including the exercised option, Ur-Energy issued a total of 39,100,000 common shares and accompanying warrants to purchase up to 19,550,000 common shares. The gross proceeds to ~~Ur‑Energy~~Ur-Energy from this offering were approximately $46.1 million. After fees and expenses of $3.0 million, net proceeds to the Company were approximately $43.1 million.
During the three months ended March 31, 2024, the Company sold 2,464,500 common shares through its At Market facility for $4.2 million. After issue costs of $0.1 million, net proceeds to the Company were $4.1 million. The Company also received $11.1 million from the exercise of 16,376,500 warrants for 8,188,250 underlying common shares, and less than $0.1 million from the exercise of 74,674 stock options.

Stock options

In 2005, the Company’s Board of Directors approved the adoption of the Company's stock option plan (the “Option Plan”). The Option Plan was most recently approved by the shareholders on June 2, 2023. Eligible participants under the Option Plan include directors, officers, employees, and consultants of the Company. Under the terms of the Option Plan, grants of options will vest over a three-year period: one-third on the first anniversary, one-third on the second anniversary, and one-third on the third anniversary of the grant. The term of the options is five years.

Activity with respect to stock options is summarized as follows:

Stock Option Activity

Outstanding
Options

Weighted-average
Exercise Price

#

$

December 31, 2022

8,574,904

0.66

Granted

1,371,432

1.15

Exercised

(1,541,724 )

0.64

Forfeited

(11,826 )

1.15

Expired

(8,852 )

0.69

September 30, 2023

8,383,934

0.74

Stock Option Activity

Outstanding
Options

Weighted-average
Exercise Price

December 31, 2023

8,900,335

0.87

Exercised

(74,674 )

0.55

March 31, 2024

8,825,661

0.86

14
Table of Contents
Ur-Energy Inc.
Condensed Notes to Consolidated Financial Statements
March 31, 2024
(expressed in thousands of U.S. dollars unless otherwise indicated)

The exercise price of a new grant is set at the closing price for the shares on the Toronto Stock Exchange (TSX) on the trading day immediately preceding the grant date and there is no intrinsic value as of the date of grant.

We received ~~$1.0 and $0.4~~less than $0.1 million from options exercised in the ~~nine~~three months ended ~~September 30, 2023, and September 30, 2022, respectively.~~ March 31, 2024.
Stock-based compensation expense from stock options was $0.2 million for the three months ended March 31, 2024, and ~~$0.5~~$0.2 million for the three ~~and nine~~ months ended ~~September 30, 2023, and $0.2 million and $0.7 million for the three and nine months ended September 30, 2022, respectively.~~March 31, 2023.

As of ~~September 30, 2023,~~March 31, 2024, there was approximately ~~$0.9~~$1.5 million of unamortized stock-based compensation expense related to the Option Plan. The expenses are expected to be recognized over the remaining weighted-average vesting period of ~~1.9~~2.2 years under the Option Plan.

16
~~Table of Contents~~
~~Ur-Energy Inc.~~
~~Condensed Notes to Consolidated Financial Statements~~
~~September 30, 2023~~
~~(expressed in thousands of U.S. dollars unless otherwise indicated)~~
As of ~~September 30, 2023,~~March 31, 2024, outstanding stock options are as follows:


Options Outstanding

Options Exercisable

Exercise
Price

Number
of Options

Weighted-average
Remaining Contractual
Life

Aggregate
Intrinsic
Value

Number
of
Options

Weighted-average
Remaining Contractual
Life

Aggregate
Intrinsic
Value

Expiry

$

#

years

$

#

years

$

0.67

641,651

0.2

558,566

641,651

0.2

558,566

2023-12-14

0.58

2,270,584

1.1

2,177,029

2,270,584

1.1

2,177,029

2024-11-05

0.46

2,634,421

2.1

2,835,978

1,846,542

2.1

1,987,819

2025-11-13

1.06

1,302,672

2.9

626,054

925,045

2.9

444,569

2026-08-27

1.64

175,000

3.5

-

58,333

3.5

-

2027-03-14

1.14

1,359,606

4.3

543,387

-

-

-

2028-01-04

0.74

8,383,934

2.2

6,741,014

5,742,155

1.6

5,167,983

Options Outstanding

Options Exercisable

Exercise
Price

Number
of Options

Weighted-average
Remaining Contractual
Life

Aggregate
Intrinsic
Value

Number
of
Options

Weighted-average
Remaining Contractual
Life

Aggregate
Intrinsic
Value

Expiry
$

#

years

$

#

years

$

0.58

2,220,584

0.6

2,257,237

2,220,584

0.6

2,257,237

2024-11-05

0.47

2,568,652

1.6

2,914,603

2,568,652

1.6

2,914,603

2025-11-13

1.06

1,302,672

2.4

698,774

925,045

2.4

496,209

2026-08-27

1.65

175,000

3.0

-

116,666

3.0

-

2027-03-14

1.14

1,322,528

3.8

601,975

434,906

3.8

197,956

2028-01-04

1.52

1,236,225

4.7

97,024

-

-

-

2028-12-07

0.86

8,825,661

2.3

6,569,613

6,265,853

1.5

5,866,005

The aggregate intrinsic value of the options in the preceding table represents the total pre-tax intrinsic value for stock options, with an exercise price less than the Company’s TSX closing stock price as of the last trading day in the ~~nine~~three months ended ~~September 30, 2023~~March 31, 2024 (approximately US$~~1.54)~~1.60), that would have been received by the option holders had they exercised their options on that date. There were ~~8,208,934 in‑the‑money~~8,650,661 in-the-money stock options outstanding and ~~5,683,822~~6,149,187 in-the-money stock options exercisable as of ~~September 30, 2023.~~March 31, 2024.

~~The fair value of~~No stock options were granted in the ~~nine~~three months ended ~~September 30, 2023 was determined using the Black-Scholes model with the following assumptions:~~March 31, 2024.
Stock Options Fair Value Assumptions

2023

Expected forfeiture rate

5.3 %
Expected life (years)

4.0

Expected volatility

74.7 %
Risk free rate

3.5
%
Expected dividend rate

-

Weighted average exercise price (CAD$)

$ 1.55

Black-Scholes value (CAD$)

$ 0.89

Restricted share units

On June 24, 2010, the Company’s shareholders approved the adoption of the Company’s restricted share unit plan (the “RSU Plan”), as subsequently amended and now known as the Restricted Share Unit and Equity Incentive Plan (the “RSU&EI Plan”). The RSU&EI Plan was approved by our shareholders most recently on June 2, 2022.

15
Table of Contents
Ur-Energy Inc.
Condensed Notes to Consolidated Financial Statements
March 31, 2024
(expressed in thousands of U.S. dollars unless otherwise indicated)
Eligible participants under the RSU&EI Plan include directors and employees of the Company. Granted RSUs are redeemed on the second anniversary of the grant. Upon an RSU redemption, the holder of the RSU will receive one common share, for no additional consideration, for each RSU held.

17
~~Table of Contents~~
~~Ur-Energy Inc.~~
~~Condensed Notes to Consolidated Financial Statements~~
~~September 30, 2023~~
~~(expressed in thousands of U.S. dollars unless otherwise indicated)~~
Activity with respect to RSUs is summarized as follows:

Restricted Share Unit Activity

Outstanding
RSUs

Weighted-average
Grant Date
Fair Value

#

$

December 31, 2022

305,530

1.14

Granted

342,852

1.15

Released

(305,530 )

1.14

Forfeited

(2,957 )

1.15

September 30, 2023

339,895

1.15

Restricted Share Unit Activity
Outstanding
RSUs
Weighted-average
Grant Date
Fair Value
#
$
December 31, 2023
641,910
1.33
Exercises
Nil
Nil
March 31, 2024
641,910
1.33

Stock-based compensation expense from RSUs was $0.1 million for the three months ended March 31, 2024, and ~~$0.2~~$0.1 million for the three ~~and nine~~ months ended ~~September 30, 2023, and $0.1 million and $0.3 million for the three and nine months ended September 30, 2022, respectively.~~ March 31, 2023.

As of ~~September 30, 2023,~~March 31, 2024, there was approximately ~~$0.2~~$0.5 million of unamortized stock-based compensation expense related to the RSU&EI Plan. The expenses are expected to be recognized over the remaining weighted-average vesting periods of ~~1.3~~1.4 years under the RSU&EI Plan.

As of ~~September 30, 2023,~~March 31, 2024, outstanding RSUs were as follows:

Number
of RSUs
Number
of RSUs

Weighted-average
Remaining
Contractual
Life

Aggregate
Intrinsic
Value

Redemption
Date

Weighted-average
Remaining
Contractual
Life

Aggregate
Intrinsic
Value

Redemption
Date

#
#

years

$

years

$

339,895

1.3

523,438

2025-01-04

332,850

0.8

532,560

2025-01-04

339,895

1.3

523,438

309,060

1.7

494,496

2025-12-07

641,910

1.2

1,027,056

~~The fair value of~~No restricted share units were granted in the ~~nine~~three months ended ~~September 30, 2023 was determined using the Intrinsic Value Method with the following assumptions:~~March 31, 2024.
Restricted Share Unit Fair Value Assumptions

2023

Expected forfeiture rate

3.8 %
Grant date fair value (CAD$)

$ 1.55

18
~~Table of Contents~~
~~Ur-Energy Inc.~~
~~Condensed Notes to Consolidated Financial Statements~~
~~September 30, 2023~~
~~(expressed in thousands of U.S. dollars unless otherwise indicated)~~

Warrants

In February 2021, the Company issued 16,930,530 warrants to purchase 8,465,265 of our common shares at $1.35 per full share.

In February 2023, the Company issued 39,100,000 warrants to purchase 19,550,000 of our common shares at $1.50 per full share.

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Table of Contents
Ur-Energy Inc.
Condensed Notes to Consolidated Financial Statements
March 31, 2024
(expressed in thousands of U.S. dollars unless otherwise indicated)
Activity with respect to warrants is summarized as follows:

Warrant Activity

Outstanding
Warrants

Number of
Shares to be
Issued
Upon Exercise

Per Share
Exercise Price

#

#

$

December 31, 2022

16,730,530

8,365,265

1.35

Issued

39,100,000

19,550,000

1.50

September 30, 2023

55,830,530

27,915,265

1.46

Warrant Activity

Outstanding
Warrants

Number of
Shares to be
Issued
Upon Exercise

Per Share
Exercise Price

#

#

$

December 31, 2023

55,417,500

27,708,750

1.46

Exercised

(16,376,500 )

(8,188,250 )

1.35

March 31, 2024

39,041,000

19,520,500

1.50

NoWe received $11.1 million from warrants ~~were~~ exercised in the ~~nine~~three months ended ~~September 30, 2023.~~March 31, 2024.

As of ~~September 30, 2023,~~March 31, 2024, outstanding warrants were as follows:

Exercise
Price

Number
of Warrants

Weighted-average
Remaining
Contractual
Life

Aggregate
Intrinsic
Value

Expiry

$

#

years

$

1.35

16,730,530

0.3

1,589,400

2024-02-04

1.50

39,100,000

2.4

782,000

2026-02-21

1.46

55,830,530

1.8

2,371,400

Exercise
Price

Number
of Warrants

Weighted-average
Remaining
Contractual
Life

Aggregate
Intrinsic
Value

Expiry

$

#

years

$

1.50

39,041,000

1.9

1,952,050

2026-02-21

1.50

39,041,000

1.9

1,952,050

Fair value calculation assumptions for stock options, restricted share units, and warrants
The fair value of stock options are determined using the Black-Scholes model on their respective grant dates. The fair value of restricted share units are determined using the Intrinsic Value Method on their respective grant dates.

The Company estimates expected future volatility based on daily historical trading data of the Company’s common shares. The risk-free interest rates are determined by reference to Canadian ~~Treasury Note constant~~Benchmark Bond Yield rates with maturities that approximate the expected life. The Company has never paid dividends and currently has no plans to do so. Forfeitures and expected lives were estimated based on actual historical experience.

Share-based compensation expense related to stock options and restricted share units is recognized net of estimated pre-vesting forfeitures, which results in expensing the awards that are ultimately expected to vest over the expected life. ~~Estimated forfeitures and expected lives were based on actual historical experience.~~
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~~Ur-Energy Inc.~~
~~Condensed Notes to Consolidated Financial Statements~~
~~September 30, 2023~~
~~(expressed in thousands of U.S. dollars unless otherwise indicated)~~

~~14.~~13. Sales and Other Income

Revenue is primarily derived from the sale of U₃O₈ under multi-year agreements or spot sales agreements. The Company also receives disposal fee revenues, which are not related to the sale of U₃O₈.

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Table of Contents
Revenues for the ~~nine~~three months ended ~~September 30,~~March 31, 2024 and 2023 were as follows:

Nine Months Ended
September 30,

Revenue Summary

2023

2022

$

%

$

%

Customer A

6,447

52.7 %

-

0.0 %
Customer B

5,440

44.5 %

-

0.0 %
U₃O₈ sales

11,887

97.2 %

-

0.0 %

Disposal fees

351

2.8 %

19

100.0 %

12,238

100.0 %

19

100.0 %
During March 2022, we sold a royalty interest related to Strata Energy’s Lance Uranium ISR Project for $1.3 million. There was no carrying value related to the royalty on our balance sheet therefore the entire amount was recognized as other income.

Three Months Ended
March 31,

2024

2023
Revenue Summary

$

%

$

%

Customer A

-

0.0 %

6,447

100.0 %
U₃O₈ sales

-

0.0 %

6,447

100.0 %

Disposal fees

-

0.0 %

-

0.0 %

-

0.0 %

6,447

100.0 %

~~15.~~14. Cost of Sales

Cost of sales includes ad valorem and severance taxes related to the extraction of uranium, all costs of wellfield and plant operations including the related depreciation and amortization of capitalized assets, reclamation, and mineral property costs, plus product distribution costs. These costs are also used to value inventory. The resulting inventoried cost per pound is compared to the NRV of the product, which is based on the estimated sales price of the product, net of any necessary costs to finish the product. Any inventory value in excess of the NRV is charged to cost of sales.

Cost of sales consists of the following:

Three Months Ended
September 30,

Nine Months Ended
September 30,

Three Months Ended
March 31,

Cost of Sales

2023

2022

2023

2022

2024

2023

Cost of product sales

2,523

-

6,152

-

Cost of U₃O₈ sales

-

3,629

Lower of cost or NRV adjustments

2,332

1,655

8,158

5,039

1,139

2,875

4,855

1,655

14,310

5,039

1,139

6,504

~~16.~~15. Operating Costs

Operating expenses include exploration and evaluation expense, development expense, general and administration (“G&A”) expense, and mineral property write-offs. Exploration and evaluation expenses consist of labor and the associated costs of the exploration and evaluation departments as well as land holding and exploration costs including drilling and analysis on properties which have not reached the permitting or operations stage. Development expense relates to properties that have reached the permitting or operations stage and include costs associated with exploring, delineating, and permitting a property. Once permitted, development expenses also include the costs associated with the construction and development of the permitted property that are otherwise not eligible to be capitalized. G&A expense relates to the administration, finance, investor relations, land, and legal functions, and consists principally of personnel, facility, and support costs.

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Ur-Energy Inc.
Condensed Notes to Consolidated Financial Statements
~~September 30, 2023~~March 31, 2024
(expressed in thousands of U.S. dollars unless otherwise indicated)

Operating costs consist of the following:

Three Months Ended
September 30,

Nine Months Ended
September 30,

Three Months Ended
March 31,

Operating Costs

2023

2022

2023

2022

2024

2023

Exploration and evaluation

512

422

1,687

1,421

903

371

Development

9,339

1,188

13,577

3,137

11,552

1,149

General and administration

1,314

1,186

4,738

4,771

2,569

1,422

Accretion

124

114

371

339

121

123

11,289

2,910

20,373

9,668

15,145

3,065

~~17.~~16. Supplemental Information for Statement of Cash Flows

Cash, cash equivalents, and restricted cash per the Statement of Cash Flows consists of the following:

Three Months Ended

March 31,

Cash and Cash Equivalents, and Restricted Cash

September 30, 2023

September 30, 2022

2024

2023

Cash and cash equivalents

54,627

39,920

53,896

77,276

Restricted cash

8,434

8,065

8,641

8,223

63,061

47,985

62,537

85,499

Interest expense paid was ~~$0.4~~$0.1 million and ~~0.5~~$0.1 million for the ~~nine~~three months ended ~~September 30,~~March 31, 2024, and 2023, ~~and 2022,~~ respectively.

~~18.~~17. Financial Instruments

The Company’s financial instruments consist of cash and cash equivalents, ~~accounts~~trade receivables, lease receivable, restricted cash, accounts payable and accrued liabilities, notes payable, and warrant ~~liability and notes payable.~~liabilities. The Company is exposed to risks related to changes in interest rates and management of cash and cash equivalents and short-term investments.

Credit risk

Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents, ~~accounts receivable,~~ and restricted cash. These assets include Canadian dollar and U.S. dollar denominated certificates of deposit, money market accounts, and demand deposits. These instruments are maintained at financial institutions in Canada and the U.S. Of the amount held on deposit, approximately $0.6 million is covered by the Canada Deposit Insurance Corporation, the Securities Investor Protection Corporation, or the U.S. Federal Deposit Insurance Corporation, leaving approximately ~~$68.1~~$62.3 million at risk on ~~September 30, 2023,~~March 31, 2024, should the financial institutions with which these amounts are invested be rendered insolvent. The Company does not consider any of its financial assets to be impaired as of ~~September 30, 2023.~~March 31, 2024.

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Table of Contents

Ur-Energy Inc.
Condensed Notes to Consolidated Financial Statements
~~September 30, 2023~~March 31, 2024
(expressed in thousands of U.S. dollars unless otherwise indicated)

Currency risk

As of ~~September 30, 2023,~~March 31, 2024, we maintained a ~~foreign currency~~ balance of approximately ~~CDN$2.4 million.~~$2.6 million Canadian dollars. The funds will be used to pay Canadian dollar expenses and are considered to be a low currency risk to the Company. A hypothetical 10% weakening in the exchange rate of the Canadian dollar to the U.S. dollar as of March 31, 2024 would not have a material effect on our results of operations, financial position, or cash flows.

Liquidity risk

Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they come due.
As of ~~September 30, 2023,~~March 31, 2024, the Company’s ~~current~~ financial liabilities consisted of accounts payable and accrued liabilities of ~~$3.3~~$4.8 million, and ~~$5.6 million for~~ the current portion of ~~notes payable.~~
lease liability of $0.2 million. As of ~~September 30, 2023, we~~March 31, 2024, the Company had ~~$54.6~~$53.9 million of cash and cash equivalents.

~~Sensitivity analysis~~Interest rate risk

The Company has completed a sensitivity analysis to estimate the impact that a change in interest rates would have on the net loss of the Company. This sensitivity analysis shows that a change of +/- 100 basis points in interest rate would have a negligible effect on the ~~nine~~three months ended ~~September 30, 2023.~~March 31, 2024. The financial position of the Company may vary at the time that a change in interest rates occurs, causing the impact on the Company’s results to vary.

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Table of Contents

Item 2.  MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATION

Business Overview

The following discussion and analysis by management is designed to provide information that we believe is necessary for an understanding of our financial condition, changes in financial condition, and results of our operations and should be read in conjunction with the audited financial statements and MD&A contained in our Annual Report on Form 10-K for the year ended December 31, ~~2022.~~2023.

Incorporated on March 22, 2004, Ur-Energy is an exploration stage issuer, as that term is defined by the SEC. We are engaged in uranium recovery and processing activities, including the acquisition, exploration, development, and operation of uraniummineral properties in the U.S. We are operating our first in situ recovery uranium facility at our Lost Creek Project in Wyoming. Ur-Energy is a corporation continued under the Canada Business Corporations Act on August 8, 2006. Our common shares are listed on the TSX under the symbol “URE” and on the NYSE American under the symbol “URG.”

Ur-Energy has one wholly owned subsidiary, Ur-Energy USA Inc., incorporated under the laws of the State of Colorado. Ur-Energy USA Inc. has three wholly-owned subsidiaries: NFU Wyoming, LLC, a limited liability company formed under the laws of the State of Wyoming which acts as our land holding and exploration entity; Lost Creek ISR, LLC, a limited liability company formed under the laws of the State of Wyoming to operate our Lost Creek Project and hold our Lost Creek properties and assets; and Pathfinder Mines Corporation, incorporated under the laws of the State of Delaware, which holds, among other assets, the Shirley Basin Project in Wyoming. Our material U.S. subsidiaries remain unchanged since the filing of our Annual Report on Form 10-K, dated March 6, ~~2023.~~2024.

We utilize in situ recovery (“ISR”) of the uranium at our flagship project, Lost Creek, and will do so at other projects where possible. The ISR technique is employed in uranium extraction because it allows for an effective recovery of roll front uranium mineralization at a lower cost. At Lost Creek, we extract and process uranium oxide (“U₃O₈”)for shipping to a third-party conversion facility to be weighed, assayed and stored until sold. After sale, when further processed, the uranium we have produced fuels carbon-free, emissions-free nuclear power which is a cost-effective, safe, and reliable form of electrical power. Nuclear power provides an estimated 50% of the carbon-free electricity in the U.S.

Our Lost Creek wellfield is permitted and licensed for annual recovery of up to 1.2 million pounds U₃O₈. The processing facility at Lost Creek, which includes all circuits for the production, drying and packaging of U₃O₈ for delivery into sales transactions, is designed and approved under current licensing to process up to 2.2 million pounds of U₃O₈ annually, which provides additional capacity of up to one million pounds U₃O₈ to process material from other sources. We expect that the Lost Creek processing facility will be utilized to process captured U₃O₈from our Shirley Basin Project for which we anticipate only a satellite plant will be built. However, the Shirley Basin permit and license allow for the construction of a full processing facility, providing greater construction and operating flexibility as may be dictated by market conditions.

~~The year 2023 began with domestically produced U~~₃O₈ inventory being delivered to the national uranium reserve established by the U.S. Department of Energy (“DOE”), National Nuclear Security Administration (“NNSA”). We were among the contract awards made by the NNSA reserve program in December 2022, and we delivered 100,000 pounds U₃O₈ in January 2023 at a sales price of $64.47 per pound. Proceeds of $6.4 million were received by the Company shortly after delivery. During Q3, we made our first delivery into our term sales agreements, selling 90,000 pounds U₃O₈~~, and thereafter received proceeds of $5.4 million. A second delivery of 90,000 pounds U~~₃O₈ ~~is scheduled to be made in Q4 2023.~~ Currently, our sales deliveries in 2024 are projected to be 570,000 pounds U₃O₈ into two of our ~~three previously announced~~ sales ~~agreements.~~agreements secured in 2022. We now have six multi-year sales agreements which together anticipate sales of 5.7 million pounds U₃O₈ between 2024 and 2030.

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Table of Contents

~~Our multi-year sales agreements, collectively, call for deliveries beginning in 2023~~Industry and ~~continuing through 2028, with the possibility of deliveries continuing under one agreement into 2029. Including the January DOE NNSA sale, we expect to sell 280,000 pounds U~~₃O₈ ~~in 2023 for $17.3 million. Our current anticipated revenues 2023 – 2028 will be approximately $220 million.~~
~~Uranium~~ Market Update

Global factors continue to positively influence the uranium recovery market and ~~domestic~~the nuclear energy industries. Continued growth in the acceptance of nuclear energy, geopolitics, and production reductions, shortfalls and delays, have each contributed to a stronger uranium market with a more optimistic future. As each of these influences continues to gain momentum and strength, the market has experienced significant impacts.
Recognition of the critical role nuclear energy plays in providing baseload power for decarbonization has been complemented more recently as energy security has become a nearly universal priority. Beyond the war in Ukraine, continuing Russian misconduct has only strengthened the resolve of fuel purchasers to reduce dependence on Russian nuclear products. U.S. and global utilities have increasingly been seeking non-Russian supplies when negotiating uranium term sales agreements. This change of supply priority has reflected growing concern over current and possible future sanctions.
On April 30, 2024, by unanimous consent, the U.S. Senate passed a ban on Russian imports to the U.S., which serves as the companion bill to H.R. Bill 1042, previously passed by the U.S. House of Representatives. The legislation awaits action by President Biden, who has expressed support for ~~carbon~~a ban on Russian uranium and is expected to sign the bill. While the legislation has certain waivers available until January 1, 2028, the prohibitions on imports continue until 2040. If signed into law, the ban will help to secure the U.S. nuclear fuel supply chain and advance domestic uranium recovery operations. Also on April 30, members of the G7 committed to reducing dependency on Russian nuclear fuel supplies to create a diversified fuel supply chain free from Russian influence, and to offer support to countries which are working to diversify their nuclear ~~power~~fuel sources.
Also affecting the balance of supply and demand are the challenges that nearly all uranium producers have faced as they have returned to production operations amid stronger market indicators through 2023. Even for experienced and well financed operators, ramp-up and return to commercial level operations has been impeded by labor, equipment, technical, supply chain and other challenges and delays. Kazakh production continues to ~~grow,~~be hindered by significant supply chain disruptions related to sufficient supply of sulfuric acid for its recovery processes. The announcements by Kazatomprom, beginning in December 2023, of substantially reduced production targets (~20% below state-concession required levels) due to this supply shortage as ~~it becomes more widely recognized~~well as continuing construction delays for the ~~only scalable source of reliable, baseload energy. Supply-demand fundamentals are strengthening with~~Kazakhs, have sent shockwaves through the supply gap widening as secondary inventories decline while projections are for sustained growth of nuclear power through traditional uses and the construction of advanced reactors of various types. Additionally, projections for sustained growth of nuclear power globally in coming years continue to incentivize investment in the fuel cycle industries.uranium markets.

~~Many nations have vowed~~The foregoing as well as many other factors continued to ~~accelerate decarbonization efforts through renewable energy development~~move and ~~support for greater nuclear capacity,~~sustain the market early in ~~recognition that nuclear energy provides clean baseload energy, high-quality long-term jobs, economic growth~~2024. Year-end spot pricing of $91 per pound was a milestone not experienced in more than 16 years. Early 2024 has seen pricing increases continue, with spot prices passing $100 per pound and energy security. The growing support for nuclear power is based not only on its carbon free attributes, but also on nations’ objective to have energy security through energy independence. After Russia’s invasion of Ukraine, some European nations expedited their nuclear buildout programs to reduce their reliance on natural gas sourced from an increasingly violent and unreliable neighbor.
Whether through federal legislation in the U.S., or sanctions and other geopolitical forces, any cessation of imports of nuclear fuel from Russia will create greater uncertainty into the supply chain as Russia is a major global supplier and the West has limited capacity to backfill any supply disruption.
~~During Q3, the coup in Niger increased concerns of secure uranium production and supply. Niger is estimated to produce approximately four percent of global uranium, but~~reaching as much as ~~25%~~$107 per pound during January. Even after retracting to levels between closer to $90 per pound, the 2024 spot market prices have remained, on average, more than 40% above the average price in 2023.
Additionally, term market prices increased 50% between year-end 2022 pricing and the March 31, 2024 average term price of ~~European supply.~~$78 per pound. The determination of utilities in the U.S. and abroad to fill mid-term supply requirements continues to support higher term prices. These ~~and other, more general, geopolitical tensions throughout the world~~new contracts are projected to have ~~caused nuclear fuel purchasers to return to purchasing earlier than many projections, with~~ a distinct focus on secure future deliveries of North American production ~~due~~by proven producers, which would be advantageous to ~~its geopolitical stability.~~
Other uranium supply risks (macroeconomics, weather, transportation, and supply chain disruption and the shortage of experienced and skilled labor affecting production operations) are also now being more thoughtfully considered by fuel purchasers. As producers have resumed production operations following the pandemic and in light of a stronger market, delays and shortfalls are being experienced because of these factors; similarly, there are reports that the conversion facilities are encountering challenges to their ramp-up and restart of processing.our Company.

Mineral Rights and Properties

We have 12 U.S. uranium properties. Ten of our uranium properties are in the Great Divide Basin, Wyoming, including Lost Creek. Currently, we control nearly 1,800 unpatented mining claims and three State of Wyoming mineral leases for a total of more than 35,000 acres in the area of the Lost Creek Property, including the Lost Creek permit area (the “Lost Creek Project”), and certain adjoining properties referred to as LC East, LC West, LC North, LC South and EN Project areas (collectively, with the Lost Creek Project, the “Lost Creek Property”). Our Shirley Basin Project permit area, also in Wyoming, comprises nearly 1,800 acres of Company-controlled mineral acres.

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~~Table of Contents~~
Lost Creek Property

Ramp-up ~~of operations~~continues at Lost Creek, ~~progressed in Q3~~ with ~~the first~~ two ~~new~~additional header houses (HHs 2-6 and 2-7) coming online thus far in ~~production in Mine Unit 2 (MU2): HH 2‑4~~2024. During Q1, we captured 38,221 pounds, dried and ~~most recently, HH 2-5. During the quarter, we produced approximately 30,491~~packaged 39,229 pounds, and shipped 35,445 pounds U₃O₈ ~~from HH 2‑4. Production rates are expected to continue to increase as additional header houses in MU2 come online, including houses planned to come into production 2023 Q4.~~. At quarter end, our in-process inventory was approximately 80,465 pounds, our drummed inventory was 26,062 pounds, and our finished inventory at the conversion facility was 79,235 pounds U₃O₈.

While ~~the restart~~we have experienced some additional equipment and operational challenges at Lost Creek, has encountered both familiar and new challenges, operations staff continue to resolve start-up issues and refine our current recovery operations. Among the more significant new challenges has been recruitment and retention of employees and contractors. Turnover in this early stage of restaffing Lost Creek has hampered training and therefore efficient operations. The Wyoming labor market has similarly affected our contractors. Together with the record-setting winter of 2022-2023, these labor-related issues have resulted in initial work being slowed at Lost Creek. However, we are seeing ~~steady improvement~~more consistent drying and packaging, with 29,497 pounds U₃O₈ packaged since quarter end and dryer operations keeping pace with wellfield production. We have 12 drill rigs onsite, with an additional rig scheduled to commence work in production activities as our increasing number of core staff have more time on the job, and we expect these inefficiencies will be overcome. We also anticipate that as the Wyoming unemployment rate stabilizes our contractors will also find long-term employees.
~~Primary well casing installation is complete in~~early May. Drilling has advanced into HH ~~2-6, and~~2-11 with completion work is nearly ~~done~~finished in ~~that area. Drilling and well installation continues in planned recovery areas in HHs 2-7 and 2-8. Delineation drilling is nearly complete in the~~ recovery areas of HH 2-8. Fabrication of HHs 2-8 and 2-9 is complete, and work on HHs 2-10 and ~~will continue~~2-11 is advancing in ~~order~~our Casper construction shop. HH 2-8 is expected to ~~support pattern design for the~~come online in May.
All remaining planned production areas of ~~MU2 (HHs 2-11 through 2-14). Long-lead items continue~~Mine Unit 2 (MU2) are scheduled to be ~~ordered, with such items ordered for planned needs through 2024 H1. All procurement~~constructed during 2024. Additionally, we are planning delineation drilling and initial well installation in Phase 2 of ~~construction materials~~Mine Unit 1 (MU1) when drilling is ~~completed for activities planned into 2024 Q1.~~ complete in MU2.
Surface construction of injection and production systems for upcoming recovery areas continues to advance including the installation of pipelines, powerlines, downhole equipment and the header house building including its primary motor control, piping and controls.

As ~~previously~~ disclosed, we ~~began the drilling and construction of~~drilled an additional deep disposal well at Lost Creek in ~~early July,~~mid-2023, with the drilling phase completed in ~~July. Well~~2023 Q3. Preliminary completion and testing continued ~~throughout~~in 2023 ~~Q3, with~~Q4 and, following receipt of regulatory approvals, final completion work ~~planned for 2023 Q4. When this work is complete, we~~was finished in Q1. We will now obtain remaining regulatory approvals followed by specification of surface injection equipment. In advance of operation of the deep well, procurement and installation of ~~the~~a powerline ~~will be complete in 2023 Q4~~was completed enabling anticipated operation in ~~late 2023 or 2024 Q1.~~2024. Initial injection systems are onsite allowing for operation of the deep well soon after injection permits are received.

~~Supply chain disruption continues to be~~ We filed an updated Technical Report Summary on our Lost Creek Property, Sweetwater County, Wyoming, USA (the “Lost Creek Report,” March 4, 2024), which was prepared by Western Water Consultants, Inc., d/b/a ~~global~~WWC Engineering (“WWC”). The resources identified and ~~uranium industry issue. While most~~evaluated have been included in ~~industry~~the Lost Creek production plan and continue to ~~face procurement challenges, our advanced ordering~~support the potential viability of the Lost Creek Property.
The mineral resource estimate for the Property is 12.682 million pounds eU₃O₈ in the Measured and ~~recycling of old equipment~~Indicated categories, and 6.119 million pounds eU₃O₈ in the Inferred category. The mineral resource has been reduced to account for production at Lost Creek ~~have allowed us to largely overcome the issue with minimal delays. We will continue to order equipment and materials well in advance and keep a close eye on lead times for critical items.~~
~~The first two mine units~~of 2.838 million pounds U₃O₈ at Lost Creek have all appropriate permits necessary for commercial level operations. We have received Wyoming Uranium Recovery Program (“URP”) approval of the amendment to the Lost Creek source material license to include recovery from the LC East Project (HJ and KM horizons) immediately adjacent to the Lost Creek Project and additional HJ horizons at the Lost Creek Project. We await only the approval by the Wyoming Department of Environmental Quality (“WDEQ”), Land Quality Division (“LQD”) of the amendment to the Lost Creek permit to mine adding HJ and KM horizons at LC East and HJ mine units at Lost Creek. We anticipate the LQD review will be complete inDecember 31, 2023.
~~Shirley Basin~~
Based on our advanced negotiations with three nuclear fuel purchasers and the strengthening market, we are proceeding with additional tasks to advance Shirley Basin. Although a decision approving a move to construction has not been made, we are advancing procurement of long-lead items for the Shirley Basin Project, as well as other activities in the field. We anticipate these advance preparations will shorten the time for construction and ramp up when the “go” decision is made by our Board to proceed with construction.

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Table of Contents

Shirley Basin is
During the quarter, the decision was made to build out our wholly owned, fully permitted and licensed Shirley Basin Project in Carbon County, Wyoming. The satellite plant will be designed with a flow rate of up to 6,000 gallons per minute and capacity to produce up to 1.0 million pounds of U₃O₈ per year. Our permits and license allow for the construction of the elution, precipitation and drying circuits should it become economically advantageous. No amendments to the existing permits or licenses would be required.
The satellite plant will be a relatively low-cost facility consisting of ion exchange (IX), wastewater and groundwater restoration circuits. The IX resin at Shirley Basin will be loaded with uranium from the mine and shipped to the Company’s operating Lost Creek ISR Facility for processing before being recycled back into operations at Shirley Basin. This satellite approach will help minimize initial facility capital costs to approximately $24.4 million and pre-operational wellfield development costs to approximately $16.3 million.
The estimated time to finalize designs, order materials and construct the satellite plant and initial wellfield recovery area is approximately 24 months. Work has already been initiated on long-lead items, including detailed engineering and additional geologic pattern planning for the wellfield. Planning has been completed and fieldwork initiated for the monitor well ring for the first mine unit, with plans to install approximately 120 wells in 2024 Q2 and Q3. This installation will enable hydrologic testing and baseline water quality analyses to proceed prior to the start of installation of production patterns in mid-2025. Significantly, the bid process and award for fabrication of IX columns has been completed. This procurement represents one of the longest lead items in the facility.
We filed an updated Technical Report Summary on Shirley Basin ISR Uranium Project, Carbon County, Wyoming, USA, as amended (the “Shirley Basin Report,” March 11, 2024), which was prepared by WWC. The report reaffirms the mineral resources as well as the economic analysis on the Shirley Basin Project from a prior report prepared under S-K 1300.
Based upon data from the historical and confirmation drilling at the site, the Shirley Basin Report confirms the project’s mineral resource estimate of 8.8 million pounds eU₃O₈ in the Measured and Indicated categories. Due to the very high level of density in drilling at the project, all ~~major regulatory approvals~~resources within the three proposed mine units are classified as Measured or Indicated. There are no resources in the Inferred category.
Sales of U₃O₈ and Sales Agreements
Beginning in 2022 and continuing into 2024, we have secured six multi-year sales agreements with global nuclear purchasers. These multi-year agreements are in addition to our contract under the DOE uranium reserve which was completed with delivery in early 2023.
In 2022, we completed two sales agreements which call for ~~construction. The project has a licensed wellfield capacity of one~~deliveries from 2023 through 2028 totaling 3.2 million pounds U₃O₈ ~~per year. We currently estimate it will take~~with the possibility of additional sales of up to 24 months to complete all procurement, development activities and construction of the satellite facility and associated first mine unit to initiate production. This estimate is based on the long lead times we are seeing for critical equipment; especially for electrical equipment. The decision to proceed with construction of the satellite and first mine unit for production operations will be considered on an ongoing basis as the uranium market and our contract book evolve.300,000 pounds U₃O₈ in 2029.

~~Research and Development~~In 2023, we completed one agreement calling for deliveries from 2025 through 2027 totaling 0.3 million pounds U₃O₈.

~~As priorities at Lost Creek~~In 2024, we have completed three additional sales agreements. In February, the first of three agreements calls for annual deliveries of between 100,000 and ~~Shirley Basin allow, we continue~~350,000 pounds U₃O₈ over a five-year period beginning in 2026. The agreement includes the opportunity for the purchaser to ~~pursue several research and development projects with an objective~~add up to ~~introduce new methods~~three additional annual deliveries of ~~cost-effective technology to our Lost Creek Project, and to Shirley Basin when it~~300,000 pounds U₃O₈ beginning in 2031. The pricing for the sales under this agreement is ~~constructed. Phase Two testing of our new injection well material and well installation technology is continuing.~~
~~We also continue to progress work on engineering~~a combination of an ~~advanced water treatment system. Beyond water recycling gains already achieved with our industry-leading Class V circuit,~~escalated fixed price, which is well above the ~~new system may allow~~anticipated all-in costs of production, and market related pricing component that is subject to an ~~additional 90% reduction of disposed water. This project is in advanced-stage planning,~~escalated floor and ~~design and construction plans will continue to progress through 2023 H2.~~
~~Casper Operations Headquarters~~
Our new multipurpose central services facility in Casper was completed earlier this year. We now have a fully staffed Casper construction team hard at work constructing, wiring and automating the next header houses for installation at Lost Creek. HHs 2-6 and 2-7 are nearing completion and work has begun on HH 2-8. Additionally, our chemistry laboratory is fully staffed.
Already we are realizing our plan for this centralized construction facility to provide numerous safety, environmental and financial advantages to our Lost Creek operation, including a reduction of commuting vehicles and related emissions. This facility will allow us to conduct these functions for Shirley Basin when it becomes our second production site.ceiling.

2623
Table of Contents
Also in February 2024, the second of three agreements was signed with delivery commitments for five years with an initial delivery of 50,000 pounds U₃O₈ in 2026 and deliveries of 200,000 pounds U₃O₈ annually in 2027 through 2030. All sales will be made at fixed prices, escalated from the base agreed price.
In April 2024, the third of the three new agreements was signed with annual delivery commitments of up to 100,000 pounds U₃O₈ in 2026 through 2029, a portion of which is based upon production milestones. The pricing for the sales under this agreement is a combination of an escalated fixed price, which is well above the anticipated all-in costs of production, and a market-related pricing component that is subject to an escalated floor and ceiling.
Certain of the sales agreements permit the purchaser the customary election to flex the delivery quantity up or down by as much as ten percent. All sales prices are anticipated to be profitable on an all-in production cost basis and escalate annually from initial pricing, including some market-based pricing features.
Our six sales agreements with various global nuclear purchasers provide for deliveries as follows:
Year
Base Quantity
(U₃O₈ Pounds)

2024

570,000

2025

700,000

2026

950,000

2027

1,150,000

2028

1,200,000

2029

600,000

2030

550,000

5,720,000

Corporate Developments
As previously disclosed, we completed the pre-payment of the remaining $4.4 million on our State Bond Loan. We are now debt free. (See also discussion below under “Wyoming State Bond Loan.”)
In March 2024, we expanded our executive team with the addition of Ryan Schierman as our Vice President Regulatory Affairs. Prior to joining Ur-Energy, Mr. Schierman held numerous positions in management, most recently at Fluor/Idaho Environmental Coalition, contractors to the U.S. Department of Energy, at the Idaho Cleanup Project. Mr. Schierman has also held several positions in the uranium recovery industry, gaining expertise in regulatory relations and compliance, licensing, and environmental health and safety. As the Wyoming Uranium Recovery Program Manager (2015-2020), Mr. Schierman was critical in assisting Wyoming to become the 38^th US Nuclear Regulatory Commission Agreement State. Mr. Schierman earned a B.S. in Environmental Science from Brigham Young University, a M.Sc. in Health Physics from Idaho State University, and is a Certified Health Physicist.
Subsequent to quarter end, we announced the appointment of John Paul Pressey and Elmer W. Dyke as new members of the Ur-Energy Board of Directors. We also announced the anticipated retirement of founding Director James M. Franklin and Director, and former President and CEO, W. William Boberg. Both will continue to serve the Board until the Company’s Annual Meeting of Shareholders, June 6, 2024, though neither will stand for re-election at the Meeting.
John Paul Pressey had a nearly three-decade long career in the assurance practice at PricewaterhouseCoopers LLP, with 16 years as a partner. With a Bachelor of Commerce degree from the University of Alberta, Mr. Pressey is a Chartered Professional Accountant with extensive experience working with U.S. and Canadian publicly traded companies in the mining industry, and other industries including manufacturing, utilities, and alternative energy. His experience includes acquisitions and capital markets transactions, working with clients to identify and implement practical business solutions to accounting, audit and financial issues. Mr. Pressey spent six years at PricewaterhouseCoopers as its Assurance Leader for British Columbia, overseeing all aspects of PricewaterhouseCoopers’s assurance results and operations for that Province.
Elmer Dyke has over 35 years’ experience in the commercial and government nuclear industry. Mr. Dyke has a Bachelor of Arts Degree in International Political Economy from Davidson College and served as a U.S. Army Officer for thirteen years. Mr. Dyke’s professional career includes a tenure with the U.S. Department of State during which he directed international security programs, including nuclear nonproliferation and high technology projects and was detailed to the Departments of Defense and Commerce. Mr. Dyke has worked within global firms NAC International and Booz Allen Hamilton where he served as an expert on nuclear nonproliferation, strategy and nuclear fuel cycle. More recently, Mr. Dyke filled senior executive roles at Centrus Energy Corporation, a global nuclear fuel supplier and technical services provider. At Centrus Energy and in prior executive roles, Mr. Dyke led strategic planning and business development, financial performance, and risk management for the businesses. Currently, Mr. Dyke leads New Horizons Nuclear Associates, LLC, a global nuclear consulting firm he formed in 2022.
24
Table of Contents

Results of Operations

Reconciliation of Non-GAAP measures with US GAAP financial statement presentation

The following tables include measures ~~such as~~specific to U₃O₈ sales, U₃O₈cost of sales, U₃O₈gross profit, U₃O₈pounds sold, U₃O₈ price per pound sold, U₃O₈cost per pound sold, and U₃O₈ gross profit per pound sold. These measures do not have standardized meanings within US GAAP or a defined basis of calculation. These measures are used by management to assess business performance and determine production and pricing strategies. They may also be used by certain investors to evaluate performance. The following two tables provide a reconciliation of U₃O₈ price per pound sold and U₃O₈ cost per pound sold to the consolidated financial statements. U₃O₈ ~~sales, U~~₃O₈ ~~cost of sales, U~~₃O₈ ~~gross profit, and the related cost per pound measures exclude disposal fees and lower of cost or NRV adjustments.~~

U₃O₈ Price per Pound Sold Reconciliation

Unit

2023 Q1

2023 Q2

2023 Q3

YTD 2023

Unit

2023 Q2

2023 Q3

2023 Q4

2024 Q1

Sales per financial statements

$ 000

6,447

39

5,752

12,238

$ 000

39

5,752

5,441

-

Disposal fees

$ 000

-

(39 )

(312 )

(351 )

$ 000

(39 )

(312 )

-

-

U₃O₈ sales

$ 000

6,447

-

5,440

11,887

$ 000

-

5,440

5,441

-

U₃O₈ pounds sold

lb

100,000

-

90,000

190,000

lb

-

90,000

90,000

-

U₃O₈ price per pound sold

$/lb

64.47

-

60.44

62.56

$/lb

-

60.44

60.46

-

Sales per the financial statements includes U₃O₈ sales and disposal fees. Disposal fees received at Pathfinder’s Shirley Basin property do not relate to the sale of U₃O₈ and are excluded from the U₃O₈ sales and U₃O₈ price per pound measures.

U₃O₈ Cost per Pound Sold Reconciliation

Unit

2023 Q1

2023 Q2

2023 Q3

YTD 2023

Unit

2023 Q2

2023 Q3

2023 Q4

2024 Q1

Cost of sales per financial statements

$ 000

6,504

2,951

4,855

14,310

$ 000

2,951

4,855

5,055

1,139

Lower of cost or NRV adjustment

$ 000

(2,875 )

(2,951 )

(2,332 )

(8,158 )

$ 000

(2,951 )

(2,332 )

(2,531 )

(1,139 )
U₃O₈ cost of sales

$ 000

3,629

-

2,523

6,152

$ 000

-

2,523

2,524

-

U₃O₈ pounds sold

lb

100,000

-

90,000

190,000

lb

-

90,000

90,000

-

U₃O₈ cost per pound sold

$/lb

36.29

-

28.03

32.38

$/lb

-

28.03

28.04

-

Cost of sales per the financial statements includes U₃O₈ costs of sales and lower of cost or NRV adjustments. U₃O₈cost of sales includes ad valorem and severance taxes related to the extraction of uranium, all costs of wellfield and plant operations including the related depreciation and amortization of capitalized assets, reclamation, and mineral property costs, plus product distribution costs. These costs are also used to value inventory. The resulting inventoried cost per pound is compared to the NRV of the product, which is based on the estimated sales price of the product, net of any necessary costs to finish the product. Any inventory value in excess of the NRV is charged to cost of sales in the financial statements. NRV adjustments, if any, relate to U₃O₈ inventories and do not relate to the sale of U₃O₈, and are excluded from the U₃O₈ cost of sales and U₃O₈ cost per pound sold measures.

2725
Table of Contents

U₃O₈ Sales

The following table provides information on our U₃O₈ ~~sales during 2023.~~ sales.

Unit

2023 Q2

2023 Q3

2023 Q4

2024 Q1

U₃O₈ Sales by Product

U₃O₈ Sales

Produced

$ 000

-

5,440

5,441

-

Purchased

$ 000

-

-

-

-

$ 000

-

5,440

5,441

-

U₃O₈ Pounds Sold

Produced

lb

-

90,000

90,000

-

Purchased

lb

-

-

-

-

lb

-

90,000

90,000

-

U₃O₈ Price per Pounds Sold

Produced

$/lb

-

60.44

60.46

-

Purchased

$/lb

-

-

-

-

$/lb

-

60.44

60.46

-

There were no ~~spot sales in 2023 and there were no comparable~~ U₃O₈ sales in ~~2022.~~2024 Q1.

Unit

2023 Q1

2023 Q2

2023 Q3

YTD 2023

U₃O₈ Sales by Product

U₃O₈ Sales

Produced

$ 000

2,789

-

5,440

8,229

Purchased

$ 000

3,658

-

-

3,658

$ 000

6,447

-

5,440

11,887

U₃O₈ Pounds Sold

Produced

lb

43,259

-

90,000

133,259

Purchased

lb

56,741

-

-

56,741

lb

100,000

-

90,000

190,000

U₃O₈ Price per Pounds Sold

Produced

$/lb

64.47

-

60.44

61.75

Purchased

$/lb

64.47

-

-

64.47

$/lb

64.47

-

60.44

62.56

As previously announced, the Company made the decision to ramp up operations after securing new term contracts in 2022 with initial deliveries beginning in ~~2023.~~
~~During 2022, we submitted a bid to the U.S. DOE uranium reserve program. In December 2022, we were notified by the DOE that our bid was accepted, and 100,000 pounds were delivered to the DOE in~~ 2023 ~~Q1 at an average price per pound sold of $64.47. The delivery included both produced and previously purchased pounds.~~Q3.

In 2023 Q3 and 2023 Q4, we delivered ~~90,000~~a total of 180,000 produced pounds U₃O₈ into term contracts at ana combined average price of ~~$60.44.~~$60.45.
Our sales in 2024 are projected at 570,000 pounds U₃O₈ and we expect to realize revenues of $33.1 million. The deliveries are under contracts negotiated in 2022, when the long-term price was between $43 and $52 per pound.

2826
Table of Contents

U₃O₈ Cost of Sales

The following table provides information on our U₃O₈ cost of ~~sales during 2023.~~ sales.

Unit

2023 Q2

2023 Q3

2023 Q4

2024 Q1

U₃O₈ Cost of Sales by Product

U₃O₈ Cost of Sales

Ad valorem and severance taxes

$ 000

-

53

53

-

Cash costs

$ 000

-

1,674

1,674

-

Non-cash costs

$ 000

-

796

797

-

Produced

$ 000

-

2,523

2,524

-

Purchased

$ 000

-

-

-

-

$ 000

-

2,523

2,524

-

U₃O₈ Pounds Sold

Produced

lb

-

90,000

90,000

-

Purchased

lb

-

-

-

-

lb

-

90,000

90,000

-

U₃O₈ Cost per Pound Sold

Ad valorem and severance taxes

$/lb

-

0.59

0.59

-

Cash costs

$/lb

-

18.60

18.60

-

Non-cash costs

$/lb

-

8.84

8.85

-

Produced

$/lb

-

28.03

28.04

-

Purchased

$/lb

-

-

-

-

$/lb

-

28.03

28.04

-

There ~~was~~were no ~~comparable~~ U₃O₈ ~~cost of~~ sales in ~~2022.~~2024 Q1.

Unit

2023 Q1

2023 Q2

2023 Q3

YTD 2023

U₃O₈ Cost of Sales by Product

U₃O₈ Cost of Sales

Ad valorem and severance taxes

$ 000

26

-

53

79

Cash costs

$ 000

805

-

1,674

2,479

Non-cash costs

$ 000

383

-

796

1,179

Produced

$ 000

1,214

-

2,523

3,737

Purchased

$ 000

2,415

-

-

2,415

$ 000

3,629

-

2,523

6,152

U₃O₈ Pounds Sold

Produced

lb

43,259

-

90,000

133,259

Purchased

lb

56,741

-

-

56,741

lb

100,000

-

90,000

190,000

U₃O₈ Cost per Pound Sold

Ad valorem and severance taxes

$/lb

0.60

-

0.59

0.59

Cash costs

$/lb

18.61

-

18.60

18.60

Non-cash costs

$/lb

8.85

-

8.84

8.85

Produced

$/lb

28.06

-

28.03

28.04

Purchased

$/lb

42.56

-

-

42.56

$/lb

36.29

-

28.03

32.38

In 2023 ~~Q1, the 100,000 pounds sold to the DOE consisted~~Q3 and 2023 Q4, a total of ~~43,259~~180,000 produced ~~pounds and 56,741 purchased pounds. During 2022, we purchased 40,000~~ pounds U₃O₈~~at $49.50 per pound, which increased the average cost per pound purchased to $42.56.~~ were sold into term contracts. The average cost per produced pound sold was ~~$28.06, and together with the purchased pounds, the average cost per pound sold was $36.29.~~
~~In 2023 Q3, the 90,000 pounds sold were all produced pounds and the average cost per produced pounds sold was $28.03 per pound.~~$28.04.

2927
Table of Contents

U₃O₈ Gross Profit

The following table provides information on our U₃O₈ gross ~~profit during 2023.~~ profit.

Unit

2023 Q2

2023 Q3

2023 Q4

2024 Q1

U₃O₈ Gross Profit by Product

U₃O₈ Sales

Produced

$ 000

-

5,440

5,441

-

Purchased

$ 000

-

-

-

-

$ 000

-

5,440

5,441

-

U₃O₈ Cost of Sales

Produced

$ 000

-

2,523

2,524

-

Purchased

$ 000

-

-

-

-

$ 000

-

2,523

2,524

-

U₃O₈ Gross Profit

Produced

$ 000

-

2,917

2,917

-

Purchased

$ 000

-

-

-

-

$ 000

-

2,917

2,917

-

U₃O₈ Pounds Sold

Produced

lb

-

90,000

90,000

-

Purchased

lb

-

-

-

-

lb

-

90,000

90,000

-

U₃O₈ Gross Profit per Pound Sold

Produced

$/lb

-

32.41

32.42

-

Purchased

$/lb

-

-

-

-

$/lb

-

32.41

32.42

-

U₃O₈ Gross Profit Margin

Produced

%

0.0 %

53.6 %

53.6 %

0.0 %
Purchased

%

0.0
%

0.0
%

0.0
%

0.0
%

%

0.0 %

53.6 %

53.6 %

0.0 %
There ~~was~~were no ~~comparable~~ U₃O₈ ~~gross profit~~sales in ~~2022.~~2024 Q1.

Unit

2023 Q1

2023 Q2

2023 Q3

YTD 2023

U₃O₈ Gross Profit by Product

U₃O₈ Sales

Produced

$ 000

2,789

-

5,440

8,229

Purchased

$ 000

3,658

-

-

3,658

$ 000

6,447

-

5,440

11,887

U₃O₈ Cost of Sales

Produced

$ 000

1,214

-

2,523

3,737

Purchased

$ 000

2,415

-

-

2,415

$ 000

3,629

-

2,523

6,152

U₃O₈ Gross Profit

Produced

$ 000

1,575

-

2,917

4,492

Purchased

$ 000

1,243

-

-

1,243

$ 000

2,818

-

2,917

5,735

U₃O₈ Pounds Sold

Produced

lb

43,259

-

90,000

133,259

Purchased

lb

56,741

-

-

56,741

lb

100,000

-

90,000

190,000

U₃O₈ Gross Profit per Pound Sold

Produced

$/lb

36.41

-

32.41

33.71

Purchased

$/lb

21.91

-

-

21.91

$/lb

28.18

-

32.41

30.18

U₃O₈ Gross Profit Margin

Produced

%

56.5 %

-

53.6 %

54.6 %
Purchased

%

34.0 %

-

0.0 %

34.0 %

%

43.7 %

-

53.6 %

48.2 %

In 2023 ~~Q1,~~Q3 and 2023 Q4, the average price per pound sold into term contracts was ~~$64.47~~$60.45 and the average cost per pound sold was ~~$36.29, which resulted in an average gross profit per pound sold of $28.18 and an average gross profit margin of nearly 44%.~~
~~In 2023 Q3, the average price per pound sold was $60.44 and the average cost per pound sold was $28.03,~~$28.04, which resulted in an average gross profit per pound sold of $32.41 and an average gross profit margin of nearly 54%.

3028
Table of Contents

U₃O₈ Production and Ending Inventory

The following table provides information on our production and ending inventory of U₃O₈ pounds.

Unit

2022 Q4

2023 Q1

2023 Q2

2023 Q3

2023 YTD

Unit

2023 Q2

2023 Q3

2023 Q4

2024 Q1

U₃O₈ Production

Pounds captured

lb

85

156

4,392

30,491

35,039

lb

4,392

30,491

68,448

38,221

Pounds drummed

lb

-

-

-

15,759

15,759

lb

-

15,759

6,519

39,229

Pounds shipped

lb

-

-

-

35,445

U₃O₈ Ending Inventory

Pounds

In-process inventory

lb

1,357

1,498

5,801

20,396

lb

5,801

20,396

82,033

80,465

Plant inventory

lb

-

-

-

15,759

lb

-

15,759

22,278

26,062

Conversion inventory - produced

lb

267,049

223,790

223,790

133,790

lb

223,790

133,790

43,790

79,235

Conversion inventory - purchased

lb

56,741

-

-

-

lb

325,147

225,288

229,591

169,945

lb

229,591

169,945

148,101

185,762

Value

In-process inventory

$ 000

-

-

-

-

$ 000

-

-

-

-

Plant inventory

$ 000

-

-

-

949

$ 000

-

949

1,343

1,593

Conversion inventory - produced

$ 000

7,488

6,275

6,275

3,752

$ 000

6,275

3,752

1,228

3,105

Conversion inventory - purchased

$ 000

2,415

-

-

-

$ 000

9,903

6,275

6,275

4,701

$ 000

6,275

4,701

2,571

4,698

Cost per Pound

In-process inventory

$/lb

-

-

-

-

$/lb

-

-

-

-

Plant inventory

$/lb

-

-

-

60.22

$/lb

-

60.22

60.28

61.12

Conversion inventory - produced

$/lb

28.04

28.04

28.04

28.04

$/lb

28.04

28.04

28.04

39.19

Conversion inventory - purchased

$/lb

42.56

-

-

-

Conversion inventory average

$/lb

30.58

28.04

28.04

28.04

Produced conversion inventory detail

Ad valorem and severance tax

$/lb

0.59

0.59

0.59

0.59

$/lb

0.59

0.59

0.59

0.53

Cash cost

$/lb

18.60

18.60

18.60

18.60

$/lb

18.60

18.60

18.60

28.47

Non-cash cost

$/lb

8.85

8.85

8.85

8.85

$/lb

8.85

8.85

8.85

10.19

$/lb

28.04

28.04

28.04

28.04

$/lb

28.04

28.04

28.04

39.19

~~Following our decision~~Wellfield production at Lost Creek resumed in 2023 Q2 and 4,392 pounds were captured during the quarter. Pounds captured increased to ~~ramp up~~30,491 pounds in ~~late 2022, production rates began~~2023 Q3 and increased again to 68,448 pounds in 2023 Q4 as mining activities accelerated. Pounds captured in 2024 Q1 decreased to 38,221 pounds. The decrease was due to the dryer issues discussed below. Because of the dryer issues, in process inventory reached capacity in 2023 Q4 and we were only able to capture as many pounds as were drummed in 2024 Q1. Pounds captured will increase in ~~late 2023 Q2 after bringing HH 2-4 online. In 2023 Q3, we produced 30,491~~line with pounds from HH 2-4 and, in late 2023 Q3, we brought HH 2‑5 online. The Casper construction facility is fully staffed and operating as planned to allow for the construction of additional header houses. HHs 2-6 and 2-7 are nearing completion, and construction is beginning on HH 2‑8. Production is expected to increase as new header houses are brought online.drummed.

AsPlant production ~~increased,~~at Lost Creek resumed in 2023 Q3 with 15,759 pounds drummed during the quarter. Drying operations encountered equipment issues that reduced plant ~~began~~throughput in 2023 Q4. The equipment issues were addressed, and 39,229 pounds were drummed in 2024 Q1. Subsequent to ~~dry and package~~2024 Q1, approximately 29,497 pounds were drummed through May 2, 2024.
There were no shipments in 2023. The first shipment of U₃O₈~~. During 2023 Q3, 15,759 pounds were drummed and remained in the plant inventory at quarter end. The plant inventory cost per pound is expected to decrease as production increases. Shipments~~ to the conversion facility ~~are expected~~since the return to ~~begin~~commercial operations was completed on February 27, 2024, when 35,445 pounds were delivered to the conversion facility. Subsequent to 2024 Q1, 35,398 pounds were shipped to the conversion facility in ~~2023 Q4.~~April 2024.
We ended the quarter with 80,465 pounds in process, 26,062 drummed pounds, and 79,265 pounds at the conversion facility.
Because production rates were low during the initial ramp up period, the cost per pound to produce inventory exceeded its NRV. The ending plant inventory value was therefore written down to its NRV, which was approximately $61.12 per pound at quarter end. We expect in-process and plant inventory NRV adjustments to decrease and ultimately stop as plant production increases and the related production costs per pound decrease. The cost per produced pound at the conversion facility increased during the quarter reflecting the higher cost per pound of the drummed inventory shipped to the conversion facility in 2024 Q1.

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Table of Contents

Three ~~and nine~~ months ended ~~September 30, 2023,~~March 31, 2024, compared to the three ~~and nine~~ months ended ~~September 30, 2022~~March 31, 2023

The following table summarizes the results of operations for the three ~~and nine~~ months ended ~~September 30, 2023,~~March 31, 2024 and ~~2022:~~2023:


Three Months Ended
September 30,

Nine Months Ended
September 30,

Three Months Ended
March 31,

2023

2022

Change

2023

2022

Change

2024

2023

Change

Sales

5,752

-

5,752

12,238

19

12,219

-

6,447

(6,447 )
Cost of sales

(4,855 )

(1,655 )

(3,200 )

(14,310 )

(5,039 )

(9,271 )

(1,139 )

(6,504 )

5,365

Gross profit (loss)

897

(1,655 )

2,552

(2,072 )

(5,020 )

2,948

Gross loss

(1,139 )

(57 )

(1,082 )

Operating costs

(11,289 )

(2,910 )

(8,379 )

(20,373 )

(9,668 )

(10,705 )

(15,145 )

(3,065 )

(12,080 )
Operating profit (loss)

(10,392 )

(4,565 )

(5,827 )

(22,445 )

(14,688 )

(7,757 )
Operating loss

(16,284 )

(3,122 )

(13,162 )

Net interest income (expense)

406

(114 )

520

1,079

(451 )

1,530

Net interest income expense

488

213

275

Warrant mark to market gain (loss)

(7,216 )

(295 )

(6,921 )

(4,155 )

1,620

(5,775 )

(2,756 )

1,867

(4,623 )
Foreign exchange gain (loss)

13

19

(6 )

335

29

306

Other income (loss)

2

(7 )

9

2

1,247

(1,245 )
Foreign exchange gain

12

336

(324 )
Other loss

(1 )

(7 )

6

Net loss

(17,187 )

(4,962 )

(12,225 )

(25,184 )

(12,243 )

(12,941 )

(18,541 )

(713 )

(17,828 )

Foreign currency translation adjustment

144

87

57

(290 )

137

(427 )
Comprehensive income (loss)

(17,043 )

(4,875 )

(12,168 )

(25,474 )

(12,106 )

(13,368 )
Foreign currency translation

283

(317 )

600

Comprehensive loss

(18,258 )

(1,030 )

(17,228 )

Earnings (loss) per common share:

Loss per common share:

Basic

(0.07 )

(0.03 )

(0.04 )

(0.10 )

(0.06 )

(0.04 )

(0.07 )

-

(0.07 )
Diluted

(0.07 )

(0.03 )

(0.04 )

(0.10 )

(0.06 )

(0.04 )

(0.07 )

-

(0.07 )

U₃O₈ pounds sold

90,000

-

90,000

190,000

-

190,000

-

100,000

(100,000 )

U₃O₈ price per pound sold

60.44

-

60.44

62.56

-

62.56

-

64.47

(64.47 )

U₃O₈ cost per pound sold

28.03

-

28.03

32.38

-

32.38

-

36.29

(36.29 )

U₃O₈ gross profit per pound sold

32.41

-

32.41

30.18

-

30.18

-

28.18

(28.18 )

Sales

InSales per the financial statements includes the U₃O₈ sales and disposal fees.
There were no sales in the three months ended ~~September 30,~~March 31, 2024. In the first three months of 2023, we ~~recorded~~sold 100,000 pounds to the U.S. DOE uranium ~~sales of $5.4 million from the sale of 90,000 pounds~~reserve program at an average price of ~~$60.44 per pound. In addition, we recorded $0.3 of disposal fees during the quarter. There were no uranium sales or disposal fees in the comparable 2022 period.~~$64.47.

InCost of Sales
Cost of sales per the ~~first nine months~~financial statements includes U₃O₈ costs of ~~2023, we recorded uranium~~ sales and lower of $11.9 million from the sale of 190,000 pounds at an average price of $62.56 per pound. There were no uranium sales in the first nine months of 2022. Disposal fees were $0.4 million in the first nine months of 2023 and were minimal in the comparable 2022 period.cost or NRV adjustments.

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~~Cost of Sales~~
Cost of sales consists of the following:


Three Months Ended
September 30,

Nine Months Ended
September 30,

Three Months Ended
March 31,

Cost of Sales

2023

2022

2023

2022

2024

2023

Change

Cost of product sales

2,523

-

6,152

-

-

3,629

(3,629 )
Lower of cost or NRV adjustments

2,332

1,655

8,158

5,039

1,139

2,875

(1,736 )

4,855

1,655

14,310

5,039

1,139

6,504

(5,365 )

~~Cost~~There were no product sales in the three months ended March 31, 2024. Costs of sales ~~per the financial statements includes the cost~~in 2024 Q1 consisted of U₃O₈ ~~product sales and~~ lower of cost or NRV adjustments ~~related to U~~₃O₈ ~~inventory values.~~
~~In the three months ended September 30, 2023, cost of sales included $2.5 million from selling 90,000 pounds of U~~₃O₈ ~~at an average cost per pound sold of $28.03. For the nine months ended September 30, 2023, cost of sales included $6.2 million from selling 190,000 pounds of U~~₃O₈ ~~at an average cost per pound sold of $32.38. There was no uranium cost of sales in the comparable 2022 periods.~~only.

Lower of cost or NRV adjustments for the three ~~and nine~~ months ended ~~September 30, 2023 increased~~March 31, 2024 decreased from the comparable ~~2022~~2023 periods. ~~The increases reflect~~As shown above in the ~~Company’s decision to ramp up operations and increase production rates. As expected, production costs have risen in advance of production rate increases, which has led to greater~~U₃O₈ Cost per Pound Sold Reconciliation, quarterly NRV adjustments have trended down as production increased, going from $3.0 million in 2023 ~~as compared~~Q2 to ~~2022.~~$1.1 million in 2024 Q1.

~~Following~~Excluding the Company’s decision to ramp up operations, production resumed in late 2023 Q2 and increased in 2023 Q3. Production is expected to continue increasing until we reach our targeted rates of production. The 2023 Q3 NRV adjustment was $0.7 million less than the 2023 Q2 adjustment and we expect NRV adjustments, ~~will continue to decrease as production increases.~~the U₃O₈ cost of sales in the three months ended March 31, 2023, was $3.6 million, or approximately $36.29 per pound on average. The 100,000-pound sale included 43,259 produced pounds at an average cost of $28.06 per pound and 56,741 purchased pounds at an average cost of $42.56 per pound.

Gross Profit (Loss)

~~For~~There were no sales in the three months ended ~~September 30, 2023, we had a gross profit~~March 31, 2024. Gross losses in 2024 Q1 consisted of ~~$0.9 million and for the nine months ended September 30, 2023, we had a gross loss~~lower of ~~$2.1 million. The gross losses for the three and nine months ended September 30, 2022, were $1.7 million and $5.0 million, respectively.~~cost or NRV adjustments only. NRV adjustments are included in the gross profit and losses as discussed above.

Excluding the NRV adjustments, the ~~gross profit related to~~ U₃O₈ ~~sales for~~gross profit in the three ~~and nine~~ months ended ~~September 30,~~March 31, 2023, ~~were $2.9 million and $5.7~~was $2.8 million, or approximately ~~$32.41 and $30.18~~$28.18 per pound on average. The gross profit was $36.41 per produced pound sold ~~on average, respectfully.~~and $21.91 per purchased pound sold.

Operating Costs

The following table summarizes the operating costs for the three ~~and nine~~ months ended ~~September 30,~~March 31, 2024 and 2023:

Three Months Ended
March 31,

2024

2023

Change

Exploration and evaluation

903

371

532

Development

11,552

1,149

10,403

General and administration

2,569

1,422

1,147

Accretion

121

123

(2 )

15,145

3,065

12,080

Total operating costs increased $12.1 million in 2024 Q1. The increases were mainly due to development costs at Lost Creek, including disposal well completion costs, and annual, company-wide, bonuses paid in 2024 Q1. No bonuses were paid in 2023 ~~and 2022:~~Q1; they were paid in 2023 Q2.

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Three Months Ended
September 30,

Nine Months Ended
September 30,

2023

2022

Change

2023

2022

Change

Exploration and evaluation

512

422

90

1,687

1,421

266

Development

9,339

1,188

8,151

13,577

3,137

10,440

General and administration

1,314

1,186

128

4,738

4,771

(33 )
Accretion

124

114

10

371

339

32

11,289

2,910

8,379

20,373

9,668

10,705

Exploration and evaluation expense consists of labor and the associated costs of the exploration, evaluation, and regulatory departments, as well as land holding and exploration costs on properties that have not reached the development or operations stage. Exploration and evaluation ~~expense~~expenses increased approximately ~~$0.1 million and $0.3~~$0.5 million in the three ~~and nine~~ months ended ~~September 30, 2023, respectfully.~~March 31, 2024. Higher labor related to additional staffing costs and the annual bonus payments accounted for most of the ~~difference for both periods and reflects staffing increases within the departments.~~difference.

Development expense includes costs incurred at the Lost Creek Project not directly attributable to production activities, including wellfield construction, drilling, and development costs. It also includes costs associated with the Shirley Basin Project, which is in a more advanced stage and is considered a development project. Development ~~expense~~expenses increased approximately ~~$8.1 million and~~ $10.4 million in the three ~~and nine~~ months ended ~~September 30, 2023, respectfully.~~March 31, 2024. The increases were driven by drilling activities and ~~higher labor~~the related construction costs of materials that ~~primarily~~ relate to the MU2 ~~advanced~~ development program, ~~currently underway.~~and labor, which included the annual bonus payments. In addition to the MU2 program, ~~the~~ drilling activities also included costs of $3.5 million related to drilling a new disposal ~~well.~~well, which was completed during the quarter.

General and administration expenses relate to the administration, finance, investor relations, land, and legal functions, and consist principally of personnel, facility, and support costs. For the ~~nine~~three months ended ~~September 30, 2023, slightly higher labor costs were offset by lower stock compensation costs.~~
~~Total operating costs~~March 31, 2024, the expenses increased ~~$8.4~~$1.1 million ~~in 2023 Q3 and $10.7 million for~~due primarily to the ~~first nine months~~payment of ~~2023. The increases were primarily due to increased development costs at Lost Creek as~~ the ~~Company ramped up operations in 2023.~~annual, company-wide, bonuses during the quarter.

Other Income and Expenses

Higher interest rates and cash balances have generated significant interest income in ~~2023.~~2024. At the same time, interest expense ~~has~~ decreased ~~in 2023~~ as the Company continued to pay down the Wyoming bond loan principal ~~balance.~~balance, ultimately paying off the loan in March 2024.

For the ~~nine~~three months ended ~~September 30, 2023,~~March 31, 2024, the warrant liability mark to market revaluation resulted in a ~~$4.2~~$2.8 million loss, compared to ~~$1.6~~$1.9 million gain in ~~2022.~~2023. As a part of the February 2021 and February 2023 underwritten public offerings, we ~~sold~~issued warrants that were priced in U.S. dollars. The ~~increase~~warrant positions combined with volatility in the Company’s ~~2023~~ stock price ~~has~~ led to a significant increase in the warrant liability and a corresponding mark to market loss.

Changes in foreign exchange rates on higher U.S. dollar account balances in the Company’s Canadian entity resulted in a $0.3 million foreign exchange gain for the ~~nine~~three months ended ~~September 30,~~March 31, 2023. The higher U.S. dollar balances resulted from the February 2023 underwritten public offering.
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~~Table of Contents~~
~~During March 2022, we sold a royalty interest related to Strata Energy’s Lance Uranium ISR Project for $1.3 million.~~ There ~~were~~was no ~~assets related to~~comparable increase in the ~~royalty on our balance sheet, therefore the entire amount was recognized as other income.~~U.S. dollar balances in 2024.

Earnings (loss) per Common Share

The basic and diluted losses per common share for the three ~~and nine~~ months ended ~~September 30, 2023, were $0.07 and $0.10, respectively.~~March 31, 2024, was $0.07. For the three ~~and nine~~ months ended ~~September 30, 2022,~~March 31, 2023, the losses per share were ~~$0.03 and $0.06, respectively.~~nil. The diluted loss per common share is equal to the basic loss per common share due to the anti-dilutive effect of all convertible securities in periods of loss.

Liquidity and Capital Resources

As shown in the Interim Consolidated Statements of Cash Flow, our cash, cash equivalents, and restricted cash ~~increased~~decreased from the December 31, ~~2022~~2023 balance of ~~$41.1~~$68.2 million to ~~$63.1~~$62.5 million as of ~~September 30, 2023.~~March 31, 2024. Cash resources consist of Canadian and U.S. dollar denominated deposit and money market accounts, and U.S. treasury ~~funds.~~fund investments. During the ~~nine~~three months ended ~~September 30, 2023,~~March 31, 2024, we spent ~~$16.7~~$14.4 million on operating activities, used ~~$1.9~~$0.8 million for investing activities, and generated ~~$40.5~~$9.6 million from financing activities.

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Table of Contents
Operating activities used ~~$16.7~~$14.4 million in the ~~nine~~three months ended ~~September 30, 2023.~~March 31, 2024. We ~~received $6.4 million from uranium~~had no sales ~~(the $5.4 million 2023 Q3 sale was paid in 2023 Q4), $0.4 million from disposal fees, and $1.1~~during the quarter but generated $0.5 million from interest income, ~~(net~~net of loan interest expense of ~~$0.4 million).~~$0.1 million. We spent ~~$6.7~~$2.6 million on production-related cash costs, ~~$19.2~~$14.7 million on operating costs, and had ~~$1.3~~a $2.4 million favorable working capital ~~movements driven by~~movement primarily related to an increase in accounts payable and accrued liabilities.

Investing activities used ~~$1.9~~$0.8 million during the ~~nine~~three months ended ~~September 30, 2023.~~March 31, 2024. We spent ~~$0.8~~$0.5 million on a second drill rig, which will be leased to a drilling operator in the ~~construction of the Casper shop~~second quarter, and ~~lab building, $1.0~~$0.3 million onfor vehicles and equipment. The drill rig, vehicles, and equipment ~~and $0.1 million on work associated with other ongoing capital projects.~~will be used at Lost Creek.

Financing activities provided ~~$40.5~~$9.6 million in ~~2023.~~the three months ended March 31, 2024. We received net proceeds of ~~$43.1 million from the public offering, $0.5~~$4.1 million from the sale of common shares through our At Market Facility, and ~~$0.9~~$11.1 million from the exercise of warrant and stock options. We spent ~~$4.0~~$5.7 million on ~~principal payments for~~ the Wyoming bond ~~loan.~~loan, ultimately paying off the loan in March 2024.

Wyoming State Bond Loan

On October 23, 2013, we closed a $34.0 million Sweetwater County, State of Wyoming, Taxable Industrial Development Revenue Bond financing program loan (“State Bond Loan”). The State Bond Loan ~~calls~~called for payments of interest at a fixed rate of 5.75% per annum on a quarterly basis, which commenced January 1, 2014. The principal was to be payable in 28 quarterly installments, which commenced January 1, 2015. ~~The State Bond Loan is secured by all the assets of the Lost Creek Project. As of September 30, 2023, the balance of the State Bond Loan was $7.1 million.~~

On October 1, 2019, the Sweetwater County Commissioners and the State of Wyoming approved an eighteen-month deferral of principal payments beginning October 1, 2019. On October 6, 2020, the State Bond Loan was again modified to defer principal payments for an additional eighteen months. Quarterly principal payments resumed on October 1, 2022, and were to continue until October 1, 2024.
On March 27, 2024, we pre-paid the ~~last payment will be~~remaining $4.4 million due on ~~October 1, 2024. After~~ the ~~quarterly loan payment~~bond loan. The State Bond Loan was ~~made on October 1, 2023,~~secured by all the ~~remaining principal balance is $5.7 million.~~assets of the Lost Creek Project. All releases of collateral have been obtained following the final repayment of the facility.
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~~Table of Contents~~

Universal Shelf Registration and At Market Facility

On May 29, 2020, we entered into an At Market Issuance Sales Agreement (the “Sales Agreement”) with B. Riley Securities, Inc. (“B. Riley Securities”), relating to our common shares. On June 7, 2021, we amended and restated the Sales Agreement to include Cantor Fitzgerald & Co. (“Cantor,” and together with B. Riley Securities, the “Agents”) as a co-agent. Under the Sales Agreement, as amended, we may, from time to time, issue and sell Common Shares at market prices on the NYSE American or other U.S. market through the agents for aggregate sales proceeds of up to $50 million. The Sales Agreement was filed in conjunction with a universal shelf registration statement on Form S-3 which had become effective May 27, 2020, and has now expired.

On November 23, 2021, we filed a new universal shelf registration statement on Form S-3 with the SEC through which we may offer and sell, from time to time, in one or more offerings, at prices and terms to be determined, up to $100 million of our common shares, warrants to purchase our common shares, our senior and subordinated debt securities, and rights to purchase our common shares and/or senior and subordinated debt securities. The registration statement became effective December 17, 2021, for a three-year period.

On December 17, 2021, we entered into an amendment to the Sales Agreement (“Amendment No. 1” and together with the Sales Agreement, the “Amended Sales Agreement”) with the Agents to, among other things, reflect the new registration statement under which we may sell up to $50 million from time to time through or to the Agents under the Amended Sales Agreement, in addition to amounts previously sold under the Sales Agreement. In February 2023, in conjunction with our underwritten public offering, we filed a prospectus supplement by which we decreased the amount of common stock offered pursuant to the Amended Sales Agreement.

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Table of Contents
On June 28, 2023, we filed a new universal shelf registration statement on Form S-3 with the SEC through which we may offer and sell, from time to time, in one or more offerings, at prices and terms to be determined, up to $175 million of our common shares, warrants to purchase our common shares, our senior and subordinated debt securities, and rights to purchase our common shares and/or senior and subordinated debt securities. The registration statement became effective July 19, 2023, for a three-year period.

On July 19, 2023, we entered into a further amendment to the Amended Sales Agreement (“Amendment No. 2” and hereafter the “Amended Sales Agreement”) with the Agents to, among other things, reflect the new registration statement under which we may sell up to $50 million from time to time through or to the Agents under the Amended Sales Agreement, in addition to amounts previously sold under the Sales Agreement.

For the ~~nine~~three months ended ~~September 30, 2023,~~March 31, 2024, we utilized the Amended Sales Agreement for gross proceeds of ~~$0.5~~$4.2 million from sales of ~~391,000~~2,464,500 common shares.

2021 Underwritten Public Offering

On February 4, 2021, the Company closed a $15.2 million underwritten public offering of 16,930,530 common shares and accompanying warrants to purchase up to 8,465,265 common shares, at a combined public offering price of $0.90 per common share and accompanying warrant. The gross proceeds to Ur‑Energy from this offering were approximately $15.2 million. After fees and expenses of $1.3 million, net proceeds to the Company were approximately $13.9 million.

2023 Underwritten Public Offering

On February 21, 2023, the Company closed a $46.1 million underwritten public offering of 39,100,000 common shares and accompanying warrants to purchase up to 19,550,000 common shares, at a combined public offering price of $1.18 per common share and accompanying warrant. The gross proceeds to Ur‑Energy from this offering were approximately $46.1 million. After fees and expenses of $3.0 million, net proceeds to the Company were approximately $43.1 million.

Liquidity Outlook
As of May 2, 2024, our unrestricted cash position was $52.9 million.
We expect to realize revenues of $33.1 million from the sale of 570,000 pounds of uranium to be delivered in 2024. We had 79,235 pounds of conversion facility inventory on March 31, 2024. We delivered 75,000 pounds into sales contracts in April 2024. As of May 2, 2024, we had 39,633 pounds U₃O₈ in our conversion facility inventory.
Our unrestricted cash position and expected proceeds from uranium sales are anticipated to cover production and development costs as we ramp up production at Lost Creek, ongoing corporate overhead, and initial development and construction expenditures at Shirley Basin.
We expect the planned development and construction of the Shirley Basin Project in 2025 and 2026 will be funded by operating cash flow, cash on hand, or additional financing as required. We have no immediate plans to issue additional securities or obtain funding, however, we may issue additional debt or equity securities at any time.

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Table of Contents

~~Liquidity Outlook~~Looking Ahead

AsWe have 12 drill rigs onsite, with an additional rig scheduled to commence work in early May. Drilling has advanced into HH 2-11 with completion work nearly finished in HH 2-8. Fabrication of ~~October 26, 2023,~~HHs 2-8 and 2-9 is complete, and work on HHs 2-10 and 2-11 is advancing in our ~~unrestricted cash position was $55.0 million.~~Casper construction shop. HH 2-8 is expected to come online in May.

~~During~~While we have experienced some additional equipment and operational challenges, we are seeing more consistent drying and packaging, with 29,497 pounds U₃O₈ drummed since quarter end and dryer operations keeping pace with wellfield production.
We expect 2024 production from MU2 to be between 550,000 and 650,000 pounds. We have made two shipments of U₃O₈ to the converter in 2024 and anticipate routine shipments throughout the year.
We have commitments under contracts negotiated in 2022, ~~we were able to put~~when the long-term price was between $43 and $52 per pound, for deliveries of 570,000 pounds U₃O₈ in ~~place new, multi-year, sales contracts~~2024 and expect to realize revenues of ~~$17.3 million from~~$33.1 million. The contracts secured in 2022 enabled the ~~sale of 280,000 pounds of uranium~~Company to make the decision to ramp up operations at Lost Creek.
Uranium spot prices remained strong in ~~2023. We had 323,790 pounds of conversion facility inventory on December 31, 2022. We delivered 190,000 pounds into sales contracts in~~2024 Q1, with pricing averaging approximately $94 per pound U₃O₈ during the ~~first nine months of 2023. As of October 26, 2023, we had 133,790 pounds~~quarter and reaching highs above $106 per pound U₃O₈ in ~~our conversion facility inventory, of which 90,000 pounds will be delivered 2023 Q4. In 2024, the Company expects to deliver 570,000 pounds U~~₃O₈ ~~into our sales contracts.~~
Our unrestricted cash position and expected proceeds from uranium sales are expected to be used to cover production and development costs as we ramp up production at Lost Creek and for on-going corporate overhead including loan payments on the Wyoming bond loan.
~~Looking Ahead~~
Our ramp-up decision in December 2022 laid our foundation for 2023. Notwithstanding the historic winter endured in Wyoming this year, we advanced our wellfield construction and development plans and returned to commercial production operations at Lost Creek in May, with the production flow initiated from HH 2-4. Production rates increased noticeably in June. HH 2-5 was brought into initial production late in Q3. We continue to diligently work to optimize processes and refine production operations. We expect HHs 2‑6 and 2‑7 will also be brought online this year. Thereafter, we anticipate additional header houses will come online based upon our production targets for delivery into our sales commitments.
Construction of our centralized services facility is complete at our Company-owned operations headquarters in Casper. The new 6,000 square foot building houses our construction shop and fully licensed chemistry lab. We are now able to consolidate our header house construction and lab analyses in support of Lost Creek and other future operations.
The Casper facility will also support the development and future operation of the Shirley Basin Project. All major permits and authorizations for our Shirley Basin Project are in place. As we are growing our sales contract book, and with the continuing improvements in the market, we now are initiating procurement of long-lead time items for the Shirley Basin satellite facility, and advancing other activities at the site, with the objective of shortening construction and ramp-up when decisions are made to proceed with construction. We continue to watch market conditions, and our growing contract book, to make a construction decision with respect to Shirley Basin.
Global recognition of nuclear energy’s role in achieving net-zero carbon emissions continues to expand. The Biden Administration also continues to voice support for clean energy and the nuclear industry. G7 nations are prioritizing nuclear energy as clean baseload energy which provides nations with high-quality jobs, economic growth and, importantly, greater energy security. As well, multiple nations as well as global nuclear fuel purchasers are recognizing the stability and security of North American uranium for nuclear energy.
~~Uranium spot prices continued to strengthen during Q3, with pricing averaging approximately $63 per pound U~~₃O₈~~, and reaching highs during the period above $70 per pound U~~₃O₈~~. As discussed above, nuclear~~January. Nuclear utilities and other purchasers are back in the market, moving not only spot pricing, but term pricing as well, which ~~exceeded $60~~increased from $68 per pound in December 2023 to $78 per pound U₃O₈ ~~during Q3.~~at the end of March 2024.
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~~Table of Contents~~

As ~~the spot and term~~uranium prices ~~of uranium have enjoyed sustained increases,~~strengthened, we have ~~seen a dramatic increase in request~~received increasing requests for proposals (“RFPs”) ~~for uranium sales~~ from ~~U.S., European and Asian~~ utilities and other global fuel buyers. We have responded to the RFPs with ~~increasing~~ prices commensurate with ~~improvements~~rising market conditions including increased demand for domestically produced uranium. As discussed above, we completed two additional uranium sales agreements during 2024 Q1 and a third agreement subsequent to quarter end. Including the three additional agreements, our contract book now stands at a total of 5.7 million pounds U₃O₈ with deliveries occurring in 2024 through 2030. Sales prices are anticipated to be profitable on an all-in production cost basis and escalate annually from initial pricing, including some market-based pricing features.
With our expanded sales contract book, and encouraging market conditions, we were pleased to announce our decision in 2024 Q1 to proceed with the ~~market~~buildout of a satellite facility at our wholly owned, fully permitted and ~~recognizing~~licensed Shirley Basin Project in Carbon County, Wyoming. The decision will nearly double our annual permitted mine production to 2.2 million pounds U₃O₈. Work has already been initiated on the ~~premium paid~~project. We have already completed the bid and award process for ~~North American~~the fabrication of IX columns, one of the longest lead items of the project, and plan to install approximately 120 monitor wells for the first mine unit in 2024 Q2 and Q3. Major construction activities are expected to begin in 2025 and initial production ~~due~~is expected to ~~its geopolitical stability.~~commence in 2026.

We are in advanced discussions with three companies in the global nuclear industry for additional sales commitments. We are optimistic that negotiations with all three purchasers will result in completing additional sales agreements during Q4. Multiple additional RFPs are expectedpleased to be ~~issued in~~one of the ~~remaining weeks of 2023. We will consider~~few publicly traded companies that is commercially recovering uranium and ~~respond to those which may continue to diversify our sales portfolio with multiple purchasers and sales commitments that will complement~~expanding our production ~~profile over the next decade.~~
~~Stronger~~capacity to sell into a strengthening uranium market. As discussed, stronger prices ~~over the past year~~ have already enabled us to secure multi-year sales agreements with leading nuclear ~~companies. We now have three agreements that call for combined annual delivery of a base amount of 600,000~~companies, which in turn allowed us to ~~700,000 pounds of U~~₃O₈ over a five-year period, beginning in 2024. Sales prices are anticipated to be profitable on an all-in cost basis and escalate annually from initial pricing. In 2023 Q3, we delivered 90,000 pounds of U₃O₈ ~~into the sales commitments under these agreements, and we will deliver another 90,000 pounds U~~₃O₈ ~~in 2023 Q4.~~
~~Our cash position as of October 26, 2023, was $55.0 million. We look forward to delivering existing and future~~resume commercial production at Lost Creek ~~production inventory into our sales contracts. With the DOE sale in Q1, we anticipate selling a total of 280,000 pounds U~~₃O₈ ~~this year~~and initiate construction and development activities at ~~an average price of $61.89 per pound for proceeds of $17.3 million with average gross profit margins expected to be above 40%.~~Shirley Basin.

We will continue to closely monitor the uranium markets, and other developments, ~~in the nuclear energy market,~~ which may ~~positively~~ affect the uranium production industry and provide the opportunity to put in place additional off-take sales contracts at pricing sufficient to justify further expansion ~~of production.~~ through organic and inorganic growth.
As always, we will focus on maintaining safe and compliant operations.
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Table of Contents

Transactions with Related Parties

There were no reportable transactions with related parties during the quarter.

Proposed Transactions

As is typical of the mineral exploration, development, and mining industry, we will consider and review potential merger, acquisition, investment and venture transactions and opportunities that could enhance shareholder value. Timely disclosure of such transactions is made as soon as reportable events arise.

Critical Accounting Policies and Estimates

We have established the existence of uranium resources at the Lost Creek Property, but because of the unique nature of in situ recovery mines, we have not established, and have no plans to establish, the existence of proven and probable reserves at this project. Accordingly, we have adopted an accounting policy with respect to the nature of items that qualify for capitalization for in situ U₃O₈ mining operations to align our policy to the accounting treatment that has been established as best practice for these types of mining operations.

The development of the wellfield includes injection, production and monitor well drilling and completion, piping within the wellfield and to the processing facility and header houses used to monitor production and disposal wells associated with the operation of the mine. These costs are expensed when incurred.

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~~Table of Contents~~
Mineral Properties

Acquisition costs of mineral properties are capitalized. When production is attained at a property, these costs will be amortized over ~~a period of~~an estimated ~~benefit.~~benefit period.

Development costs including, but not limited to, production wells, header houses, piping and power will be expensed as incurred as we have no proven and probable reserves.

Inventory and Cost of Sales

Our inventories are valued at the lower of cost or net realizable value based on projected revenues from the sale of that product. We are allocating all costs of operations of the Lost Creek facility to the inventory valuation at various stages of production except for wellfield and disposal well costs which are treated as development expenses when incurred. Depreciation of facility enclosures, equipment, and asset retirement obligations as well as amortization of the acquisition cost of the related property is also included in the inventory valuation. We do not allocate any administrative or other overhead to the cost of the product.

Share-Based Expense and Warrant Liability

We are required to initially record all equity instruments including warrants, restricted share units and stock options at fair value in the financial statements.

Management utilizes the Black-Scholes model to calculate the fair value of the warrants and stock options at the time they are issued. In addition, the fair value of derivative warrant liability is recalculated monthly using the Black-Scholes model with any gain or loss being reflected in the net income for the period. Use of the Black-Scholes model requires management to make estimates regarding the expected volatility of the Company’s stock over the future life of the equity instrument, the estimate of the expected life of the equity instrument and the number of options that are expected to be forfeited. Determination of these estimates requires significant judgment and requires management to formulate estimates of future events based on a limited history of actual results.

~~Impairment~~The fair value of ~~long-lived assets~~
~~Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate~~ the ~~carrying amount of an asset may not be recoverable. Management applies significant judgment to assess mineral properties and capital assets for impairment indicators that could give rise to~~restricted share units is based on the ~~requirement to conduct a formal impairment test. Circumstances that could trigger a review include, but are not limited to: significant decreases in~~intrinsic method, which uses the ~~market~~closing price of the ~~asset; significant adverse changes in~~common shares on the business climate or legal factors; significant changes in expected capital, operating, or reclamation costs; current period cash flow or operating losses combined with a history of losses or a forecast of continuing losses associated withtrading day immediately preceding the ~~use~~date of the asset; and current expectation that the asset will more likely than not be sold or disposed of significantly before the end of its estimated useful life. Recoverability of these assets is measured by comparison of the carrying amounts to the future undiscounted net cash flows expected to be generated by the assets. An impairment loss is recognized when the carrying amount is not recoverable and exceeds fair value. Management did not identify impairment indicators that would require a formal impairment test.grant.

3936
Table of Contents
Impairment of long-lived assets
The Company assesses the possibility of impairment in the net carrying value of its long-lived assets when events or circumstances indicate that the carrying amounts of the asset or asset group may not be recoverable. When potential impairment is indicated, management calculates the estimated undiscounted future net cash flows relating to the asset or asset group using estimated future prices, recoverable resources, and operating, capital, and reclamation costs. When the carrying value of an asset exceeds the related undiscounted cash flows, the asset is written down to its estimated fair value, which is determined using discounted future net cash flows, or other measures of fair value.

Off Balance Sheet Arrangements

We have not entered into any material off balance sheet arrangements such as guaranteed contracts, contingent interests in assets transferred to unconsolidated entities, derivative instrument obligations, or with respect to any obligations under a variable interest entity arrangement.

Outstanding Share Data

As of ~~October 26, 2023,~~May 2, 2024, we had outstanding ~~265,989,118~~281,626,324 common shares and ~~8,369,018~~8,806,836 options to acquire common shares.

Item 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

~~The Company’s~~Market risk
Market risk is the risk to the Company of adverse financial impact due to changes in the fair value or future cash flows of financial instruments ~~consist~~because of ~~cash and cash equivalents, accounts receivable, restricted cash, accounts payable and accrued liabilities, warrant liability and notes payable. The Company is exposed to risks related to changes~~fluctuations in interest rates and ~~management of cash and cash equivalents and short-term investments.~~foreign currency exchange rates.

Credit risk

Financial instruments that potentially subject the Company to concentrations of credit risk consist of cash and cash equivalents ~~accounts receivable~~ and restricted cash. These assets include Canadian dollar and U.S. dollar denominated certificates of deposit, money market accounts, and demand deposits. These instruments are maintained at financial institutions in Canada and the U.S. Of the amount held on deposit, approximately $0.6 million is covered by the Canada Deposit Insurance Corporation, the Securities Investor Protection Corporation, or the U.S. Federal Deposit Insurance Corporation, leaving approximately ~~$68.1~~$62.3 million at risk on ~~September 30, 2023,~~March 31, 2024, should the financial institutions with which these amounts are invested be rendered insolvent. The Company does not consider any of its financial assets to be impaired as of ~~September 30, 2023.~~March 31, 2024.

~~Market~~Currency risk

~~Market~~As of March 31, 2024, we maintained a balance of approximately $2.6 million Canadian dollars. The funds will be used to pay Canadian dollar expenses and are considered to be a low currency risk to the Company. A hypothetical 10% weakening in the exchange rate of the Canadian dollar to the U.S. dollar as of March 31, 2024 would not have a material effect on our results of operations, financial position, or cash flows.
37
Table of Contents
Liquidity risk
Liquidity risk is the risk tothat the Company will not be able to meet its financial obligations as they come due. As of ~~adverse~~March 31, 2024, the Company’s financial ~~impact due to changes in~~liabilities consisted of accounts payable and accrued liabilities of $4.8 million, and the ~~fair value or future~~current portion of lease liability of $0.2 million. As of March 31, 2024, the Company had $53.9 million of cash ~~flows of financial instruments as a result of fluctuations in interest rates~~ and ~~foreign currency exchange rates.~~cash equivalents.

Interest rate risk

Financial instruments that expose the Company to interest rate risk are its cash equivalents, deposits, restricted cash, and debt ~~financing.~~financings. Our objectives for managing our cash and cash equivalents are to always maintain sufficient funds on hand ~~at all times~~ to meet day-to-day requirements and to place any amounts ~~which~~that are considered ~~in excess of~~more than day-to-day requirements on short-term deposit with the Company's financial institutions ~~so that they~~to earn interest.
~~Currency risk~~
As of September 30, 2023, we maintained a foreign currency balance of approximately CDN$2.4 million. The funds will be used to pay Canadian dollar expenses and are considered to be a low currency risk to the Company.

Commodity Price Risk

The Company is subject to market risk related to the market price of uranium. Future sales would be impacted by both spot and long-term uranium price fluctuations. Historically, uranium prices have been subject to fluctuation, and the price of uranium has been and will continue to be affected by numerous factors beyond our control, including the demand for nuclear power, political and economic conditions, governmental legislation in uranium producing and consuming countries, and production levels and costs of production of other producing companies. The average spot market price was ~~$73.75~~$92.25 per pound U₃O₈ as of ~~October 26, 2023.~~May 2, 2024.

40
~~Table of Contents~~
Item 4. CONTROLS AND PROCEDURES

(a) Evaluation of Disclosure Controls and Procedures

As of the end of the period covered by this MD&A, under the supervision of the Chief Executive Officer and the Chief Financial Officer, the Company evaluated the effectiveness of its disclosure controls and procedures, as such term is defined in Rule 13a-15(e) and Rule 15d-15(e) under the Securities Exchange Act of 1934 (the “Exchange Act”). Based on this evaluation, the Chief Executive Officer and the Chief Financial Officer have concluded that the Company’s disclosure controls and procedures are effective to ensure that information the Company is required to disclose in reports that are filed or submitted under the Exchange Act: (1) is recorded, processed and summarized effectively and reported within the time periods specified in SEC rules and forms, and (2) is accumulated and communicated to Company management, including the Chief Executive Officer and the Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure. The Company’s disclosure controls and procedures include components of internal control over financial reporting. No matter how well designed and operated, internal controls over financial reporting can provide only reasonable, but not absolute, assurance that the control system's objectives will be met.

(b) Changes in Internal Controls over Financial Reporting

No changes in our internal control over financial reporting occurred during the three months ended ~~September 30, 2023,~~March 31, 2024, that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

4138
Table of Contents

PART II

Item 1. LEGAL PROCEEDINGS

No new legal proceedings or material developments in pending proceedings.

Item 1A. RISK FACTORS

As of ~~September 30, 2023,~~March 31, 2024, there have been no material changes from those risk factors set forth in our Annual Report on Form 10-K.

Item 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

None.
Item 3. DEFAULTS UPON SENIOR SECURITIES

None.

Item 4. MINE SAFETY DISCLOSURE

Our operations and exploration activities at Lost Creek are not subject to regulation by the federal Mine Safety and Health Administration under the Federal Mine Safety and Health Act of 1977.

Item 5. OTHER INFORMATION

None.

4239
Table of Contents

Item 6. EXHIBITS

Incorporated by Reference
Exhibit
Number
Exhibit Description
Form
Date of Report
~~Date of~~
~~Report~~
Exhibit
Filed
Herewith

31.1

Certification of CEO Pursuant to Exchange Act Rules 13a-14 and 15d-14, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

xX

31.2

Certification of CFO Pursuant to Exchange Act Rules 13a-14 and 15d-14, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

xX

32.1

Certification of CEO Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

xX

32.2

Certification of CFO Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

xX

101.INS

Inline XBRL Instance Document

xX

101.SCH

Inline XBRL Schema Document

xX

101.CAL

Inline XBRL Calculation Linkbase Document

xX

101.DEF

Inline XBRL Definition Linkbase Document

xX

101.LAB

Inline XBRL Labels Linkbase Document

xX

101.PRE

Inline XBRL Presentation Linkbase Document

xX

104

Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101)

xX

4340
Table of Contents

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

UR-ENERGY INC.

Date: ~~October 30, 2023~~May 6, 2024
By:
/s/ John W. Cash

John W. Cash

Chief Executive Officer

(Principal Executive Officer)

Date: ~~October 30, 2023~~May 6, 2024
By:
/s/ Roger L. Smith

Roger L. Smith

Chief Financial Officer

(Principal Financial Officer and

Principal Accounting Officer)

4441

		Page

	PART I – FINANCIAL INFORMATION

Item 1.	Financial Statements	5
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	2321
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	4037
Item 4.	Controls and Procedures	4138

	PART II – OTHER INFORMATION

Item 1.	Legal Proceedings	4239
Item 1A.	Risk Factors	4239
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	4239
Item 3.	Defaults Upon Senior Securities	4239
Item 4.	Mine Safety Disclosure	4239
Item 5.	Other Information	4239
Item 6.	Exhibits	4340

SIGNATURES		4441

Cash and cash equivalents	September 30, 2023		December 31, 2022		March 31, 2024		December 31, 2023

Cash on deposit		5,360		2,560		11,046		11,515
Money market accounts		49,267		30,443		42,850		48,185
		54,627		33,003		53,896		59,700

Accounts Receivable	September 30, 2023		December 31, 2022

Trade receivables		5,605		-
Other receivables		3		8
		5,608		8

Inventory by Type	March 31, 2024		December 31, 2023

Plant inventory		1,593		1,343
Conversion facility inventory		3,105		1,228
		4,698		2,571

	March 31, 2024							December 31, 2023
Capital Assets	Cost		Accumulated Depreciation			Net Book Value		Cost		Accumulated Depreciation			Net Book Value

Rolling stock		5,765		(3,819	)		1,946		5,226		(3,701	)		1,525
Enclosures		35,227		(17,278	)		17,949		35,190		(16,850	)		18,340
Machinery and equipment		2,127		(1,113	)		1,014		2,016		(1,081	)		935
Furniture and fixtures		265		(168	)		97		265		(163	)		102
Information technology		1,205		(1,073	)		132		1,198		(1,067	)		131
Right of use assets		14		(4	)		10		14		(3	)		11
		44,603		(23,455	)		21,148		43,909		(22,865	)		21,044

Accounts Payable and Accrued Liabilities	March 31, 2024		December 31, 2023

Accounts payable		3,663		1,680
Accrued payroll liabilities		831		578
Accrued severance, ad valorem, and other taxes payable		348		108
		4,842		2,366

Accounts Payable and Accrued Liabilities	September 30, 2023		December 31, 2022

Accounts payable		2,372		660
Accrued payroll liabilities		780		449
Accrued severance, ad valorem, and other taxes payable		164		59
		3,316		1,168

Current and Long-term Debt	September 30, 2023			December 31, 2022

Current
State Bond Loan		5,646			5,409
Deferred financing costs		(43	)		(43	)
		5,603			5,366

Long-term
State Bond Loan		1,463			5,727
Deferred financing costs		-			(33	)
		1,463			5,694

Current Debt	March 31, 2024		December 31, 2023

State Bond Loan		-		5,727
Deferred financing costs		-		(33	)
		-		5,694

Warrant Liability Activity	Feb-2021 Warrants			Feb-2023 Warrants			Total

December 31, 2023		1,743			11,549			13,292

Warrants exercised		(4,770	)		(20	)		(4,790	)
Mark to market revaluation loss (gain)		3,072			(316	)		2,756
Effects for foreign exchange rate changes		(45	)		(300	)		(345	)

March 31, 2024		-			10,913			10,913

	Feb-2023
Black-Scholes Assumptions as of March 31, 2024	Warrants

Expected forfeiture rate		0.0	%
Expected life (years)		1.9
Expected volatility rate		55.7	%
Risk free rate		4.1	%
Expected dividend rate		0.0	%
Exercise price	$	1.50
Market price	$	1.60

Asset Retirement Obligations	Total

December 31, ~~2022~~2023		~~30,701~~31,236

Change in estimated reclamation costs		3810
Accretion expense		~~371~~121

~~September 30, 2023~~March 31, 2024		~~31,110~~31,367

Warrant Liability Duration	Feb-2021 Warrants		Feb-2023 Warrants		Total

Current portion of warrant liability		2,539		-		2,539
Long-term warrant liability		-		13,075		13,075
		2,539		13,075		15,614

	Feb-2021			Feb-2023
Black-Scholes Assumptions as of September 30, 2023	Warrants			Warrants

Expected forfeiture rate		0.0	%		0.0	%
Expected life (years)		0.3			2.4
Expected volatility rate		52.9	%		66.2	%
Risk free rate		4.8	%		4.7	%
Expected dividend rate		0.0	%		0.0	%
Exercise price	$	1.35		$	1.50
Market price	$	1.54		$	1.54

Stock Option Activity	Outstanding Options		Weighted-average Exercise Price
	#		$
December 31, 2022	8,574,904		0.66

Granted	1,371,432		1.15
Exercised	(1,541,724	)	0.64
Forfeited	(11,826	)	1.15
Expired	(8,852	)	0.69

September 30, 2023	8,383,934		0.74

	Options Outstanding			Options Exercisable
Exercise Price	Number of Options	Weighted-average Remaining Contractual Life	Aggregate Intrinsic Value	Number of Options	Weighted-average Remaining Contractual Life	Aggregate Intrinsic Value	Expiry
$	#	years	$	#	years	$
0.67	641,651	0.2	558,566	641,651	0.2	558,566	2023-12-14
0.58	2,270,584	1.1	2,177,029	2,270,584	1.1	2,177,029	2024-11-05
0.46	2,634,421	2.1	2,835,978	1,846,542	2.1	1,987,819	2025-11-13
1.06	1,302,672	2.9	626,054	925,045	2.9	444,569	2026-08-27
1.64	175,000	3.5	-	58,333	3.5	-	2027-03-14
1.14	1,359,606	4.3	543,387	-	-	-	2028-01-04
0.74	8,383,934	2.2	6,741,014	5,742,155	1.6	5,167,983

Stock Options Fair Value Assumptions	2023

Expected forfeiture rate		5.3	%
Expected life (years)		4.0
Expected volatility		74.7	%
Risk free rate		3.5	%
Expected dividend rate		-
Weighted average exercise price (CAD$)	$	1.55
Black-Scholes value (CAD$)	$	0.89

Restricted Share Unit Activity	Outstanding RSUs		Weighted-average Grant Date Fair Value
	#		$
December 31, 2022	305,530		1.14

Granted	342,852		1.15
Released	(305,530	)	1.14
Forfeited	(2,957	)	1.15

September 30, 2023	339,895		1.15

Number of RSUs	Number of RSUs	Weighted-average Remaining Contractual Life		Aggregate Intrinsic Value		Redemption Date		Weighted-average Remaining Contractual Life		Aggregate Intrinsic Value		Redemption Date
#	#	years		$				years		$
	339,895		1.3		523,438	2025-01-04	332,850		0.8		532,560		2025-01-04
	339,895		1.3		523,438		309,060		1.7		494,496		2025-12-07
							641,910		1.2		1,027,056

Restricted Share Unit Fair Value Assumptions	2023

Expected forfeiture rate		3.8	%
Grant date fair value (CAD$)	$	1.55

Exercise Price	Number of Warrants	Weighted-average Remaining Contractual Life	Aggregate Intrinsic Value	Expiry
$	#	years	$
1.35	16,730,530	0.3	1,589,400	2024-02-04
1.50	39,100,000	2.4	782,000	2026-02-21

1.46	55,830,530	1.8	2,371,400

	Nine Months Ended September 30,
Revenue Summary	2023				2022
		$	%			$	%
Customer A		6,447	52.7	%		-	0.0	%
Customer B		5,440	44.5	%		-	0.0	%
U₃O₈ sales		11,887	97.2	%		-	0.0	%

Disposal fees		351	2.8	%		19	100.0	%

		12,238	100.0	%		19	100.0	%

Year	Base Quantity (U₃O₈ Pounds)

2024		570,000
2025		700,000
2026		950,000
2027		1,150,000
2028		1,200,000
2029		600,000
2030		550,000
		5,720,000

	Unit	2023 Q1		2023 Q2			2023 Q3			YTD 2023			Unit		2023 Q2			2023 Q3			2023 Q4		2024 Q1

Sales per financial statements	$ 000		6,447		39			5,752			12,238			$ 000		39			5,752			5,441		-
Disposal fees	$ 000		-		(39	)		(312	)		(351	)		$ 000		(39	)		(312	)		-		-
U₃O₈ sales	$ 000		6,447		-			5,440			11,887			$ 000		-			5,440			5,441		-
U₃O₈ pounds sold	lb		100,000		-			90,000			190,000			lb		-			90,000			90,000		-
U₃O₈ price per pound sold	$/lb		64.47		-			60.44			62.56			$/lb		-			60.44			60.46		-

	Unit	2022 Q4		2023 Q1		2023 Q2		2023 Q3		2023 YTD		Unit		2023 Q2		2023 Q3		2023 Q4		2024 Q1

U₃O₈ Production

Pounds captured	lb		85		156		4,392		30,491		35,039		lb		4,392		30,491		68,448		38,221
Pounds drummed	lb		-		-		-		15,759		15,759		lb		-		15,759		6,519		39,229
Pounds shipped													lb		-		-		-		35,445

U₃O₈ Ending Inventory

Pounds
In-process inventory	lb		1,357		1,498		5,801		20,396				lb		5,801		20,396		82,033		80,465
Plant inventory	lb		-		-		-		15,759				lb		-		15,759		22,278		26,062
Conversion inventory - produced	lb		267,049		223,790		223,790		133,790				lb		223,790		133,790		43,790		79,235
Conversion inventory - purchased	lb		56,741		-		-		-
	lb		325,147		225,288		229,591		169,945				lb		229,591		169,945		148,101		185,762

Value
In-process inventory	$ 000		-		-		-		-				$ 000		-		-		-		-
Plant inventory	$ 000		-		-		-		949				$ 000		-		949		1,343		1,593
Conversion inventory - produced	$ 000		7,488		6,275		6,275		3,752				$ 000		6,275		3,752		1,228		3,105
Conversion inventory - purchased	$ 000		2,415		-		-		-
	$ 000		9,903		6,275		6,275		4,701				$ 000		6,275		4,701		2,571		4,698

Cost per Pound
In-process inventory	$/lb		-		-		-		-				$/lb		-		-		-		-
Plant inventory	$/lb		-		-		-		60.22				$/lb		-		60.22		60.28		61.12

Conversion inventory - produced	$/lb		28.04		28.04		28.04		28.04				$/lb		28.04		28.04		28.04		39.19
Conversion inventory - purchased	$/lb		42.56		-		-		-
Conversion inventory average	$/lb		30.58		28.04		28.04		28.04

Produced conversion inventory detail
Ad valorem and severance tax	$/lb		0.59		0.59		0.59		0.59				$/lb		0.59		0.59		0.59		0.53
Cash cost	$/lb		18.60		18.60		18.60		18.60				$/lb		18.60		18.60		18.60		28.47
Non-cash cost	$/lb		8.85		8.85		8.85		8.85				$/lb		8.85		8.85		8.85		10.19
	$/lb		28.04		28.04		28.04		28.04				$/lb		28.04		28.04		28.04		39.19

		Incorporated by Reference
Exhibit Number	Exhibit Description	Form	Date of Report	~~Date of~~ ~~Report~~	Exhibit		Filed Herewith

31.1	Certification of CEO Pursuant to Exchange Act Rules 13a-14 and 15d-14, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.					xX

31.2	Certification of CFO Pursuant to Exchange Act Rules 13a-14 and 15d-14, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.					xX

32.1	Certification of CEO Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.					xX

32.2	Certification of CFO Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.					xX

101.INS	Inline XBRL Instance Document					xX

101.SCH	Inline XBRL Schema Document					xX

101.CAL	Inline XBRL Calculation Linkbase Document					xX

101.DEF	Inline XBRL Definition Linkbase Document					xX

101.LAB	Inline XBRL Labels Linkbase Document					xX

101.PRE	Inline XBRL Presentation Linkbase Document					xX

104	Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101)					xX

	UR-ENERGY INC.

Date: ~~October 30, 2023~~May 6, 2024	By:	/s/ John W. Cash
		John W. Cash
		Chief Executive Officer
		(Principal Executive Officer)

Date: ~~October 30, 2023~~May 6, 2024	By:	/s/ Roger L. Smith
		Roger L. Smith
		Chief Financial Officer
		(Principal Financial Officer and
		Principal Accounting Officer)