Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Mar. 20, 2014 | Jun. 28, 2013 | |
Document and Entity Information | ' | ' | ' |
Entity Registrant Name | 'URANIUM RESOURCES INC /DE/ | ' | ' |
Entity Central Index Key | '0000839470 | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Amendment Flag | 'false | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Smaller Reporting Company | ' | ' |
Entity Public Float | ' | ' | $34,133,862.65 |
Entity Common Stock, Shares Outstanding | ' | 24,475,347 | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Current Assets: | ' | ' |
Cash and cash equivalents | $1,117,303 | $4,664,596 |
Prepaid and other current assets | 685,678 | 708,228 |
Total Current Assets | 1,802,981 | 5,372,824 |
Property, plant and equipment, at cost: | ' | ' |
Property, plant and equipment | 96,407,310 | 100,058,667 |
Less accumulated depreciation, depletion and impairment | -65,566,411 | -65,318,921 |
Net property, plant and equipment | 30,840,899 | 34,739,746 |
Certificates of deposit, restricted | 4,010,937 | 9,491,865 |
Total Assets | 36,654,817 | 49,604,435 |
Current Liabilities: | ' | ' |
Accounts payable | 1,243,169 | 1,331,888 |
Accrued liabilities | 1,775,491 | 1,525,726 |
Note payable | ' | 5,000,000 |
Current portion of asset retirement obligations | ' | 1,160,378 |
Current portion of capital leases | 10,543 | 112,140 |
Total Current Liabilities | 3,029,203 | 9,130,132 |
Asset retirement obligations | 3,833,608 | 3,337,679 |
Derivative liability - convertible debenture | 2,169,408 | ' |
Convertible debenture | 1,024,715 | ' |
Other long-term liabilities and deferred credits | 1,350,000 | 950,000 |
Long-term capital leases, less current portion | 4,495 | 17,582 |
Total Liabilities | 11,411,429 | 13,435,393 |
Commitments and contingencies (Notes 3, 5, 6 and 11) | ' | ' |
Shareholders' Equity: | ' | ' |
Common stock, 200,000,000 shares authorized, $.001 par value; 19,820,258 and 16,150,163 shares issued and outstanding, respectively | 19,824 | 16,154 |
Paid-in capital | 216,703,028 | 207,338,549 |
Accumulated deficit | -191,470,046 | -171,176,243 |
Less: Treasury stock (3,813 shares), at cost | -9,418 | -9,418 |
Total Shareholders' Equity | 25,243,388 | 36,169,042 |
Total Liabilities and Shareholders' Equity | $36,654,817 | $49,604,435 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
CONSOLIDATED BALANCE SHEETS | ' | ' |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, par value (in dollars per share) | $0.00 | $0.00 |
Common stock, shares issued | 19,820,258 | 16,150,163 |
Common stock, shares outstanding | 19,820,258 | 16,150,163 |
Treasury stock, shares at cost | 3,813 | 3,813 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Cost of uranium sales: | ' | ' |
Operating expenses | $2,692,780 | $2,564,827 |
Mineral property expenses | 2,522,050 | 4,229,338 |
Accretion/amortization of asset retirement obligations | 389,740 | 85,181 |
Depreciation and depletion | 299,437 | 396,246 |
Impairment of uranium properties | 4,094,612 | 1,737,359 |
Total cost of uranium sales | 9,998,619 | 9,012,951 |
Loss from operations before corporate expenses | -9,998,619 | -9,012,951 |
Corporate expenses: | ' | ' |
General and administrative | 9,707,217 | 10,399,084 |
Depreciation | 148,490 | 160,747 |
Total corporate expenses | 9,855,707 | 10,559,831 |
Loss from operations | -19,854,326 | -19,572,782 |
Other income and expense: | ' | ' |
Change in fair value of derivative liability | -107,614 | ' |
Interest expense | -408,062 | -50,880 |
Interest and other income, net | 76,199 | 262,809 |
Net loss | ($20,293,803) | ($19,360,853) |
Basic and diluted net loss per common share (in dollars per share) | ($1.06) | ($1.58) |
Basic and diluted average weighted shares outstanding (in shares) | 19,191,056 | 12,237,349 |
CONSOLIDATED_STATEMENTS_OF_SHA
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (USD $) | Total | Common Stock | Paid-In Capital | Accumulated Deficit | Treasury Stock |
Balances at Dec. 31, 2011 | $18,173,438 | $9,404 | $169,988,842 | ($151,815,390) | ($9,418) |
Balances (in shares) at Dec. 31, 2011 | ' | 9,400,501 | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' |
Net loss | -19,360,853 | ' | ' | -19,360,853 | ' |
Common stock issuance for loan origination fees | 160,000 | 43 | 159,957 | ' | ' |
Common stock issuance for loan origination fees (in shares) | ' | 42,884 | ' | ' | ' |
Restricted common stock issued for services | 39 | 39 | -39 | ' | ' |
Restricted common stock issued for services (in shares) | ' | 39,060 | ' | ' | ' |
Stock compensation expense | 427,292 | ' | 427,292 | ' | ' |
Common stock issuance | 20,264,692 | 2,968 | 20,261,724 | ' | ' |
Common stock issuance (in shares) | ' | 2,967,716 | ' | ' | ' |
Issuance of common stock to acquire Neutron Energy, Inc. | 16,504,473 | 3,700 | 16,500,773 | ' | ' |
Issuance of common stock to acquire Neutron Energy, Inc. (in shares) | ' | 3,700,002 | ' | ' | ' |
Balances at Dec. 31, 2012 | 36,169,042 | 16,154 | 207,338,549 | -171,176,243 | -9,418 |
Balances (in shares) at Dec. 31, 2012 | 16,150,163 | 16,150,163 | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' |
Net loss | -20,293,803 | ' | ' | -20,293,803 | ' |
Common stock issuance for loan principal and interest | 5,095,832 | 1,992 | 5,093,840 | ' | ' |
Common stock issuance for loan principal and interest (in shares) | ' | 1,992,127 | ' | ' | ' |
Restricted common stock issued for services | 47 | 47 | -47 | ' | ' |
Restricted common stock issued for services (in shares) | ' | 46,925 | ' | ' | ' |
Stock compensation expense | 381,385 | ' | 381,385 | ' | ' |
Common stock issuance | 3,599,432 | 1,548 | 3,597,884 | ' | ' |
Common stock issuance (in shares) | ' | 1,547,843 | ' | ' | ' |
Common stock issued for services | 291,500 | 83 | 291,417 | ' | ' |
Common stock issued for services (in shares) | ' | 83,200 | ' | ' | ' |
Balances at Dec. 31, 2013 | $25,243,388 | $19,824 | $216,703,028 | ($191,470,046) | ($9,418) |
Balances (in shares) at Dec. 31, 2013 | 19,820,258 | 19,820,258 | ' | ' | ' |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Operating activities: | ' | ' |
Net loss | ($20,293,803) | ($19,360,853) |
Reconciliation of net loss to cash used in operations: | ' | ' |
Accretion/amortization of asset retirement obligations | 389,740 | 85,181 |
Amortization of debt discount and interest accrual | 86,509 | ' |
Change in fair value of derivative liability | 107,614 | ' |
Decrease in restoration and reclamation accrual | -1,638,214 | -1,767,289 |
Depreciation and depletion | 447,927 | 556,993 |
Impairment of uranium properties | 4,094,612 | 1,737,359 |
Stock compensation expense | 381,385 | 427,292 |
Other non-cash items, net | 113,919 | 73,932 |
Effect of changes in operating working capital items: | ' | ' |
(Increase) decrease in receivables | 229,223 | -148,465 |
Increase in prepaid and other current assets | -206,673 | -88,578 |
Increase (decrease) in payables, accrued liabilities and deferred credits | 948,379 | -116,223 |
Net cash used in operating activities | -15,339,382 | -18,600,651 |
Cash flows from investing activities: | ' | ' |
Decrease in certificates of deposit, restricted | 5,480,928 | 161,834 |
Additions to uranium properties | -173,588 | -1,278,745 |
Acquisition of Neutron Energy, Inc. | ' | -3,677,133 |
Net cash provided by (used in) investing activities | 5,307,340 | -4,794,044 |
Cash flows from financing activities: | ' | ' |
Proceeds from notes payable | ' | 5,000,000 |
Proceeds from convertible debt | 3,000,000 | ' |
Payments on borrowings | -114,683 | -95,664 |
Issuance of common stock, net | 3,599,432 | 20,264,692 |
Net cash provided by financing activities | 6,484,749 | 25,169,028 |
Net increase (decrease) in cash and cash equivalents | -3,547,293 | 1,774,333 |
Cash and cash equivalents, beginning of year | 4,664,596 | 2,890,263 |
Cash and cash equivalents, end of year | 1,117,303 | 4,664,596 |
Cash paid during the year for: | ' | ' |
Interest | 11,230 | 14,100 |
Non-cash transactions: | ' | ' |
Common stock issued to acquire Neutron Energy, Inc. | ' | 16,504,473 |
Common stock issued for repayment of loan | 5,000,000 | ' |
Common stock issued for repayment of interest | 95,833 | ' |
Common stock issued for services | 291,500 | ' |
Common stock issued for loan origination fees | ' | 160,000 |
Capital lease additions | ' | 106,200 |
Restricted stock issued for services | $47 | $39 |
DESCRIPTION_OF_THE_COMPANY
DESCRIPTION OF THE COMPANY | 12 Months Ended |
Dec. 31, 2013 | |
DESCRIPTION OF THE COMPANY | ' |
DESCRIPTION OF THE COMPANY | ' |
1. DESCRIPTION OF THE COMPANY | |
Uranium Resources, Inc. ("URI") is a uranium exploration, development and production company. We were organized in 1977 to acquire and develop uranium mines in South Texas using the in-situ recovery ("ISR") process. URI has historically produced uranium by ISR methods in the State of Texas where the Company currently has ISR projects, including two licensed processing facilities. We also have mineral holdings in New Mexico and a NRC license to produce up to 3 million pounds per annum of uranium on certain of our New Mexico projects. The Company acquired these properties over the past 20 years along with an extensive information database of historic drill hole logs and analysis. None of URI's properties are currently in production. | |
BASIS_OF_PRESENTATION_AND_SUMM
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||||||
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||||||
2. BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||||||||||||||
Principles of Consolidation | ||||||||||||||
The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S.") and include the accounts of URI and its wholly-owned subsidiaries (collectively the "Company"). All significant intercompany transactions have been eliminated in consolidation. | ||||||||||||||
Reverse Stock Split | ||||||||||||||
Immediately following the close of trading on January 22, 2013, the Company completed a 1 for 10 reverse stock split for its common stock. With the reverse stock split, every ten shares of the Company's issued and outstanding common stock were combined into one issued and outstanding share of common stock. The reverse stock split had no effect on the par value of the shares or the authorized number of shares of the Company. The reverse split reduced the number of URI's outstanding common stock from approximately 161.1 million shares to approximately 16.1 million shares. All share data herein has been retroactively adjusted for the reverse stock split. | ||||||||||||||
Consolidated Statements of Cash Flows | ||||||||||||||
The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. The Company maintains cash deposits in excess of federally insured limits. The Company monitors the soundness of the financial institution and believes the Company's risk is negligible. | ||||||||||||||
Uranium Properties | ||||||||||||||
Expenditures related to acquisition of mineral rights are capitalized as incurred. Exploration costs related to locating areas of potential mineralization are expensed as incurred. Commercial feasibility is established in compliance with the U.S. Securities and Exchange Commission Industry Guide 7, and consists of identifying that part of a mineral deposit that can be economically and legally extracted or produced at the time of the reserve determination. After declaring proven or probable reserves for an area of interest in accordance with Industry Guide 7, expenditures specific to the area of interest for further development are capitalized. All properties with significant acquisition or incurred costs are evaluated for their realizability on a property-by-property basis. Any impairment of such costs is recognized through a reduction in the net carrying value of the asset. (See Note 4—"PROPERTY, PLANT AND EQUIPMENT"). | ||||||||||||||
Depreciation and Depletion. During the periods that our facilities are not in production, depletion on our mineral interests, permits, licenses and development properties are suspended. Depreciation and depletion of our plant facilities, machinery and equipment continues in accordance with the level of stand-by activity being conducted at each site. | ||||||||||||||
Other ancillary plant equipment and vehicles are depreciated using a straight line method based upon the estimated useful lives of the assets. | ||||||||||||||
Other Property, Plant and Equipment | ||||||||||||||
Other property, plant and equipment consists of corporate office equipment, furniture and fixtures and transportation equipment. Depreciation on other property is computed based upon the estimated useful lives of the assets. Repairs and maintenance costs are expensed as incurred. Gain or loss on disposal of such assets is recorded as other income or expense as such assets are disposed. | ||||||||||||||
Restricted Cash | ||||||||||||||
At December 31, 2013 and 2012, the Company had pledged certificates of deposit and money market accounts of $4,011,000 and $9,492,000, respectively, in order to collateralize performance bonds required for future restoration and reclamation obligations related to the Company's South Texas production and development properties. These funds are not readily available to the Company and are not included in cash equivalents. | ||||||||||||||
Asset Retirement Obligations | ||||||||||||||
Various federal and state mining laws and regulations require the Company to reclaim the surface areas and restore underground water quality for its ISR projects to the pre-existing or background average quality after the completion of mining. The Company records the estimated present value of reclamation liabilities and increases the carrying amount of the related asset. Reclamation costs are allocated to expense over the life of the related assets and are periodically adjusted to reflect changes in the estimated present value resulting from the passage of time and revisions to the estimates of either the timing or amount of the reclamation and remediation costs. | ||||||||||||||
Future reclamation and remediation costs are accrued based on management's best estimate at the end of each period of the costs expected to be incurred at each project. Such estimates are determined by the Company's engineering studies calculating the cost of future surface and groundwater activities. | ||||||||||||||
The following table shows the change in the balance of the asset retirement obligation during the years ended December 31, 2013 and 2012: | ||||||||||||||
December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
Reserve for future restoration and reclamation costs at January 1 | $ | 4,498,057 | $ | 4,735,759 | ||||||||||
Changes in cash flow estimates | 584,025 | 1,444,406 | ||||||||||||
Costs incurred | (1,638,214 | ) | (1,767,289 | ) | ||||||||||
Accretion expense | 389,740 | 85,181 | ||||||||||||
| | | | | | | | |||||||
Reserve for future restoration and reclamation costs at December 31, | $ | 3,833,608 | $ | 4,498,057 | ||||||||||
| | | | | | | | |||||||
| | | | | | | | |||||||
Contingent Liabilities—Off Balance Sheet Arrangements | ||||||||||||||
In February 2013, the Company secured $9 million in new surety bonds from Lexon Insurance Company ("Lexon") for the benefit of the Texas Commission on Environmental Quality for remediation and reclamation activities at the Company's South Texas projects. The collateral requirements for these new bonds require the Company to post 40% of the face amount of the bonds ($3.6 million) in cash collateral as a condition of their terms. These bonds replaced the existing $9.0 million of fully cash collateralized financial surety instruments that previously provided the financial surety requirements for the projects. In the event that Lexon is required to perform under its bonds or the bonds are called by the state agencies, the Company would be obligated to pay costs incurred by Lexon that exceeded the collateral amounts. | ||||||||||||||
Fair Value of Financial Instruments | ||||||||||||||
The carrying amounts reported in the balance sheets for cash and cash equivalents, receivables, accounts payable and accrued liabilities approximate fair values because of the immediate or short-term maturity of these financial instruments. The carrying amount of the convertible debt instrument is being recorded at amortized cost using the effective interest rate method. As of December 31, 2013, the estimated fair value of the derivative liability was $2,169,408. The value of the embedded derivative is being recorded at its fair value using the Black-Scholes option pricing model. | ||||||||||||||
The following table presents information about the Company's liabilities that are measured at fair value on a recurring basis as of December 31, 2013, and indicates the fair value hierarchy of the valuation techniques utilized to determine such fair value. No items were recorded at fair value on a recurring basis as of December 31, 2012. In general, fair values determined by Level 1 inputs utilize quoted prices (unadjusted) in active markets of identical assets or liabilities. Fair values determined by Level 2 inputs utilize data points that are observable such as quoted prices, interest rates and yield curves. Fair values determined by Level 3 inputs are unobservable data points for the asset or liability, and include situations where there is little, if any, market activity for the assets or liability. | ||||||||||||||
Liabilities | Quoted | Significant | Significant | |||||||||||
at Fair Value, | Prices in | Other | Unobservable | |||||||||||
December 31 | Active | Observable | Inputs | |||||||||||
Markets | Inputs | (Level 3) | ||||||||||||
(Level 1) | (Level 2) | |||||||||||||
December 31, 2013: | ||||||||||||||
Derivative liability—convertible debenture | $ | 2,169,408 | $ | — | $ | 2,169,408 | $ | — | ||||||
| | | | | | | | | | | | | | |
Total | $ | 2,169,408 | $ | — | $ | 2,169,408 | $ | — | ||||||
| | | | | | | | | | | | | | |
Derivative Financial Instruments | ||||||||||||||
The Company reviews the terms of its equity instruments and other financing arrangements to determine whether or not there are embedded derivative instruments that are required to be accounted for separately as a derivative financial instrument. Also, in connection with the issuance of financing instruments, the Company may issue freestanding options or warrants that may, depending on their terms, be accounted for as derivative instrument liabilities, rather than as equity. The Company may also issue options or warrants to non-employees in connection with consulting or other services. | ||||||||||||||
Derivative financial instruments are measured at their fair value. For derivative financial instruments that are accounted for as liabilities, the derivative instrument is initially recorded at its fair value and is then re-valued at each reporting date, with changes in the fair value reported as charges or credits to income. The Company uses the Black-Scholes option pricing model to estimate the fair value of the derivative instruments. | ||||||||||||||
The classification of derivative instruments, including whether or not such instruments should be recorded as liabilities or as equity, is reassessed at the end of each reporting period. If reclassification is required, the fair value of the derivative instrument, as of the determination date, is reclassified. Any previous charges or credits to income for changes in the fair value of the derivative instrument are not reversed. Derivative instrument liabilities are classified in the balance sheet as current or non-current based on whether net-cash settlement of the derivative instrument could be required within 12 months of the balance sheet date. | ||||||||||||||
Earnings Per Share | ||||||||||||||
All per share data herein has been retroactively adjusted for the 1 for 10 reverse stock split that occurred following the close of trading on January 22, 2013. | ||||||||||||||
Net earnings (loss) per common share—basic has been calculated based on the weighted average shares outstanding during the year and net earnings (loss) per common share—diluted has been calculated assuming the exercise or conversion of all dilutive securities. Due to net losses incurred for 2013 and 2012 there were no dilutive securities included in these years as their inclusion would be anti-dilutive. | ||||||||||||||
The potential dilutive common stock that was excluded from the calculation of diluted earnings per share was 1,380,826 in 2013 and 403,274 in 2012. | ||||||||||||||
Use of Estimates | ||||||||||||||
The preparation of financial statements in conformity with generally accepted accounting principles in the U.S. requires management to make certain estimates and assumptions. Such estimates and assumptions may affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The more significant areas requiring the use of management estimates include mineral reserve estimation; useful asset lives for depreciation, depletion and amortization; environmental obligations; future restoration and reclamation costs; share based compensation expense; derivative liability and asset impairment, including estimates used to derive future cash flows associated with those assets. | ||||||||||||||
Specifically regarding uranium properties, significant estimates were utilized in determining the carrying value of these assets. These assets have been recorded at their estimated net realizable value for impairment purposes, which is less than cost. The actual value realized from these assets may vary significantly from these estimates based upon market conditions, financing availability and other factors. Future market conditions in particular can be difficult to predict and measure because of the impact of events that affect public acceptance of nuclear energy, the limited size of the market for the use of uranium, changes in the prices of alternative energy sources, development of new low-cost alternative energy sources and other factors. | ||||||||||||||
Regarding the reserve for future restoration and reclamation costs, significant estimates were utilized in determining the future costs to complete the groundwater restoration and surface reclamation at our ISR sites. Estimating future costs can be difficult and unpredictable because they are based principally on current legal and regulatory requirements and site closure plans that may change materially. The laws and regulations governing closure and remediation in a particular jurisdiction are subject to review at any time and may be amended to impose additional requirements and conditions which may cause our provisions for environmental liabilities to be underestimated and could materially affect the Company's financial position or results of operations. Estimates of future restoration and reclamation costs are also subject to operational risks such as acceptance of treatment techniques or other operational changes. | ||||||||||||||
Also, the calculation of reserves, other mineralized material and grading are estimates and depend upon geological interpretation and statistical inferences or assumptions drawn from drilling and sampling analysis, which may prove to be unpredictable. There is a degree of uncertainty attributable to the calculation of reserves, mineralized material and corresponding grades. Until reserves and other mineralized materials are actually mined and processed, the quantity of ore and grades must be considered as an estimate only. In addition, the quantity of reserves and other mineralized materials and ore may vary depending on the price of uranium. Any material change in the quantity of reserves, other mineralized materials, mineralization or grade may affect the economic viability of our properties. | ||||||||||||||
Risks and Uncertainties | ||||||||||||||
Historically, the market for uranium has experienced significant price fluctuations. Prices are significantly impacted by global supply and demand, which is affected by 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. Increases or decreases in prices received could have a significant impact on the Company's future results of operations. | ||||||||||||||
Reclassifications | ||||||||||||||
Certain reclassifications have been made to the prior years' financial statements to conform to the current year presentation. These reclassifications had no effect on previously reported results of operations or retained earnings. | ||||||||||||||
Recently Issued Accounting Pronouncements | ||||||||||||||
In January 2013, the Financial Accounting Standards Board ("FASB") issued ASU No. 2013-01, "Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities." ASU 2013-01 states the intended scope of disclosures required by ASU No. 2011-11 "Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities" apply to derivatives and hedging transactions. This pronouncement is effective for fiscal years, and interim periods within those years, beginning after January 1, 2013. The adoption of this guidance is not anticipated to have an effect on the Company's consolidated financial position, results of operations, or cash flows. | ||||||||||||||
LIQUIDITY
LIQUIDITY | 12 Months Ended |
Dec. 31, 2013 | |
LIQUIDITY | ' |
LIQUIDITY | ' |
3. LIQUIDITY | |
As of December 31, 2013, the Company had approximately $1.1 million in cash and our cash balance at March 1, 2014 was approximately $11.2 million. The Company is not currently conducting uranium production activities and has no uranium inventory. The Company is not projecting significant sales revenue and related cash inflows for 2014. | |
On November 13, 2013, the Company and its largest stockholder, RCF entered into a Loan Agreement (the "Loan Agreement") whereby RCF agreed, subject to the terms and conditions set forth in the Loan Agreement, to provide a secured convertible loan facility of up to $15.0 million to the Company. The facility consists of three tranches of $5.0 million each. RCF advanced $3.0 million of the first $5.0 million tranche shortly following the closing of the Loan Agreement, and on January 29, 2014, the Company's stockholders, excluding RCF, approved the Loan Agreement and the issuance of shares thereunder. Following such approval, RCF advanced the remaining $2.0 million of the first tranche. Two additional tranches of $5.0 million each are available under the Loan Agreement, subject to a determination by the Company's Board of Directors to draw such amounts and the terms and conditions of the RCF Loan Agreement. | |
On October 28, 2011, the Company entered into an At-The-Market Sales Agreement with BTIG, LLC, allowing it to sell from time to time, shares of its common stock having an aggregate offering price of up to $15.0 million, through an "at-the-market" equity offering program ("ATM Sales Agreement"). From January 17, 2014 to January 31, 2014, the Company sold 523,350 shares of common stock for net proceeds of $1.9 million under its ATM Sales Agreement. The Company has a total of $7.1 million available for future sales under the ATM Sales Agreement. | |
On February 12, 2014, the Company completed its $10.3 million registered direct offering with the issuance of 3,960,000 shares of common stock at a price of $2.60 per share for net proceeds of $9,472,320. The Company and RCF are currently discussing the level of participation accorded RCF per its anti-dilution rights under the Loan Agreement. | |
The Company expects that its existing cash, ATM Sales Agreement and other public offerings will provide it the necessary liquidity for 2014. Additional funding under the ATM Sales Agreement or other public offerings is subject to market conditions. In the event funds are not available, we may be required to change our planned business strategies. | |
PROPERTY_PLANT_AND_EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
PROPERTY, PLANT AND EQUIPMENT | ' | |||||||
PROPERTY, PLANT AND EQUIPMENT | ' | |||||||
4. PROPERTY, PLANT AND EQUIPMENT | ||||||||
Property, Plant and | ||||||||
Equipment Balances, net | ||||||||
At December 31, | ||||||||
2013 | 2012 | |||||||
(Restated) | ||||||||
Uranium plant | $ | 9,344,000 | $ | 9,532,000 | ||||
Permits and licenses | — | 174,000 | ||||||
Mineral rights and properties | 19,750,000 | 20,872,000 | ||||||
Evaluation and delineation | — | 2,022,000 | ||||||
Vehicles/depreciable equipment | 1,530,000 | 1,435,000 | ||||||
Other property, plant and equipment | 217,000 | 705,000 | ||||||
| | | | | | | | |
Total | $ | 30,841,000 | $ | 34,740,000 | ||||
| | | | | | | | |
Uranium Properties | ||||||||
Impairment of Uranium Properties | ||||||||
The Company reviews and evaluates its long-lived assets for impairment when events or changes in circumstances indicate that the related carrying amounts may not be recoverable. Impairment is considered to exist if the total estimated future cash flows on an undiscounted basis are less than the carrying amount of the assets. An impairment loss is measured and recorded based on discounted estimated future cash flows. Future cash flows are estimated based on quantities of recoverable minerals, expected uranium prices, production levels and operating costs of production and capital, based upon the projected remaining future uranium production from each project. The Company's estimates of future cash flows are based on numerous assumptions and it is possible that actual future cash flows will be significantly different than the estimates, as actual future quantities of recoverable minerals, uranium prices, production levels and operating costs of production and capital are each subject to significant risks and uncertainties. | ||||||||
Long-term uranium market prices declined 12% during 2013. Due to the significance of the downward change, the Company evaluated long-lived assets for impairment at December 31, 2013. For the South Texas mineral properties asset group, the Company prepared an undiscounted cash flow analysis based on a contract price of $50.00/lb. U3O8 and current operating cost estimates for production of South Texas reserves. As a result of this impairment evaluation, the Company determined that the carrying value of its South Texas mineral properties exceeded the estimated undiscounted cash flows resulting in the impairment of the entire $2,807,166 carrying value of the South Texas mineral properties. | ||||||||
For the Company's South Texas plant and equipment asset group, the Company evaluated the Rosita plant and all of the Company's satellite equipment as a component of the undiscounted cash flows from the Churchrock Project, the production from which is not subject to an existing sales contract. For the undiscounted cash flow analysis, the Company used a three-year average historical long-term market price of $60.56 and determined that the undiscounted cash flows exceeded the $8.4 million carrying values of these assets, and accordingly, no impairment charge was recorded. For the Kingsville plant, the Company used a third-party estimate of resale value and determined that the $800,000 net carrying value ($2.8 million book value less a $2.0 million dismantling/decontamination liability), exceeded the net realizable sales value by $80,000. Accordingly, the Company recorded an $80,000 impairment charge for the Kingsville plant. | ||||||||
For the impairment analysis of the Company's New Mexico mineral properties, the carrying value of which is $19.7 million, a comparable sales transaction was used to provide an indication of fair value. The comparable transaction value was $0.50 per resource lb., which is higher than the $0.42 per resource lb. carrying value of the Company's New Mexico mineral properties, and accordingly, no impairment expense was recorded. However, impairment expense does include $524,000 related to New Mexico mineral properties that the Company has decided to abandon after completing a geological evaluation in 2013. | ||||||||
The Company reviews the estimated cost of restoration and remediation activities on particular shut-in mineral properties at each quarter end. For any change in estimated cost, the Company initially records the change on its balance sheet by increasing or decreasing the mineral property asset and increasing or decreasing the asset retirement obligation. However, because there is no further production expected from these particular shut-in South Texas properties, the increase or decrease in costs recorded to the mineral property asset are then expensed (or credited) as impairment expense on the Statement of Operations. During 2013 and 2012, the Company recognized impairment expense of $584,025 and $1,444,405, respectively, related to change in estimates of the asset retirement obligation. | ||||||||
The following table summarizes the impairment expense by project: | ||||||||
Year Ended | ||||||||
2013 | 2012 | |||||||
(Restated) | ||||||||
Kingsville Dome Project | $ | 473,525 | $ | 919,414 | ||||
Rosita Project | 2,820,836 | 138,856 | ||||||
Vasquez Project | 276,161 | 679,089 | ||||||
Ambrosia Lake Project | 511,878 | — | ||||||
Other | 12,212 | — | ||||||
| | | | | | | | |
Total Impairment | $ | 4,094,612 | $ | 1,737,359 | ||||
| | | | | | | | |
Kingsville Dome Project | ||||||||
The Kingsville Dome project consists of mineral leases from private landowners on about 2,434 gross and 2,227 net acres located in central Kleberg County, Texas. The leases provide for royalties based upon a percentage of uranium sales of 6.25% to 9.375%. The leases have expiration dates ranging from 2000 to 2007 however, we hold most of these leases by production; and with a few minor exceptions all the leases contain clauses that permit us to extend the leases not held by production by payment of an annual per acre royalty ranging from $10 to $30. We have paid such royalties on all material acreage. | ||||||||
Rosita Project and Rosita South Property | ||||||||
The Rosita project consists of mineral leases from private landowners on about 3,377 gross and net acres located in north-central Duval County, Texas. The Rosita South property consists of mineral leases from private land owners on about 1,795 gross acres and 1,479 net acres located in Duval County near the Company's Rosita project. The leases provide for sliding scale royalties based on a percentage of uranium sales. Royalty percentages on average increase from 6.25% up to 18.25% when uranium prices reach $80.00 per pound. The leases have expiration dates extending out to 2015. We are holding these leases by payment of rentals ranging from $10 to $30 per acre. | ||||||||
Vasquez Project | ||||||||
The Vasquez project is comprised of a mineral lease on 872 gross and net acres located in southwestern Duval County, in South Texas. The primary term expired in February 2008; however we hold the lease by production and reclamation activities. The lease provides for royalties based upon 6.25% of uranium sales below $25.00 per pound and royalty rate increases on a sliding scale up to 10.25% for uranium sales occurring at or above $40.00 per pound. | ||||||||
Los Finados/Tecolote Project | ||||||||
The Los Finados Project consisted of an exploration lease from private land owners on about 53,524 gross acres located in Kenedy County near the Company's Kingsville Dome property. The lease option agreement was later extended by two years and expanded to cover approximately an additional 22,700 net acres north of the Los Finados project, which we referred to as the Tecolote project. The agreement included an option to lease the acreage for future uranium production. | ||||||||
In May 2011, the Company entered into an exploration agreement with Cameco Texas, Inc. ("CTI"), a subsidiary of Cameco Corporation (NYSE: CCJ) on the Los Finados project (the "Exploration Agreement") which was later expanded to cover the Tecolote project. On November 29, 2013, CTI notified the Company of CTI's intent to terminate the Exploration Agreement. On February 27, 2014, after exploring its options with respect to the project, the Company provided notice terminating the lease option agreement with the Texas landowner. | ||||||||
Churchrock Project | ||||||||
The Churchrock project encompasses about 3,458 gross and net acres. The properties that comprise the Churchrock project are located in McKinley County, New Mexico and consist of three parcels, known as Section 8, Section 17 and Mancos. None of these parcels lies within the area generally recognized as constituting the Navajo Reservation. We own the mineral estate in fee for both Section 17 and the Mancos properties. We own patented and unpatented lode mining claims on Section 8. | ||||||||
The surface estate on Section 17, Mancos Section 13 and Mancos Section 7 is owned by the U.S. Government and held in trust for the Navajo Nation (the "Nation"). On those sections we have royalty obligations ranging from 5% to 61/4% and a 2% overriding royalty obligation to the Nation for surface use agreements. The total royalties on Section 8 depend on the sales' price of uranium. Aggregate royalties are potentially as much as 33% at the current price of uranium. | ||||||||
Permitting activities are currently ongoing on these properties. See further discussion of permitting activities in Note 11—"COMMITMENTS AND CONTINGENCIES". | ||||||||
Crownpoint Project | ||||||||
The Crownpoint project is located in the San Juan Basin, 22 miles northeast of the Company's Churchrock deposits and 35 miles northeast of Gallup, New Mexico, adjacent to the town of Crownpoint. The Crownpoint project consists of 640 gross and 556 net acres. The Company holds the mineral rights in the northwest 1/4 of Section 9, Township 17 North Range 13 West with 9 unpatented lode mining claims, and the mineral rights in the southwest 1/4 of Section 24, Township 17 North Range 13 West with 10 unpatented lode mining claims. In the southeast 1/4 of Section 24, Township 17 North, Range 13 West, the Company owns in fee a 40% interest in the minerals on approximately 140 acres and hold 100% of the minerals on 20 additional acres with two unpatented lode mining claims. In the northeast 1/4 of Section 25, Township 17 North, Range 13 West, the Company holds the minerals with eight unpatented lode mining claims. The unpatented lode mining claims are held through the payment of an annual maintenance fee of $140.00 per claim to the BLM. While the rights to the minerals on the unpatented lode mining claims are subject to annual renewal through the payment of the annual maintenance fees, the rights to the minerals on the fee-owned lands are not subject to any renewal process as long as the Company maintains its ownership of the subject property. | ||||||||
Nose Rock Project | ||||||||
The Nose Rock project is located in west-central New Mexico, about 45 miles northeast of Gallup, New Mexico. The Nose Rock Project consists of mineral rights covering approximately 6,400 acres. The Company's mineral rights are directly owned and are situated in sections 10, 11, 15, 17, 18, 19, 20, 29, 30, and 31, Township 19 North, Range 11 West, McKinley County, New Mexico. The surface estate over the Company's deeded mineral rights is owned in fee by the Navajo Nation. There are no royalties or interests held by others relating to the Company's mineral rights. | ||||||||
West Largo | ||||||||
The West Largo project lands are comprised of 75 unpatented lode mining claims that were staked in Sections 20 and 28, and four sections of fee mineral rights in Sections 17, 19, 21 and 29, all situated in Township 15 North, Range 10 West. Collectively, the properties cover an area of approximately 3,840 acres. The Company has a 100% interest in these properties. The surface estates for Sections 17 and 21 are Navajo allotments. The surface over the unpatented lode mining claims in Sections 20 and 28 is public domain managed by the BLM. The surface for Section 19 is held in trust for the Navajo Nation, and the surface of Section 29 is owned by the Elkins Ranch. We do not hold any surface access rights or agreements for Sections 17, 19 or 21. There are no work or royalty obligations for the unpatented lode mining claims, which we own. The unpatented claims are subject to annual maintenance payments of $140 per claim to the BLM in order to maintain the mineral rights in good standing. A production royalty of 2.5 percent of "ore value" is payable to the Elkins Ranch for any production from Section 29. | ||||||||
Roca Honda Projects | ||||||||
The Roca Honda project lies about 4 miles northwest of the town of San Mateo in McKinley County, New Mexico. The Company owns 36 unpatented lode mining claims situated in Section 8, Township 13 North, Range 8 West, McKinley County, New Mexico, lease 31 unpatented claims in Section 11, and own fee mineral rights covering Sections 13, 15 and 17, all of which are in Township 13 North, Range 8 West. Collectively, the Company's mineral rights holdings in the Roca Honda project area are approximately 3,085 acres. | ||||||||
Cebolleta Property | ||||||||
In connection with the merger of Neutron we acquired the Cebolleta Lease with La Merced del Pueblo de Cebolleta (the "Cebolleta Land Grant"), a privately held land grant, to lease the Cebolleta Property, which is composed of approximately 6,717 acres of fee (deeded) surface and mineral rights. The Cebolleta Lease provides for: (i) a term of ten years and so long thereafter as Cibola is conducting operations on the Cebolleta property; (ii) initial payments to the Cebolleta Land Grant of $5,000,000; (iii) a recoverable reserve payment equal to $1.00 multiplied by the number of pounds of recoverable uranium reserves upon completion of a feasibility study to be completed within six years, less (a) the $5,000,000 referred to in (ii) above, and (b) not more than $1,500,000 in annual advance royalties previously paid pursuant to (iv); (iv) annual advanced royalty payments of $500,000; (v) gross proceeds royalties from 4.50% to 8.00% based on the then current price of uranium; (vi) employment opportunities and job-skills training for the members of the Cebolleta Land Grant and (vii) funding of annual higher education scholarships for the members of the Cebolleta Land Grant. The Cebolleta Lease provides Cibola with the right to explore for, mine, and process uranium deposits present on the Cebolleta Property. In February 2012, Cibola entered into an Amendment of its Mining Lease Agreement (the "Cebolleta Lease Amendment") amending the Cebolleta Lease, subject to approval of the Thirteenth Judicial District. Pursuant to the Cebolleta Lease Amendment, the date for the completion of the feasibility study was extended from April 2013 to April 2015. In addition, the date may be further extended subject to a reduction in the $6,500,000 initial payment and annual advance royalty payments deduction to the recoverable reserve payment. | ||||||||
Juan Tafoya Property | ||||||||
In connection with the merger with Neutron we acquired the fee interest in 4,097 acres in northwestern New Mexico of fee (deeded) surface and mineral rights owned by the Juan Tafoya Land Corporation ("JTLC"). The Juan Tafoya property is located approximately 45 miles west-northwest of the city of Albuquerque, and 25 miles northeast of the town of Laguna. The lease has a term of ten years, and it can be extended on a year-to-year basis thereafter, so long as we are conducting operations on the property. Additionally, the lease required: (i) an initial payment of $1,250,000; (ii) annual rental payments of $225,000 for the first five years of the lease and $337,500 for the second five years; (iii) after the second five years, annual base rent of $75 per acre; (iv) a gross proceeds royalty of 4.65% to 6.5% based on the then current price of uranium; (v) employment opportunities and job-skills training programs for shareholders of the JTLC or its heirs, (vi) periodic contributions to a community projects fund if mineral production commences from the Juan Tafoya property and (vii) funding of a scholarship program for the shareholders of the JTLC or its heirs. The Company is obligated to make the first ten years' annual rental payments notwithstanding the right to terminate the JT Lease at any time, unless (a) the market value of uranium drops below $25 per pound, (b) a government authority bans uranium mining on the Juan Tafoya property, or (c) the deposit is deemed uneconomical by an independent engineering firm. | ||||||||
CONTRACT_COMMITMENTS
CONTRACT COMMITMENTS | 12 Months Ended |
Dec. 31, 2013 | |
CONTRACT COMMITMENTS | ' |
CONTRACT COMMITMENTS | ' |
5. CONTRACT COMMITMENTS | |
Sales Contracts | |
In March 2006, the Company first amended its sales contracts with Itochu Corporation ("Itochu") and UG U.S.A., Inc. ("UG") that superseded the previously existing contracts. Each contract provides for delivery of one-half of our actual production from our properties in Texas currently owned or hereafter acquired by the Company (excluding certain large potential exploration plays). Uranium deliveries from the inception of the contracts through December 31, 2012 have totaled approximately 510,000 pounds to Itochu and 480,000 pounds to UG. | |
In July 2013, the Company amended its uranium supply contract with Itochu to include a new sales pricing structure, new delivery dates and quantity levels. Pursuant to the amended agreement, Itochu would purchase one-half of all production from the Company's Vasquez, Rosita or Kingsville properties up to three million pounds of U3O8. Any new production outside of those areas is not subject to the agreement. The purchase price will be based on published market prices at the time of delivery subject to a five percent discount when the market price is $56.50 per pound of U3O8 or less, or seven percent when greater than $56.50 per pound. | |
Under the UG contract all production from our Texas properties will be sold at a price equal to the month-end long-term contract price for the second month prior to the month of delivery less $6 per pound until (i) 600,000 pounds have been sold in a particular delivery year and (ii) an aggregate of 3 million pounds of uranium has been sold. After the 600,000 pounds in any year and 3 million pounds total have been sold, UG will have a right of first refusal to purchase other Texas production at a price equal to the average spot price for a period prior to the date of delivery less 4%. | |
DEBT
DEBT | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
DEBT | ' | |||||||
DEBT | ' | |||||||
6. DEBT | ||||||||
Financing Facility | ||||||||
On November 13, 2013, the Company, together with each of the Company's subsidiaries as guarantors, entered into the Loan Agreement with RCF, pursuant to which RCF provided a senior secured loan facility (the "Facility") to the Company under which the Company may draw up to $15.0 million. The Facility consists of three tranches of $5.0 million each. RCF advanced $3.0 million of the first $5.0 million tranche shortly following the closing of the Loan Agreement. The convertible debentures are secured and bear interest, calculated on the outstanding principal balance, at 12% per annum through January 29, 2014 and 10% per annum thereafter, payable quarterly. The principal amounts of the Facility are convertible into shares of the Company at a price of $2.60 per share at any time prior to the maturity date of December 31, 2016. RCF may convert the loan amount at the conversion price, which is $2.60 per share. The conversion rate is subject to customary anti-dilution adjustments and further downward adjustment, subject to a floor of $1.00 per share, in case of certain equity issuances by the Company before November 13, 2014. | ||||||||
In December 2012, the Company completed a $5 million short term financing provided by RCF. The terms of the financing include an annualized interest rate of 10% payable quarterly and a loan establishment fee of $160,000. The loan establishment fee was paid in December 2012 by the issuance of 42,884 shares of common stock of the Company. The number of shares paid was determined based upon the volume weighted average price of the Company's common stock for the 20 days ending November 29, 2012 ($3.73 per share). The maturity date for the financing was the earlier of (i) the date of the closing of the Shareholder Rights Offering and (ii) June 28, 2013. | ||||||||
In connection with the Rights Offering during March 2013, the Company repaid the RCF $5.0 million short term loan facility by issuing 1.96 million shares of the Company's common stock to RCF. | ||||||||
Summary of Long-Term Debt | ||||||||
At December 31, | ||||||||
2013 | 2012 | |||||||
Long-term debt of the Company consists of: | ||||||||
Resource Capital Funds—Convertible Debt Facility | $ | 3,000,000 | $ | — | ||||
Note Payable | — | 5,000,000 | ||||||
Capital leases | 15,038 | 129,722 | ||||||
| | | | | | | | |
3,015,038 | 5,129,722 | |||||||
Less—current portion | (10,543 | ) | (5,112,140 | ) | ||||
| | | | | | | | |
Total long-term debt, including capital leases | $ | 3,004,495 | $ | 17,582 | ||||
| | | | | | | | |
Maturities of long-term debt and capital leases are as follows: | ||||||||
For the Twelve Months Ended: | Long-term Debt | Capital Leases | ||||||
December 31, 2014 | $ | 4,495 | $ | 24,154 | ||||
December 31, 2015 | — | 4,578 | ||||||
December 31, 2016 | 3,000,000 | — | ||||||
December 31, 2017 | — | — | ||||||
December 31, 2018 and beyond | — | — | ||||||
| | | | | | | | |
Totals | $ | 3,004,495 | $ | 28,732 | ||||
Less amounts representing imputed interest | (18,156 | ) | ||||||
| | | | | | | | |
Present value of future payments | $ | 10,576 | ||||||
| | | | | | | | |
Capital leases consist of trucks and equipment included in uranium properties. | ||||||||
Derivative Liability | ||||||||
The conversion feature of the convertible debentures meets the definition of a derivative liability instrument because the exercise price is not a fixed price as described above. Therefore, the conversion feature does not meet the "fixed-for-fixed" criteria outlined in ASC 815-40-15. As a result, the conversion feature of the notes is required to be recorded as a derivative liability recorded at fair value and marked-to-market each period with the changes in fair value each period being charged or credited to income or loss. | ||||||||
At the closing of the convertible debt loan on November 13, 2013, the fair value of the derivative liability related to the conversion feature was $2,061,794 and at December 31, 2013, was $2,169,408. The derivative liability was calculated using the Black-Scholes option pricing model with the following assumptions: | ||||||||
Risk-free interest rate | 0.61% - 0.78% | |||||||
Expected life of derivative liability | 3.00 - 3.12 years | |||||||
Expected volatility | 94% - 97% | |||||||
Dividend rate | 0.00% | |||||||
The changes in the derivative liability related to the conversion feature are as follows: | ||||||||
December 31, 2013 | Financial Statement Location | |||||||
Balance, December 31, 2012 | $ | — | ||||||
Fair value at inception | 2,061,794 | |||||||
Change in fair value of derivative liability | 107,614 | Change in fair value of derivative liability | ||||||
| | | | | | |||
Balance, December 31, 2013 | $ | 2,169,408 | Derivative liability—convertible debenture | |||||
| | | | | | |||
With the conversion feature initially being valued at $2,061,794, the resulting residual value allocated to the host debenture was $938,206, being the difference between the face value of the convertible debentures and the fair value of the conversion feature derivative liability. | ||||||||
The change in the convertible debentures is as follows: | ||||||||
December 31, | ||||||||
2013 | ||||||||
Balance, December 31, 2012 | $ | — | ||||||
Discounted convertible debentures | 938,206 | |||||||
Amortization of discount | 86,509 | |||||||
| | | | | ||||
Balance, December 31, 2013 | $ | 1,024,715 | ||||||
| | | | | ||||
In addition to the amortization of the discount on the convertible debenture, the Company incurred interest expense of $47,000 based on the 12% per annum stated interest rate. | ||||||||
SHAREHOLDERS_EQUITY
SHAREHOLDERS' EQUITY | 12 Months Ended |
Dec. 31, 2013 | |
SHAREHOLDERS' EQUITY | ' |
SHAREHOLDERS' EQUITY | ' |
7. SHAREHOLDERS' EQUITY | |
Equity Infusion—Shareholder Rights Offering | |
In March 2013, the Company completed the Rights Offering, whereby each URI shareholder and warrant holder received one non-transferrable subscription right for each share of common stock owned or subject to a warrant as of 5:00pm ET on January 28, 2013. Every subscription right entitled the holder to purchase 0.3119 of a share of common stock of URI at a price of $2.55 per whole share. | |
Under the Rights Offering, the Company raised $8.9 million in gross proceeds, of which $5.0 million was used to repay the short term financing from RCF. Also in connection with the RCF short term financing, the Company issued 31,343 shares of common stock in 2013 to pay fourth quarter 2012 and first quarter 2013 interest accrued on the loan of $16,667 and $79,167, respectively. | |
Equity Infusion—ATM Sales | |
On October 31, 2011, the Company entered into an ATM Sales Agreement with BTIG, pursuant to which the Company may sell from time to time, shares of its common stock through an "at-the-market" share offering program under its currently effective registration statement on Form S-3. The Company may sell up to $15,000,000 in aggregate offering price of its common stock through BTIG, acting as sales agent. On October 31, 2011, the Company filed a prospectus supplement with the Securities and Exchange Commission in connection with the offering. The Company will pay BTIG a commission equal to 3.0% of the gross proceeds from the sale of any shares pursuant to the ATM Sales Agreement. The Company raised approximately $5.4 million of net proceeds in 2012 through the ATM Sales Agreement through the sale of 0.97 million shares of common stock. | |
From January 17, 2014 to January 31, 2014, the Company sold 523,350 shares of common stock for net proceeds of $1.9 million under its ATM Sales Agreement. As of February 1, 2014, the Company has a total of $7.1 million available for future sales under the ATM Sales Agreement. | |
Equity Infusion—Private Placement | |
The Company raised $10 million on March 9, 2012 in a private placement with RCF. In connection with the transaction the Company sold 1.0 million shares of common stock at a price of $9.75 per share. The Company also raised $5 million on September 5, 2012 in a private placement with RCF. In this transaction the Company sold 0.97 million shares of common stock at a price of $5.16 per share. These capital transactions were conducted as a part of the merger for all of the outstanding shares of Neutron Energy, Inc. | |
Warrants | |
In connection with the May 2008 equity infusion, the Company issued warrants to purchase 0.99 million additional shares of common stock at a price of $57.80 per share. These warrants expired unexercised in May 2013. | |
Share Issuance for Services | |
In January 2013, the Company issued 83,200 shares valued at $3.50 per share based on the market trading price to Cormark Securities, Inc. in satisfaction of $291,500 in fees related to the Neutron Energy, Inc. merger. | |
STOCK_BASED_COMPENSATION
STOCK BASED COMPENSATION | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
STOCK BASED COMPENSATION | ' | ||||||||||||||||
STOCK BASED COMPENSATION | ' | ||||||||||||||||
8. STOCK BASED COMPENSATION | |||||||||||||||||
Our stock based compensation programs consist of stock option and restricted stock grants made to employees and directors. | |||||||||||||||||
2013 Omnibus Incentive Plan | |||||||||||||||||
In June 2013, the Company's stockholders and Board approved the 2013 Omnibus Incentive Plan ("2013 OIP") that governs all future share-based awards. As of December 31, 2013, a total of 1,045,721 shares are available for future issuances. | |||||||||||||||||
Stock Compensation Expense | |||||||||||||||||
Employee Stock Options and Restricted Stock Units | |||||||||||||||||
Stock compensation expense for the year ended December 31, 2013 and 2012 was $381,000 and $427,000, respectively, and was recorded to general and administrative expenses. The Company has not recognized a tax benefit from the stock compensation expense because the Company considers it is more likely than not that the related deferred tax assets, which have been reduced by a full valuation allowance, will not be realized. | |||||||||||||||||
On January 16, 2013, the Company granted to a newly appointed non-employee director stock options to purchase 5,000 common shares of the Company. The fair value for this issuance was $3.30 per share. | |||||||||||||||||
On March 12, 2013, the Company granted 25,000 restricted shares of the Company's common stock to the new President and Chief Executive Officer, subject to service and performance vesting criteria over a three-year period. The fair value for this issuance was $2.73 per share. | |||||||||||||||||
On March 12, 2013, the Company also granted to the new President and Chief Executive Officer stock options to purchase 55,000 common shares of the Company, subject to service and performance vesting criteria over a three-year period. The fair value for this issuance was $1.98 per share. | |||||||||||||||||
On March 12, 2013, the Company granted 25,000 restricted shares of the Company's common stock to a former executive of the Company in connection with a separation agreement signed with the executive. The Company recognized stock compensation expense for the restricted share grants of $43,000 in the first half of 2013 in connection with this issuance. In addition, the Company extended the exercise period for certain previously issued stock options for this former executive and recognized no incremental expense for this modification. | |||||||||||||||||
On June 4, 2013, the Compensation Committee approved a grant of 100,000 shares of restricted stock units under the 2013 OIP to the President and Chief Executive Officer, subject to specific vesting criteria over a three-year period. The fair value for this issuance was $2.83 per share. | |||||||||||||||||
On June 4, 2013, the Board also approved a grant of a total of 100,000 restricted stock units under the 2013 OIP to the Company's non-employee Directors, subject to specific vesting criteria over a three-year period. The fair value for this issuance was $2.83 per share. | |||||||||||||||||
On July 30, 2013, the Compensation Committee approved a grant of 80,000 shares of restricted stock units under the 2013 OIP to the Vice President-Finance and Chief Financial Officer, subject to specific vesting criteria over a three-year period. The fair value for this issuance was $4.50 per share. | |||||||||||||||||
On December 27, 2013, the Company granted to a newly appointed non-employee director stock options to purchase 5,000 common shares of the Company. The fair value for this issuance was $2.66 per share. | |||||||||||||||||
The fair value of stock options granted to employees and directors was estimated on the dates of the grants using the Black-Sholes option pricing model with the following assumptions used for the grants made during 2013: | |||||||||||||||||
Risk free rate | 1.40% - 2.63% | ||||||||||||||||
Expected life | 5.7 - 7.8 years | ||||||||||||||||
Expected volatility | 84% - 111% | ||||||||||||||||
Expected dividend yield | 0.00% | ||||||||||||||||
The Company has two stock Incentive Plans for Employees, both of which were approved by the Company's shareholders. | |||||||||||||||||
Under the 1995 Stock Incentive Plan (the "1995 Plan") all available and outstanding options have been granted and are currently exercisable. Under the Company's 2004 Stock Incentive Plan (the "2004 Plan") a total of 175,000 shares may be issued upon exercise of options granted under the 2004 Plan. Employee stock options generally vest ratably over a 3 or 4 year time frame and have a contractual term of 10 years. | |||||||||||||||||
2004 Directors' Plan—Options | |||||||||||||||||
In June 2010, the Directors' Stock Option Plan was amended and restated ("Amended 2004 Directors' Plan") to allow for the directors to be issued stock options or restricted common shares as determined by the Company and increased the available shares to be granted to 250,000 shares. Each non-employee Director elected or appointed to the Board of Directors for the first time will be granted an option to purchase 2,500 shares of common stock and each Non-Employee Director shall be granted an option to purchase 2,500 shares either, (a) upon his or her re-election at an annual meeting of the Company's stockholders or (b) in any calendar year in which an annual meeting of shareholders is not held, on June 1 of such year. | |||||||||||||||||
In September 2012, Terence J. Cryan assumed the duties of the Company's Interim President and CEO. In connection with this Mr. Cryan was granted options under the Amended 2004 Directors' Plan to purchase 20,000 shares of the Company's common stock at an exercise price of $4.10 per share. The stock options vest ratably 25% at the 6, 12, 18 and 24 month anniversary date of the date of grant. | |||||||||||||||||
The following table summarizes stock options outstanding and changes during the year ended December 31, 2013: | |||||||||||||||||
Outstanding Options | |||||||||||||||||
Number of | Weighted | Weighted Average | Aggregate | ||||||||||||||
Shares | Average | Remaining | Intrinsic | ||||||||||||||
Exercise Price | Contractual Term | Value | |||||||||||||||
(Years) | |||||||||||||||||
Options outstanding at January 1, 2013 | 317,270 | $ | 24.62 | ||||||||||||||
Granted | 65,000 | 2.86 | |||||||||||||||
Exercised | — | — | |||||||||||||||
Canceled or forfeited | (72,791 | ) | 25.9 | ||||||||||||||
| | | | | | | | | | | | | | ||||
Options outstanding at December 31, 2013 | 309,479 | $ | 19.75 | 3.91 | $ | 16,700 | |||||||||||
| | | | | | | | | | | | | | ||||
Options exercisable at December 31, 2013 | 226,980 | $ | 25.57 | 2.01 | $ | — | |||||||||||
| | | | | | | | | | | | | | ||||
Stock options outstanding and currently exercisable at December 31, 2013 are as follows: | |||||||||||||||||
Outstanding Options | |||||||||||||||||
Options Exercisable | |||||||||||||||||
Weighted Average | |||||||||||||||||
Remaining | |||||||||||||||||
Contractual Life | |||||||||||||||||
Stock Option Plan | Number of | (in years) | Weighted | Number of | Weighted Average | ||||||||||||
Options | Average | Options | Exercise Price | ||||||||||||||
Outstanding | Exercise Price | Exercisable | |||||||||||||||
1995 Stock Incentive Plan | 145,906 | 0.6 | $ | 13.46 | 145,906 | $ | 13.46 | ||||||||||
2004 Stock Incentive Plan | 85,241 | 7.5 | 13.92 | 29,408 | 34.74 | ||||||||||||
2004 Director's Plan | 78,332 | 6.1 | 37.81 | 51,666 | 54.57 | ||||||||||||
| | | | | | | | | | | | | | | | | |
309,479 | 3.9 | $ | 19.75 | 226,980 | $ | 25.57 | |||||||||||
| | | | | | | | | | | | | | | | | |
Total estimated unrecognized compensation cost from unvested stock options as of December 31, 2013 was approximately $182,000, which is expected to be recognized over a weighted average period of approximately 1 to 2 years. | |||||||||||||||||
The fair value of each option is estimated on the date of grant using the Black-Scholes option-pricing model. The option-pricing model requires a number of assumptions, of which the most significant are expected stock price volatility, the expected pre-vesting forfeiture rate and the expected option term (the amount of time from the grant date until the options are exercised or expire). Expected volatility was calculated based upon actual historical stock price movements through the measurement date of the stock option grant. Expected pre-vesting forfeitures and option terms were estimated based on actual historical pre-vesting forfeitures. The exercise price for the options granted under the plans is the fair market value of the common stock on the date granted. The terms of the options are determined by the Board of Directors upon grant; however, no options may be exercised after a period of ten years. | |||||||||||||||||
Using the Black-Scholes option pricing model, the assumptions for grants in 2012: fair market value: $6.70 per share and $5.20 per share; expected volatility of 72% and 84%; and risk-free interest rate of 0.5% and 3.5%. An expected life of 1.0 years and 7.7 years was used for the options granted. The weighted average fair value of the options granted in 2012 was $6.00 per share. | |||||||||||||||||
Restricted Stock Plans | |||||||||||||||||
2007 Plan | |||||||||||||||||
In 2007, the Board of Directors adopted and the shareholders approved the 2007 Restricted Stock Plan (the "2007 Plan"). The 2007 Plan permits the Company to make Restricted Stock grants of shares of common stock to management personnel and other key employees of the Company. Unless otherwise specified by the Committee, the term of the restricted period for any Restricted Stock grant under the 2007 Plan shall not be less than five years from the date of grant. Employee participants who receive Restricted Stock grants will have all of the rights of a stockholder, including the right to vote the shares of Restricted Stock that are the subject of the grant and the right to receive any regular cash dividends paid out of current earnings. The Company may issue an aggregate maximum of 150,000 shares of common stock under the 2007 Plan. | |||||||||||||||||
The total estimated unrecognized compensation cost from the unvested restricted grants at December 31, 2013 was approximately $816,000, which is expected to be recognized over the weighted average vesting period of 1.5 years. | |||||||||||||||||
A summary of the status of non-vested restricted shares for the years ended December 31, 2013 and 2012 is presented below: | |||||||||||||||||
Number of | Weighted | ||||||||||||||||
Shares | Average | ||||||||||||||||
Grant Date | |||||||||||||||||
Fair Value | |||||||||||||||||
Non-vested at December 31, 2011 | 33,315 | $ | 12 | ||||||||||||||
| | | | | | | | ||||||||||
Granted | 40,727 | $ | 7.44 | ||||||||||||||
Vested | (33,172 | ) | $ | 10.1 | |||||||||||||
| | | | | | | | ||||||||||
Non-vested at December 31, 2012 | 40,870 | $ | 9.1 | ||||||||||||||
| | | | | | | | ||||||||||
Granted | 330,000 | $ | 3.22 | ||||||||||||||
Forfeited | (4,220 | ) | $ | 12.74 | |||||||||||||
Vested | (32,499 | ) | $ | 4.85 | |||||||||||||
| | | | | | | | ||||||||||
Non-vested at December 31, 2013 | 334,151 | $ | 3.66 | ||||||||||||||
| | | | | | | | ||||||||||
| | | | | | | | ||||||||||
Restricted stock grants are valued using the fair market value of the stock on the date of grant. | |||||||||||||||||
FEDERAL_INCOME_TAXES
FEDERAL INCOME TAXES | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
FEDERAL INCOME TAXES | ' | |||||||
FEDERAL INCOME TAXES | ' | |||||||
9. FEDERAL INCOME TAXES | ||||||||
We recognize future tax assets and liabilities for each tax jurisdiction based on the difference between the financial reporting and tax bases of assets and liabilities using the enacted tax rates expected to be in effect when the taxes are paid or recovered. A valuation allowance is provided against net future tax assets for which we do consider the realization of such assets to meet the required "more likely than not" standard. | ||||||||
Our future tax assets and liabilities at December 31, 2013 and 2012 include the following components: | ||||||||
December 31, | ||||||||
2013 | 2012 | |||||||
Deferred tax assets: | ||||||||
Non-Current: | ||||||||
Net operating loss carryforwards | $ | 63,539,000 | $ | 58,720,000 | ||||
Mineral properties | 14,153,000 | 12,230,000 | ||||||
Equipment & Furniture | 127,000 | — | ||||||
Restoration Reserves | 1,303,000 | (2,681,000 | ) | |||||
Derivatives | 37,000 | — | ||||||
| | | | | | | | |
Deferred tax assets | 79,159,000 | 68,269,000 | ||||||
Valuation allowance | (78,544,000 | ) | (67,975,000 | ) | ||||
| | | | | | | | |
Net | $ | 615,000 | $ | 294,000 | ||||
| | | | | | | | |
Deferred tax liabilities: | ||||||||
Current: | ||||||||
Prepaids and other | $ | 50,000 | $ | — | ||||
| | | | | | | | |
50,000 | — | |||||||
| | | | | | | | |
Non-Current: | ||||||||
Equipment & Furniture | (665,000 | ) | (294,000 | ) | ||||
| | | | | | | | |
(665,000 | ) | (294,000 | ) | |||||
| | | | | | | | |
Deferred tax liabilities | (615,000 | ) | (294,000 | ) | ||||
| | | | | | | | |
Net deferred tax asset (liability) | $ | — | $ | — | ||||
| | | | | | | | |
| | | | | | | | |
The composition of our valuation allowance by tax jurisdiction is summarized as follows: | ||||||||
December 31, | ||||||||
2013 | 2012 | |||||||
United States | $ | 78,544,000 | $ | 67,975,000 | ||||
Other Countries | — | — | ||||||
| | | | | | | | |
Total valuation allowance | $ | 78,544,000 | $ | 67,975,000 | ||||
| | | | | | | | |
| | | | | | | | |
The valuation allowance increased $9.3 million from the year ended December 31, 2012 to the year ended December 31, 2013. This was the result of an increase in the net deferred tax assets, primarily net operating loss carryforwards ("NOLs"), equity based compensation, and exploration spending on mineral properties. Because we are unable to determine whether it is more likely than not that the net deferred tax assets will be realized, we continue to record a 100% valuation against the net deferred tax assets. | ||||||||
At December 31, 2013, we had U.S. net operating loss carryforwards of approximately $181.8 million, which expire from 2018 to 2033. This included approximately $27.3 million in net operating loss carryforwards associated with the Neutron merger. A full valuation allowance has been recorded against the tax effected U.S. loss carryforwards as we do not consider realization of such assets to meet the required 'more likely than not' standard. In addition, we had net operating loss carryforwards in various U.S. state jurisdictions of approximately $50.0 million which expire from 2014 to 2033. A full valuation allowance has been recorded against the tax effected state loss carryforwards as we do not consider realization of such assets to meet the required 'more likely that not' standard. | ||||||||
Section 382 of the Internal Revenue Code could apply and limit our ability to utilize a portion of the US net operating loss carryforwards. Following the issuance of the Company's Common Stock in 2001 and the Neutron merger in 2012, the ability to utilize the net operating loss carryforwards will be severely limited on an annual and aggregate basis. A formal Section 382 study has not been completed, therefore the actual usage of US net operating loss carryforwards has not been determined. Similar limitations apply to the state net operating loss carryforwards related to the Neutron acquisition. | ||||||||
For financial reporting purposes, net loss before income taxes consists of the following components: | ||||||||
Year ended December 31, | ||||||||
2013 | 2012 | |||||||
United States | $ | (20,294,000 | ) | $ | (19,361,000 | ) | ||
Other Countries | — | — | ||||||
| | | | | | | | |
$ | (20,294,000 | ) | $ | (19,361,000 | ) | |||
| | | | | | | | |
| | | | | | | | |
A reconciliation of expected income tax on net income at statutory rates is as follows: | ||||||||
Year ended December 31, | ||||||||
2013 | 2012 | |||||||
Net loss | $ | (20,294,000 | ) | $ | (19,361,000 | ) | ||
Statutory tax rate | 34 | % | 34 | % | ||||
| | | | | | | | |
Tax recovery at statutory rate | (6,900,000 | ) | (6,583,000 | ) | ||||
Change in tax rates | 636,000 | — | ||||||
Mineral property adjustments | (4,210,000 | ) | ||||||
Stock based compensation | 416,000 | — | ||||||
Operating loss carryfoward adjustment | 636,000 | |||||||
Nondeductible write-offs | 126,000 | — | ||||||
Change in valuation allowance | 9,296,000 | 6,583,000 | ||||||
| | | | | | | | |
Income tax expense (recovery) | $ | — | $ | — | ||||
| | | | | | | | |
We do not have any unrecognized income tax benefits. Should we incur interest and penalties relating to tax uncertainties, such amounts would be classified as a component of the interest expense and operating expense, respectively. | ||||||||
Uranium Resources, Inc., and its wholly owned subsidiaries, files in the U.S. federal jurisdiction and various state jurisdictions. The years still open for audit are generally the current year plus the previous three. However, because we have NOLs carrying forward, certain items attributable to closed tax years are still subject to adjustment by applicable taxing authorities through an adjustment to tax losses carried forward to open years. | ||||||||
OTHER_LONGTERM_LIABILITIES_AND
OTHER LONG-TERM LIABILITIES AND DEFERRED CREDITS | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
OTHER LONG-TERM LIABILITIES AND DEFERRED CREDITS | ' | |||||||
OTHER LONG-TERM LIABILITIES AND DEFERRED CREDITS | ' | |||||||
10. OTHER LONG-TERM LIABILITIES AND DEFERRED CREDITS | ||||||||
Other long-term liabilities and deferred credits on the balance sheet consisted of: | ||||||||
At December 31, | ||||||||
2013 | 2012 | |||||||
Royalties payable(1) | $ | 500,000 | $ | 500,000 | ||||
Crownpoint property(1) | 450,000 | 450,000 | ||||||
GE purchase contract(2) | 400,000 | — | ||||||
| | | | | | | | |
$ | 1,350,000 | $ | 950,000 | |||||
| | | | | | | | |
-1 | ||||||||
Royalties payble and Crownpoint property liability were derived during prior years of production. Liabilities do not accrue interest or have a stated maturity date. | ||||||||
-2 | ||||||||
Balance is due on August 1, 2015. | ||||||||
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
COMMITMENTS AND CONTINGENCIES | ' | ||||||||||||||||
COMMITMENTS AND CONTINGENCIES | ' | ||||||||||||||||
11. COMMITMENTS AND CONTINGENCIES | |||||||||||||||||
The Company's uranium recovery operations are subject to federal and state regulations for the protection of the environment, including water quality. These laws are constantly changing and generally becoming more restrictive. The ongoing costs of complying with such regulations have not been significant to the Company's annual operating costs. Future closure and reclamation costs are provided for as each pound of uranium is produced on a unit-of-production basis. The Company reviews its reclamation obligations each year and determines the appropriate unit charge. The Company also evaluates the status of current environmental laws and their potential impact on their accrual for costs. The Company believes its operations are in compliance with current environmental regulations. | |||||||||||||||||
The Company is from time to time involved in various legal proceedings of a character normally incident to its business. Management believes it has meritorious defenses in all such proceedings and is not aware of any material adverse effect on the Company's financial condition or results of operations from such proceedings. | |||||||||||||||||
Payment Due by Period | |||||||||||||||||
Operating Leases | Total | Less than 1 year | 1 - 3 years | 4 - 5 years | More than 5 years | ||||||||||||
Office space | 1,072,471 | 273,307 | 708,733 | 90,431 | — | ||||||||||||
| | | | | | | | | | | | | | | | | |
$ | 1,072,471 | $ | 273,307 | $ | 708,733 | $ | 90,431 | $ | — | ||||||||
| | | | | | | | | | | | | | | | | |
Temporary Access Agreement | |||||||||||||||||
In July 2012, the Company through its subsidiary HRI, and the Nation entered into a Temporary Access Agreement (the "Agreement"). Under the terms of the Agreement, HRI and its contractors may now access Section 8 through either Section 9 or 17 to support site visits by the NRC and to satisfy other administrative permitting and licensing requirements related to the Churchrock project. The Agreement does not extend to construction-related or earth-disturbing activities. HRI has further agreed to remediate any radioactive contamination now existing on Sections 8 and 17 surface lands created by prior operators prior to commencing ISR operations on Section 8. Under the terms and for the duration of this Agreement, HRI has agreed to the jurisdiction of the Nation with respect to the subject matter of the Agreement. HRI and the Nation are now actively engaged in settlement negotiations in order to determine effective compliance with the remediation requirement included in the Agreement, including applicable clean-up standards, enforcement, and waste disposal, and to address longer-term surface access to the entire licensed Churchrock project site consistent with applicable law. If further agreement with the Nation is not reached, our development plan could be materially adversely affected. | |||||||||||||||||
Dispute with Thomas Ehrlich | |||||||||||||||||
On August 2, 2013, Thomas H. Ehrlich, the Company's former chief financial officer, filed a complaint against the Company in the District Court of Denton County, Texas, Cause No. 2013-61011-393. The complaint alleges that the Company breached a compensation agreement between the Company and Mr. Ehrlich that provided for certain payments to Mr. Ehrlich upon certain change in control events. On August 13, 2013, the Company filed a general denial of the allegations contained in the complaint. On November 4, 2013, Mr. Ehrlich moved for partial summary judgment and the Company cross-moved on November 22, 2013. On December 13, 2013, the District Court heard the parties' motions, denied summary judgment for both parties, and directed discovery to commence. The Judge also ruled that Mr. Ehrlich was entitled to his litigation costs and expenses, including attorney fees, under the indemnification provisions of the compensation agreement, but he did not award any specific costs, expenses or fees. The Company intends to vigorously defend any assertions related to the lawsuit. The Company estimates the lawsuit could take approximately one year to be resolved and recognized a possible loss contingency of $285,000 as of December 31, 2013. | |||||||||||||||||
On January 28, 2014, the Company invoked the Texas statutory settlement procedures, and, thereafter, a series of confidential settlement communications began between the Company and Mr. Ehrlich. On February 27, 2014, the Company and Mr. Ehrlich participated in a confidential mediation session designed to settle the case. Confidential settlement negotiations are continuing. | |||||||||||||||||
In connection with our May 2008 private placement, the Company executed a registration rights agreement pursuant to which the shares issued in the private placement were registered. The registration rights agreement provides for penalties in the event the registration statement fails to remain effective. At December 31, 2013, the Company's registration statement was and remains effective. | |||||||||||||||||
Compensation Agreements | |||||||||||||||||
The Company has entered into Compensation Agreements with the certain of the Executive Officers of the Company (the "Compensation Agreements"), that provide that, in the event of a change in control, such officers will have certain rights and benefits for a period of twenty-four months following such change in control. The Compensation Agreements provide that the executive's base salary payments shall be made on a monthly basis for the duration of the term and any incentive payments shall be paid annually until the obligation to make such payments expires. | |||||||||||||||||
SUBSEQUENT_EVENT
SUBSEQUENT EVENT | 12 Months Ended |
Dec. 31, 2013 | |
SUBSEQUENT EVENT | ' |
SUBSEQUENT EVENT | ' |
12. SUBSEQUENT EVENT | |
On February 12, 2014, the Company completed its $10.3 million registered direct offering with the issuance of 3,960,000 shares of common stock at a price of $2.60 per share for net proceeds of $9,472,320. The Company and RCF are currently discussing the level of participation accorded RCF per its anti-dilution rights under the Loan Agreement. | |
On January 29, 2014, the Company's shareholders approved the RCF loan agreement and the issuance of approximately 7.5 million shares of common stock related to the Loan Agreement. The Company had closed the loan agreement with RCF on November 13, 2013 and had borrowed an initial $3.0 million as part of the first tranche available under the Loan Agreement. On February 4, 2014, the Company borrowed the remaining $2.0 million of the first tranche under the Loan Agreement. | |
In January 2014, the Company sold 523,350 shares of its common stock for net proceeds of approximately $1.9 million under the ATM Sales Agreement with BTIG, LLC. As of February 1, 2014, approximately $7.1 million of the aggregate $15.0 million remained available for future sales under the ATM Sales Agreement. RCF declined its participation rights for this equity financing. | |
BASIS_OF_PRESENTATION_AND_SUMM1
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||||||
Principles of Consolidation | ' | |||||||||||||
Principles of Consolidation | ||||||||||||||
The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S.") and include the accounts of URI and its wholly-owned subsidiaries (collectively the "Company"). All significant intercompany transactions have been eliminated in consolidation. | ||||||||||||||
Reverse Stock Split | ' | |||||||||||||
Reverse Stock Split | ||||||||||||||
Immediately following the close of trading on January 22, 2013, the Company completed a 1 for 10 reverse stock split for its common stock. With the reverse stock split, every ten shares of the Company's issued and outstanding common stock were combined into one issued and outstanding share of common stock. The reverse stock split had no effect on the par value of the shares or the authorized number of shares of the Company. The reverse split reduced the number of URI's outstanding common stock from approximately 161.1 million shares to approximately 16.1 million shares. All share data herein has been retroactively adjusted for the reverse stock split. | ||||||||||||||
Consolidated Statements of Cash Flows | ' | |||||||||||||
Consolidated Statements of Cash Flows | ||||||||||||||
The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. The Company maintains cash deposits in excess of federally insured limits. The Company monitors the soundness of the financial institution and believes the Company's risk is negligible. | ||||||||||||||
Uranium Properties | ' | |||||||||||||
Uranium Properties | ||||||||||||||
Expenditures related to acquisition of mineral rights are capitalized as incurred. Exploration costs related to locating areas of potential mineralization are expensed as incurred. Commercial feasibility is established in compliance with the U.S. Securities and Exchange Commission Industry Guide 7, and consists of identifying that part of a mineral deposit that can be economically and legally extracted or produced at the time of the reserve determination. After declaring proven or probable reserves for an area of interest in accordance with Industry Guide 7, expenditures specific to the area of interest for further development are capitalized. All properties with significant acquisition or incurred costs are evaluated for their realizability on a property-by-property basis. Any impairment of such costs is recognized through a reduction in the net carrying value of the asset. (See Note 4—"PROPERTY, PLANT AND EQUIPMENT"). | ||||||||||||||
Depreciation and Depletion. During the periods that our facilities are not in production, depletion on our mineral interests, permits, licenses and development properties are suspended. Depreciation and depletion of our plant facilities, machinery and equipment continues in accordance with the level of stand-by activity being conducted at each site. | ||||||||||||||
Other ancillary plant equipment and vehicles are depreciated using a straight line method based upon the estimated useful lives of the assets. | ||||||||||||||
Other Property, Plant and Equipment | ' | |||||||||||||
Other Property, Plant and Equipment | ||||||||||||||
Other property, plant and equipment consists of corporate office equipment, furniture and fixtures and transportation equipment. Depreciation on other property is computed based upon the estimated useful lives of the assets. Repairs and maintenance costs are expensed as incurred. Gain or loss on disposal of such assets is recorded as other income or expense as such assets are disposed. | ||||||||||||||
Restricted Cash | ' | |||||||||||||
Restricted Cash | ||||||||||||||
At December 31, 2013 and 2012, the Company had pledged certificates of deposit and money market accounts of $4,011,000 and $9,492,000, respectively, in order to collateralize performance bonds required for future restoration and reclamation obligations related to the Company's South Texas production and development properties. These funds are not readily available to the Company and are not included in cash equivalents. | ||||||||||||||
Asset Retirement Obligations | ' | |||||||||||||
Asset Retirement Obligations | ||||||||||||||
Various federal and state mining laws and regulations require the Company to reclaim the surface areas and restore underground water quality for its ISR projects to the pre-existing or background average quality after the completion of mining. The Company records the estimated present value of reclamation liabilities and increases the carrying amount of the related asset. Reclamation costs are allocated to expense over the life of the related assets and are periodically adjusted to reflect changes in the estimated present value resulting from the passage of time and revisions to the estimates of either the timing or amount of the reclamation and remediation costs. | ||||||||||||||
Future reclamation and remediation costs are accrued based on management's best estimate at the end of each period of the costs expected to be incurred at each project. Such estimates are determined by the Company's engineering studies calculating the cost of future surface and groundwater activities. | ||||||||||||||
The following table shows the change in the balance of the asset retirement obligation during the years ended December 31, 2013 and 2012: | ||||||||||||||
December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
Reserve for future restoration and reclamation costs at January 1 | $ | 4,498,057 | $ | 4,735,759 | ||||||||||
Changes in cash flow estimates | 584,025 | 1,444,406 | ||||||||||||
Costs incurred | (1,638,214 | ) | (1,767,289 | ) | ||||||||||
Accretion expense | 389,740 | 85,181 | ||||||||||||
| | | | | | | | |||||||
Reserve for future restoration and reclamation costs at December 31, | $ | 3,833,608 | $ | 4,498,057 | ||||||||||
| | | | | | | | |||||||
| | | | | | | | |||||||
Contingent Liabilities-Off Balance Sheet Arrangements | ' | |||||||||||||
Contingent Liabilities—Off Balance Sheet Arrangements | ||||||||||||||
In February 2013, the Company secured $9 million in new surety bonds from Lexon Insurance Company ("Lexon") for the benefit of the Texas Commission on Environmental Quality for remediation and reclamation activities at the Company's South Texas projects. The collateral requirements for these new bonds require the Company to post 40% of the face amount of the bonds ($3.6 million) in cash collateral as a condition of their terms. These bonds replaced the existing $9.0 million of fully cash collateralized financial surety instruments that previously provided the financial surety requirements for the projects. In the event that Lexon is required to perform under its bonds or the bonds are called by the state agencies, the Company would be obligated to pay costs incurred by Lexon that exceeded the collateral amounts. | ||||||||||||||
Fair Value of Financial Instruments | ' | |||||||||||||
Fair Value of Financial Instruments | ||||||||||||||
The carrying amounts reported in the balance sheets for cash and cash equivalents, receivables, accounts payable and accrued liabilities approximate fair values because of the immediate or short-term maturity of these financial instruments. The carrying amount of the convertible debt instrument is being recorded at amortized cost using the effective interest rate method. As of December 31, 2013, the estimated fair value of the derivative liability was $2,169,408. The value of the embedded derivative is being recorded at its fair value using the Black-Scholes option pricing model. | ||||||||||||||
The following table presents information about the Company's liabilities that are measured at fair value on a recurring basis as of December 31, 2013, and indicates the fair value hierarchy of the valuation techniques utilized to determine such fair value. No items were recorded at fair value on a recurring basis as of December 31, 2012. In general, fair values determined by Level 1 inputs utilize quoted prices (unadjusted) in active markets of identical assets or liabilities. Fair values determined by Level 2 inputs utilize data points that are observable such as quoted prices, interest rates and yield curves. Fair values determined by Level 3 inputs are unobservable data points for the asset or liability, and include situations where there is little, if any, market activity for the assets or liability. | ||||||||||||||
Liabilities | Quoted | Significant | Significant | |||||||||||
at Fair Value, | Prices in | Other | Unobservable | |||||||||||
December 31 | Active | Observable | Inputs | |||||||||||
Markets | Inputs | (Level 3) | ||||||||||||
(Level 1) | (Level 2) | |||||||||||||
December 31, 2013: | ||||||||||||||
Derivative liability—convertible debenture | $ | 2,169,408 | $ | — | $ | 2,169,408 | $ | — | ||||||
| | | | | | | | | | | | | | |
Total | $ | 2,169,408 | $ | — | $ | 2,169,408 | $ | — | ||||||
| | | | | | | | | | | | | | |
Derivative Financial Instruments | ' | |||||||||||||
Derivative Financial Instruments | ||||||||||||||
The Company reviews the terms of its equity instruments and other financing arrangements to determine whether or not there are embedded derivative instruments that are required to be accounted for separately as a derivative financial instrument. Also, in connection with the issuance of financing instruments, the Company may issue freestanding options or warrants that may, depending on their terms, be accounted for as derivative instrument liabilities, rather than as equity. The Company may also issue options or warrants to non-employees in connection with consulting or other services. | ||||||||||||||
Derivative financial instruments are measured at their fair value. For derivative financial instruments that are accounted for as liabilities, the derivative instrument is initially recorded at its fair value and is then re-valued at each reporting date, with changes in the fair value reported as charges or credits to income. The Company uses the Black-Scholes option pricing model to estimate the fair value of the derivative instruments. | ||||||||||||||
The classification of derivative instruments, including whether or not such instruments should be recorded as liabilities or as equity, is reassessed at the end of each reporting period. If reclassification is required, the fair value of the derivative instrument, as of the determination date, is reclassified. Any previous charges or credits to income for changes in the fair value of the derivative instrument are not reversed. Derivative instrument liabilities are classified in the balance sheet as current or non-current based on whether net-cash settlement of the derivative instrument could be required within 12 months of the balance sheet date. | ||||||||||||||
Earnings Per Share | ' | |||||||||||||
Earnings Per Share | ||||||||||||||
All per share data herein has been retroactively adjusted for the 1 for 10 reverse stock split that occurred following the close of trading on January 22, 2013. | ||||||||||||||
Net earnings (loss) per common share—basic has been calculated based on the weighted average shares outstanding during the year and net earnings (loss) per common share—diluted has been calculated assuming the exercise or conversion of all dilutive securities. Due to net losses incurred for 2013 and 2012 there were no dilutive securities included in these years as their inclusion would be anti-dilutive. | ||||||||||||||
The potential dilutive common stock that was excluded from the calculation of diluted earnings per share was 1,380,826 in 2013 and 403,274 in 2012. | ||||||||||||||
Use of Estimates | ' | |||||||||||||
Use of Estimates | ||||||||||||||
The preparation of financial statements in conformity with generally accepted accounting principles in the U.S. requires management to make certain estimates and assumptions. Such estimates and assumptions may affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The more significant areas requiring the use of management estimates include mineral reserve estimation; useful asset lives for depreciation, depletion and amortization; environmental obligations; future restoration and reclamation costs; share based compensation expense; derivative liability and asset impairment, including estimates used to derive future cash flows associated with those assets. | ||||||||||||||
Specifically regarding uranium properties, significant estimates were utilized in determining the carrying value of these assets. These assets have been recorded at their estimated net realizable value for impairment purposes, which is less than cost. The actual value realized from these assets may vary significantly from these estimates based upon market conditions, financing availability and other factors. Future market conditions in particular can be difficult to predict and measure because of the impact of events that affect public acceptance of nuclear energy, the limited size of the market for the use of uranium, changes in the prices of alternative energy sources, development of new low-cost alternative energy sources and other factors. | ||||||||||||||
Regarding the reserve for future restoration and reclamation costs, significant estimates were utilized in determining the future costs to complete the groundwater restoration and surface reclamation at our ISR sites. Estimating future costs can be difficult and unpredictable because they are based principally on current legal and regulatory requirements and site closure plans that may change materially. The laws and regulations governing closure and remediation in a particular jurisdiction are subject to review at any time and may be amended to impose additional requirements and conditions which may cause our provisions for environmental liabilities to be underestimated and could materially affect the Company's financial position or results of operations. Estimates of future restoration and reclamation costs are also subject to operational risks such as acceptance of treatment techniques or other operational changes. | ||||||||||||||
Also, the calculation of reserves, other mineralized material and grading are estimates and depend upon geological interpretation and statistical inferences or assumptions drawn from drilling and sampling analysis, which may prove to be unpredictable. There is a degree of uncertainty attributable to the calculation of reserves, mineralized material and corresponding grades. Until reserves and other mineralized materials are actually mined and processed, the quantity of ore and grades must be considered as an estimate only. In addition, the quantity of reserves and other mineralized materials and ore may vary depending on the price of uranium. Any material change in the quantity of reserves, other mineralized materials, mineralization or grade may affect the economic viability of our properties. | ||||||||||||||
Risks and Uncertainties | ' | |||||||||||||
Risks and Uncertainties | ||||||||||||||
Historically, the market for uranium has experienced significant price fluctuations. Prices are significantly impacted by global supply and demand, which is affected by 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. Increases or decreases in prices received could have a significant impact on the Company's future results of operations. | ||||||||||||||
Reclassifications | ' | |||||||||||||
Reclassifications | ||||||||||||||
Certain reclassifications have been made to the prior years' financial statements to conform to the current year presentation. These reclassifications had no effect on previously reported results of operations or retained earnings. | ||||||||||||||
Recently Issued Accounting Pronouncements | ' | |||||||||||||
Recently Issued Accounting Pronouncements | ||||||||||||||
In January 2013, the Financial Accounting Standards Board ("FASB") issued ASU No. 2013-01, "Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities." ASU 2013-01 states the intended scope of disclosures required by ASU No. 2011-11 "Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities" apply to derivatives and hedging transactions. This pronouncement is effective for fiscal years, and interim periods within those years, beginning after January 1, 2013. The adoption of this guidance is not anticipated to have an effect on the Company's consolidated financial position, results of operations, or cash flows. | ||||||||||||||
BASIS_OF_PRESENTATION_AND_SUMM2
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | |||||||||||||
Schedule of change in the balance of the asset retirement obligation | ' | |||||||||||||
December 31, | ||||||||||||||
2013 | 2012 | |||||||||||||
Reserve for future restoration and reclamation costs at January 1 | $ | 4,498,057 | $ | 4,735,759 | ||||||||||
Changes in cash flow estimates | 584,025 | 1,444,406 | ||||||||||||
Costs incurred | (1,638,214 | ) | (1,767,289 | ) | ||||||||||
Accretion expense | 389,740 | 85,181 | ||||||||||||
| | | | | | | | |||||||
Reserve for future restoration and reclamation costs at December 31, | $ | 3,833,608 | $ | 4,498,057 | ||||||||||
| | | | | | | | |||||||
| | | | | | | | |||||||
Schedule of liabilities measured at fair value on a recurring basis | ' | |||||||||||||
Liabilities | Quoted | Significant | Significant | |||||||||||
at Fair Value, | Prices in | Other | Unobservable | |||||||||||
December 31 | Active | Observable | Inputs | |||||||||||
Markets | Inputs | (Level 3) | ||||||||||||
(Level 1) | (Level 2) | |||||||||||||
December 31, 2013: | ||||||||||||||
Derivative liability—convertible debenture | $ | 2,169,408 | $ | — | $ | 2,169,408 | $ | — | ||||||
| | | | | | | | | | | | | | |
Total | $ | 2,169,408 | $ | — | $ | 2,169,408 | $ | — | ||||||
| | | | | | | | | | | | | |
PROPERTY_PLANT_AND_EQUIPMENT_T
PROPERTY, PLANT AND EQUIPMENT (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
PROPERTY, PLANT AND EQUIPMENT | ' | |||||||
Schedule of property, plant and equipment | ' | |||||||
Property, Plant and | ||||||||
Equipment Balances, net | ||||||||
At December 31, | ||||||||
2013 | 2012 | |||||||
(Restated) | ||||||||
Uranium plant | $ | 9,344,000 | $ | 9,532,000 | ||||
Permits and licenses | — | 174,000 | ||||||
Mineral rights and properties | 19,750,000 | 20,872,000 | ||||||
Evaluation and delineation | — | 2,022,000 | ||||||
Vehicles/depreciable equipment | 1,530,000 | 1,435,000 | ||||||
Other property, plant and equipment | 217,000 | 705,000 | ||||||
| | | | | | | | |
Total | $ | 30,841,000 | $ | 34,740,000 | ||||
| | | | | | | | |
Summary of impairment expense by project | ' | |||||||
Year Ended | ||||||||
2013 | 2012 | |||||||
(Restated) | ||||||||
Kingsville Dome Project | $ | 473,525 | $ | 919,414 | ||||
Rosita Project | 2,820,836 | 138,856 | ||||||
Vasquez Project | 276,161 | 679,089 | ||||||
Ambrosia Lake Project | 511,878 | — | ||||||
Other | 12,212 | — | ||||||
| | | | | | | | |
Total Impairment | $ | 4,094,612 | $ | 1,737,359 | ||||
| | | | | | | |
DEBT_Tables
DEBT (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
DEBT | ' | |||||||
Summary of long-term debt | ' | |||||||
At December 31, | ||||||||
2013 | 2012 | |||||||
Long-term debt of the Company consists of: | ||||||||
Resource Capital Funds—Convertible Debt Facility | $ | 3,000,000 | $ | — | ||||
Note Payable | — | 5,000,000 | ||||||
Capital leases | 15,038 | 129,722 | ||||||
| | | | | | | | |
3,015,038 | 5,129,722 | |||||||
Less—current portion | (10,543 | ) | (5,112,140 | ) | ||||
| | | | | | | | |
Total long-term debt, including capital leases | $ | 3,004,495 | $ | 17,582 | ||||
| | | | | | | | |
Schedule of maturities of long-term debt and capital leases | ' | |||||||
For the Twelve Months Ended: | Long-term Debt | Capital Leases | ||||||
December 31, 2014 | $ | 4,495 | $ | 24,154 | ||||
December 31, 2015 | — | 4,578 | ||||||
December 31, 2016 | 3,000,000 | — | ||||||
December 31, 2017 | — | — | ||||||
December 31, 2018 and beyond | — | — | ||||||
| | | | | | | | |
Totals | $ | 3,004,495 | $ | 28,732 | ||||
Less amounts representing imputed interest | (18,156 | ) | ||||||
| | | | | | | | |
Present value of future payments | $ | 10,576 | ||||||
| | | | | | | | |
Schedule of assumptions used in calculation of the derivative liability using the Black-Scholes option pricing model | ' | |||||||
Risk-free interest rate | 0.61% - 0.78% | |||||||
Expected life of derivative liability | 3.00 - 3.12 years | |||||||
Expected volatility | 94% - 97% | |||||||
Dividend rate | 0.00% | |||||||
Schedule of changes in the derivative liability related to the conversion feature | ' | |||||||
December 31, 2013 | Financial Statement Location | |||||||
Balance, December 31, 2012 | $ | — | ||||||
Fair value at inception | 2,061,794 | |||||||
Change in fair value of derivative liability | 107,614 | Change in fair value of derivative liability | ||||||
| | | | | | |||
Balance, December 31, 2013 | $ | 2,169,408 | Derivative liability—convertible debenture | |||||
| | | | | | |||
Schedule of change in the convertible debentures | ' | |||||||
December 31, | ||||||||
2013 | ||||||||
Balance, December 31, 2012 | $ | — | ||||||
Discounted convertible debentures | 938,206 | |||||||
Amortization of discount | 86,509 | |||||||
| | | | | ||||
Balance, December 31, 2013 | $ | 1,024,715 | ||||||
| | | | |
STOCK_BASED_COMPENSATION_Table
STOCK BASED COMPENSATION (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
STOCK BASED COMPENSATION | ' | ||||||||||||||||
Schedule of assumptions used to estimate fair value of stock options granted to employees and directors | ' | ||||||||||||||||
The fair value of stock options granted to employees and directors was estimated on the dates of the grants using the Black-Sholes option pricing model with the following assumptions used for the grants made during 2013: | |||||||||||||||||
Risk free rate | 1.40% - 2.63% | ||||||||||||||||
Expected life | 5.7 - 7.8 years | ||||||||||||||||
Expected volatility | 84% - 111% | ||||||||||||||||
Expected dividend yield | 0.00% | ||||||||||||||||
Summary of stock options outstanding and changes during the period | ' | ||||||||||||||||
Outstanding Options | |||||||||||||||||
Number of | Weighted | Weighted Average | Aggregate | ||||||||||||||
Shares | Average | Remaining | Intrinsic | ||||||||||||||
Exercise Price | Contractual Term | Value | |||||||||||||||
(Years) | |||||||||||||||||
Options outstanding at January 1, 2013 | 317,270 | $ | 24.62 | ||||||||||||||
Granted | 65,000 | 2.86 | |||||||||||||||
Exercised | — | — | |||||||||||||||
Canceled or forfeited | (72,791 | ) | 25.9 | ||||||||||||||
| | | | | | | | | | | | | | ||||
Options outstanding at December 31, 2013 | 309,479 | $ | 19.75 | 3.91 | $ | 16,700 | |||||||||||
| | | | | | | | | | | | | | ||||
Options exercisable at December 31, 2013 | 226,980 | $ | 25.57 | 2.01 | $ | — | |||||||||||
| | | | | | | | | | | | | | ||||
Schedule of stock options outstanding and currently exercisable | ' | ||||||||||||||||
Stock options outstanding and currently exercisable at December 31, 2013 are as follows: | |||||||||||||||||
Outstanding Options | |||||||||||||||||
Options Exercisable | |||||||||||||||||
Weighted Average | |||||||||||||||||
Remaining | |||||||||||||||||
Contractual Life | |||||||||||||||||
Stock Option Plan | Number of | (in years) | Weighted | Number of | Weighted Average | ||||||||||||
Options | Average | Options | Exercise Price | ||||||||||||||
Outstanding | Exercise Price | Exercisable | |||||||||||||||
1995 Stock Incentive Plan | 145,906 | 0.6 | $ | 13.46 | 145,906 | $ | 13.46 | ||||||||||
2004 Stock Incentive Plan | 85,241 | 7.5 | 13.92 | 29,408 | 34.74 | ||||||||||||
2004 Director's Plan | 78,332 | 6.1 | 37.81 | 51,666 | 54.57 | ||||||||||||
| | | | | | | | | | | | | | | | | |
309,479 | 3.9 | $ | 19.75 | 226,980 | $ | 25.57 | |||||||||||
| | | | | | | | | | | | | | | | | |
Summary of the status of non-vested restricted shares | ' | ||||||||||||||||
Number of | Weighted | ||||||||||||||||
Shares | Average | ||||||||||||||||
Grant Date | |||||||||||||||||
Fair Value | |||||||||||||||||
Non-vested at December 31, 2011 | 33,315 | $ | 12 | ||||||||||||||
| | | | | | | | ||||||||||
Granted | 40,727 | $ | 7.44 | ||||||||||||||
Vested | (33,172 | ) | $ | 10.1 | |||||||||||||
| | | | | | | | ||||||||||
Non-vested at December 31, 2012 | 40,870 | $ | 9.1 | ||||||||||||||
| | | | | | | | ||||||||||
Granted | 330,000 | $ | 3.22 | ||||||||||||||
Forfeited | (4,220 | ) | $ | 12.74 | |||||||||||||
Vested | (32,499 | ) | $ | 4.85 | |||||||||||||
| | | | | | | | ||||||||||
Non-vested at December 31, 2013 | 334,151 | $ | 3.66 | ||||||||||||||
| | | | | | | | ||||||||||
| | | | | | | | ||||||||||
FEDERAL_INCOME_TAXES_Tables
FEDERAL INCOME TAXES (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
FEDERAL INCOME TAXES | ' | |||||||
Schedule of components of future tax assets and liabilities | ' | |||||||
December 31, | ||||||||
2013 | 2012 | |||||||
Deferred tax assets: | ||||||||
Non-Current: | ||||||||
Net operating loss carryforwards | $ | 63,539,000 | $ | 58,720,000 | ||||
Mineral properties | 14,153,000 | 12,230,000 | ||||||
Equipment & Furniture | 127,000 | — | ||||||
Restoration Reserves | 1,303,000 | (2,681,000 | ) | |||||
Derivatives | 37,000 | — | ||||||
| | | | | | | | |
Deferred tax assets | 79,159,000 | 68,269,000 | ||||||
Valuation allowance | (78,544,000 | ) | (67,975,000 | ) | ||||
| | | | | | | | |
Net | $ | 615,000 | $ | 294,000 | ||||
| | | | | | | | |
Deferred tax liabilities: | ||||||||
Current: | ||||||||
Prepaids and other | $ | 50,000 | $ | — | ||||
| | | | | | | | |
50,000 | — | |||||||
| | | | | | | | |
Non-Current: | ||||||||
Equipment & Furniture | (665,000 | ) | (294,000 | ) | ||||
| | | | | | | | |
(665,000 | ) | (294,000 | ) | |||||
| | | | | | | | |
Deferred tax liabilities | (615,000 | ) | (294,000 | ) | ||||
| | | | | | | | |
Net deferred tax asset (liability) | $ | — | $ | — | ||||
| | | | | | | | |
| | | | | | | | |
Schedule of composition of valuation allowance by tax jurisdiction | ' | |||||||
December 31, | ||||||||
2013 | 2012 | |||||||
United States | $ | 78,544,000 | $ | 67,975,000 | ||||
Other Countries | — | — | ||||||
| | | | | | | | |
Total valuation allowance | $ | 78,544,000 | $ | 67,975,000 | ||||
| | | | | | | | |
| | | | | | | | |
Schedule of components of net loss from continuing operations before income taxes | ' | |||||||
Year ended December 31, | ||||||||
2013 | 2012 | |||||||
United States | $ | (20,294,000 | ) | $ | (19,361,000 | ) | ||
Other Countries | — | — | ||||||
| | | | | | | | |
$ | (20,294,000 | ) | $ | (19,361,000 | ) | |||
| | | | | | | | |
| | | | | | | | |
Schedule of reconciliation of expected income tax on net income at statutory rates | ' | |||||||
Year ended December 31, | ||||||||
2013 | 2012 | |||||||
Net loss | $ | (20,294,000 | ) | $ | (19,361,000 | ) | ||
Statutory tax rate | 34 | % | 34 | % | ||||
| | | | | | | | |
Tax recovery at statutory rate | (6,900,000 | ) | (6,583,000 | ) | ||||
Change in tax rates | 636,000 | — | ||||||
Mineral property adjustments | (4,210,000 | ) | ||||||
Stock based compensation | 416,000 | — | ||||||
Operating loss carryfoward adjustment | 636,000 | |||||||
Nondeductible write-offs | 126,000 | — | ||||||
Change in valuation allowance | 9,296,000 | 6,583,000 | ||||||
| | | | | | | | |
Income tax expense (recovery) | $ | — | $ | — | ||||
| | | | | | | |
OTHER_LONGTERM_LIABILITIES_AND1
OTHER LONG-TERM LIABILITIES AND DEFERRED CREDITS (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
OTHER LONG-TERM LIABILITIES AND DEFERRED CREDITS | ' | |||||||
Schedule of other long-term liabilities and deferred credits | ' | |||||||
At December 31, | ||||||||
2013 | 2012 | |||||||
Royalties payable(1) | $ | 500,000 | $ | 500,000 | ||||
Crownpoint property(1) | 450,000 | 450,000 | ||||||
GE purchase contract(2) | 400,000 | — | ||||||
| | | | | | | | |
$ | 1,350,000 | $ | 950,000 | |||||
| | | | | | | | |
-1 | ||||||||
Royalties payble and Crownpoint property liability were derived during prior years of production. Liabilities do not accrue interest or have a stated maturity date. | ||||||||
-2 | ||||||||
Balance is due on August 1, 2015. | ||||||||
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
COMMITMENTS AND CONTINGENCIES | ' | ||||||||||||||||
Schedule of operating lease payments due by period | ' | ||||||||||||||||
Payment Due by Period | |||||||||||||||||
Operating Leases | Total | Less than 1 year | 1 - 3 years | 4 - 5 years | More than 5 years | ||||||||||||
Office space | 1,072,471 | 273,307 | 708,733 | 90,431 | — | ||||||||||||
| | | | | | | | | | | | | | | | | |
$ | 1,072,471 | $ | 273,307 | $ | 708,733 | $ | 90,431 | $ | — | ||||||||
| | | | | | | | | | | | | | | | |
DESCRIPTION_OF_THE_COMPANY_Det
DESCRIPTION OF THE COMPANY (Details) | 12 Months Ended |
Dec. 31, 2013 | |
property | |
facility | |
DESCRIPTION OF THE COMPANY | ' |
Number of licensed processing facilities | 2 |
Maximum uranium entity licensed to produce (in pounds per year) | 3,000,000 |
Period over which properties were acquired | '20 years |
Number of properties currently in production | 0 |
BASIS_OF_PRESENTATION_AND_SUMM3
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) | 0 Months Ended | ||
Jan. 22, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | |
Reverse Stock Split | ' | ' | ' |
Reverse stock split ratio | 0.1 | ' | ' |
Common stock outstanding before reverse stock split (in shares) | 161,100,000 | ' | ' |
Common stock, shares outstanding | 16,100,000 | 19,820,258 | 16,150,163 |
BASIS_OF_PRESENTATION_AND_SUMM4
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 2) (USD $) | 12 Months Ended | 1 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Feb. 28, 2013 | Jan. 31, 2013 | |
Lexon | Lexon | |||
Restricted Cash | ' | ' | ' | ' |
Certificates of deposit and money market accounts | $4,011,000 | $9,492,000 | ' | ' |
Change in the balance of the asset retirement obligation | ' | ' | ' | ' |
Reserve for future restoration and reclamation costs at the beginning of the period | 4,498,057 | 4,735,759 | ' | ' |
Changes in cash flow estimates | 584,025 | 1,444,406 | ' | ' |
Costs incurred | -1,638,214 | -1,767,289 | ' | ' |
Accretion expense | 389,740 | 85,181 | ' | ' |
Reserve for future restoration and reclamation costs at the end of the period | 3,833,608 | 4,498,057 | ' | ' |
Contingent Liabilities - Off Balance Sheet Arrangements | ' | ' | ' | ' |
New surety bonds | ' | ' | 9,000,000 | ' |
Required collateral as a percentage of bond amount (as a percent) | ' | ' | 40.00% | ' |
Cash collateral for financial surety instruments | $4,010,937 | $9,491,865 | $3,600,000 | $9,000,000 |
BASIS_OF_PRESENTATION_AND_SUMM5
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 3) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Fair Value of Financial Instruments | ' | ' |
Estimated fair value of the Derivative Liability | $2,169,408 | ' |
Earnings Per Share | ' | ' |
Dilutive securities (in shares) | 0 | 0 |
Potential dilutive common stock excluded from the calculation of diluted earnings per share (in shares) | 1,380,826 | 403,274 |
Recurring basis | ' | ' |
Fair value of financial instruments | ' | ' |
Liabilities at Fair Value | 2,169,408 | ' |
Recurring basis | Derivative liability - convertible debenture | ' | ' |
Fair value of financial instruments | ' | ' |
Liabilities at Fair Value | 2,169,408 | ' |
Recurring basis | Significant Other Observable Inputs (Level 2) | ' | ' |
Fair value of financial instruments | ' | ' |
Liabilities at Fair Value | 2,169,408 | ' |
Recurring basis | Significant Other Observable Inputs (Level 2) | Derivative liability - convertible debenture | ' | ' |
Fair value of financial instruments | ' | ' |
Liabilities at Fair Value | $2,169,408 | ' |
LIQUIDITY_Details
LIQUIDITY (Details) (USD $) | 12 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | ||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2012 | Feb. 01, 2014 | Oct. 31, 2011 | Oct. 28, 2011 | Nov. 13, 2013 | Dec. 31, 2013 | Nov. 13, 2013 | Nov. 13, 2013 | Nov. 13, 2013 | Nov. 13, 2013 | Nov. 13, 2013 | Mar. 01, 2014 | Feb. 12, 2014 | Jan. 31, 2014 | Jan. 31, 2014 | Feb. 01, 2014 | Jan. 29, 2014 | Feb. 04, 2014 | Feb. 04, 2014 | |
BTIG, LLC | BTIG, LLC | BTIG, LLC | BTIG, LLC | Loan Agreement | Loan Agreement | Loan Agreement | Loan Agreement | Loan Agreement | Loan Agreement | Loan Agreement | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | ||||
ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | RCF | RCF | RCF | Tranche one | Tranche one | Tranche two | Tranche three | Registered direct offering | BTIG, LLC | BTIG, LLC | BTIG, LLC | Loan Agreement | Loan Agreement | Loan Agreement | |||||
Maximum | Maximum | Maximum | Secured convertible loan facility | Secured convertible loan facility | Secured convertible loan facility | RCF | RCF | RCF | RCF | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | RCF | Tranche one | Tranche one | |||||||
tranch | tranch | Maximum | Secured convertible loan facility | Secured convertible loan facility | Secured convertible loan facility | RCF | RCF | |||||||||||||||
Secured convertible loan facility | ||||||||||||||||||||||
LIQUIDITY | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | $1,117,303 | $4,664,596 | $2,890,263 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $11,200,000 | ' | ' | ' | ' | ' | ' | ' |
Uranium inventory | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15,000,000 | ' | 5,000,000 | 5,000,000 | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of tranches | ' | ' | ' | ' | ' | ' | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from borrowings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,000,000 | 2,000,000 |
Number of additional tranches | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate offering price of the shares of common stock available to be sold under ATM Sales Agreement | ' | ' | ' | ' | 15,000,000 | 15,000,000 | 15,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7,100,000 | ' | ' | ' |
Shares of common stock sold | ' | ' | ' | 970,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,960,000 | 523,350 | 523,350 | ' | 7,500,000 | ' | ' |
Net proceeds from sale of shares of common stock | 3,599,432 | 20,264,692 | ' | 5,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,472,320 | 1,900,000 | 1,900,000 | ' | ' | ' | ' |
Sale of common stock in a registered direct offering | $3,599,432 | $20,264,692 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $10,300,000 | ' | ' | ' | ' | ' | ' |
Price per share (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2.60 | ' | ' | ' | ' | ' | ' |
PROPERTY_PLANT_AND_EQUIPMENT_D
PROPERTY, PLANT AND EQUIPMENT (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | $30,840,899 | $34,739,746 |
Percentage of reduction in market prices of long-term uranium | 12.00% | ' |
Impairment provision | 4,094,612 | 1,737,359 |
Book value | 96,407,310 | 100,058,667 |
Kingsville Dome Project | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Impairment provision | 473,525 | 919,414 |
Gross area on which entity has mineral leases (in acres) | 2,434 | ' |
Net area on which entity has mineral leases (in acres) | 2,227 | ' |
Kingsville Dome Project | Minimum | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 6.25% | ' |
Annual per acre royalty payable to extend leases not held by production (in dollars per acre) | 10 | ' |
Kingsville Dome Project | Maximum | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 9.38% | ' |
Annual per acre royalty payable to extend leases not held by production (in dollars per acre) | 30 | ' |
Rosita Project | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Impairment provision | 2,820,836 | 138,856 |
Gross area on which entity has mineral leases (in acres) | 3,377 | ' |
Net area on which entity has mineral leases (in acres) | 3,377 | ' |
Vasquez Project | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Impairment provision | 276,161 | 679,089 |
Gross area on which entity has mineral leases (in acres) | 872 | ' |
Net area on which entity has mineral leases (in acres) | 872 | ' |
Vasquez Project | Minimum | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 6.25% | ' |
Specified price per pound for uranium sales on which royalty is payable at specified percentage (in dollars per pound) | 40 | ' |
Vasquez Project | Maximum | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 10.25% | ' |
Specified price per pound for uranium sales on which royalty is payable at specified percentage (in dollars per pound) | 25 | ' |
Ambrosia Lake Project | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Impairment provision | 511,878 | ' |
Other | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Impairment provision | 12,212 | ' |
Rosita South | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Gross area on which entity has mineral leases (in acres) | 1,795 | ' |
Net area on which entity has mineral leases (in acres) | 1,479 | ' |
Rosita Project and Rosita South Property | Minimum | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 6.25% | ' |
Annual per acre royalty payable to extend leases not held by production (in dollars per acre) | 10 | ' |
Rosita Project and Rosita South Property | Maximum | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 18.25% | ' |
Specified price per pound for uranium sales on which royalty is payable at specified percentage (in dollars per pound) | 80 | ' |
Annual per acre royalty payable to extend leases not held by production (in dollars per acre) | 30 | ' |
Los Finados Project | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Gross area on which entity has mineral leases (in acres) | 53,524 | ' |
Los Finados/Tecolote Project | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Net area on which entity has mineral leases (in acres) | 22,700 | ' |
Extension of exploration lease term | '2 years | ' |
Churchrock Project | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Gross area on which entity has mineral leases (in acres) | 3,458 | ' |
Net area on which entity has mineral leases (in acres) | 3,458 | ' |
Number of parcels | 3 | ' |
Churchrock Project | Section 17 and Mancos | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 33.00% | ' |
Overriding royalty obligation (as a percent) | 2.00% | ' |
Churchrock Project | Section 17 and Mancos | Minimum | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 5.00% | ' |
Churchrock Project | Section 17 and Mancos | Maximum | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 6.25% | ' |
Crownpoint Project | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Gross area on which entity has mineral leases (in acres) | 640 | ' |
Net area on which entity has mineral leases (in acres) | 556 | ' |
Annual maintenance fee per claim (in dollars per claim) | 140 | ' |
Crownpoint Project | Gallup, New Mexico | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Distance of property from a specified location (in miles) | 35 | ' |
Crownpoint Project | Churchrock deposits | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Distance of property from a specified location (in miles) | 22 | ' |
Crownpoint Project | Northwest section 9 | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Percentage of section the Company holds mineral rights | 25.00% | ' |
Number of unpatented mining claims owned by entity | 9 | ' |
Crownpoint Project | Southwest section 24 | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Percentage of section the Company holds mineral rights | 25.00% | ' |
Number of unpatented mining claims owned by entity | 10 | ' |
Crownpoint Project | Southeast section 24 | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Interest earned in project in consideration of investment (as a percent) | 40.00% | ' |
Area of land in which mineral fee interest acquired by entity (in acres) | 140 | ' |
Percentage of mineral fee interest Company owns on additional acres | 100.00% | ' |
Additional area of land in which fee interest acquired by entity (in acres) | 20 | ' |
Percentage of section the Company holds mineral rights | 25.00% | ' |
Number of unpatented mining claims owned by entity | 2 | ' |
Crownpoint Project | Northeast section 25 | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Percentage of section the Company holds mineral rights | 25.00% | ' |
Number of unpatented mining claims owned by entity | 8 | ' |
Nose Rock Project | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Area covered under lease (in acres) | 6,400 | ' |
Royalties on lease based upon a percentage of uranium sales held by others (as a percent) | 0.00% | ' |
Interest earned in project in consideration of investment (as a percent) | 0.00% | ' |
Nose Rock Project | Gallup, New Mexico | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Distance of property from a specified location (in miles) | 45 | ' |
West Largo | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Interest earned in project in consideration of investment (as a percent) | 100.00% | ' |
Annual maintenance fee per claim (in dollars per claim) | 140 | ' |
Area covered under lease (in acres) | 3,840 | ' |
West Largo | Sections 20 and 28 | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Number of unpatented mining claims owned by entity | 75 | ' |
West Largo | Sections 17, 19, 21 and 29 | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Number of sections of fee mineral rights | 4 | ' |
West Largo | Section 29 | Elkins Ranch | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 2.50% | ' |
Roca Honda Projects | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Area covered under lease (in acres) | 3,085 | ' |
Roca Honda Projects | San Mateo in McKinley County, New Mexico | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Distance of property from a specified location (in miles) | 4 | ' |
Roca Honda Projects | Section 8 | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Number of unpatented mining claims owned by entity | 36 | ' |
Roca Honda Projects | Section 11 | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Number of unpatented mining claims owned by entity | 31 | ' |
Cebolleta Property | Neutron | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Area covered under lease (in acres) | 6,717 | ' |
Lease term | '10 years | ' |
Initial payments per lease agreement | 5,000,000 | ' |
Amount used in the calculation of recoverable reserve payment | 1 | ' |
Annual advanced royalty payments | 500,000 | ' |
Cebolleta Property | Neutron | Minimum | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 4.50% | ' |
Cebolleta Property | Neutron | Maximum | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 8.00% | ' |
Feasibility study term | '6 years | ' |
Annual advance royalties previously paid | 1,500,000 | ' |
Amount of deduction to the recoverable reserve payment | 6,500,000 | ' |
Juan Tafoya | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Area of land in which mineral fee interest acquired by entity (in acres) | 4,097 | ' |
Lease term | '10 years | ' |
Initial payments per lease agreement | 1,250,000 | ' |
Annual rental payments for the first five years of the lease | 225,000 | ' |
Number of years the payment is at a specified amount | 5 | ' |
Annual rental payments for the second five years of the lease | 337,500 | ' |
Annual base rent per acre (in dollars per acre) | 75 | ' |
Threshold market price of uranium drops for termination of lease (in dollars per pound) | 25 | ' |
Juan Tafoya | Minimum | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 4.65% | ' |
Juan Tafoya | Maximum | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Royalties on lease based upon a percentage of uranium sales (as a percent) | 6.50% | ' |
Juan Tafoya | Albuquerque | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Distance of property from a specified location (in miles) | 45 | ' |
Juan Tafoya | Laguna | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Distance of property from a specified location (in miles) | 25 | ' |
Uranium plant | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | 9,344,000 | 9,532,000 |
Impairment expense related to change in estimates | 584,025 | 1,444,405 |
Uranium plant | Kingsville Dome Project | South Texas | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | 800,000 | ' |
Amount book value exceeds net realizable sales value | 80,000 | ' |
Impairment provision | 80,000 | ' |
Book value | 2,800,000 | ' |
Dismantling/decontamination liability | 2,000,000 | ' |
Uranium plant | Churchrock Project | South Texas | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | 8,400,000 | ' |
Period of average historical contract price considered for undiscounted cash flow analysis | '3 years | ' |
Average historical contract price (in dollars per lb) | 60.56 | ' |
Impairment provision | 0 | ' |
Permits and licenses | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | ' | 174,000 |
Mineral rights and properties | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | 19,750,000 | 20,872,000 |
Mineral rights and properties | South Texas | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Average historical contract price (in dollars per lb) | 50 | ' |
Impairment provision | 2,807,166 | ' |
Mineral rights and properties | New Mexico | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | 19,700,000 | ' |
Average historical contract price (in dollars per lb) | 0.42 | ' |
Carrying amount of mineral properties that the entity has decided to abandon | 524,090 | ' |
Impairment provision | 0 | ' |
Average current contract price (in dollars per lb) | 0.5 | ' |
Evaluation and delineation | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | ' | 2,022,000 |
Vehicles/depreciable equipment | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | 1,530,000 | 1,435,000 |
Other property, plant and equipment | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | $217,000 | $705,000 |
CONTRACT_COMMITMENTS_Details
CONTRACT COMMITMENTS (Details) | 1 Months Ended | |
Mar. 31, 2006 | Dec. 31, 2012 | |
lb | lb | |
Itochu | ' | ' |
CONTRACT COMMITMENTS | ' | ' |
Percentage of actual production from properties in Texas currently owned or hereafter acquired, required to be delivered | 50.00% | ' |
Total Uranium deliveries from inception of the contracts through December 31, 2012 (in pounds) | ' | 510,000 |
UG | ' | ' |
CONTRACT COMMITMENTS | ' | ' |
Percentage of actual production from properties in Texas currently owned or hereafter acquired, required to be delivered | 50.00% | ' |
Total Uranium deliveries from inception of the contracts through December 31, 2012 (in pounds) | ' | 480,000 |
Amount reduced from average spot price for the eight weeks prior to the date of delivery to determine the sale price of Texas production (in dollars per pound) | 6 | ' |
Amount of sale in a particular delivery year at a price equal to the month-end long-term contract price for the second month prior to the month of delivery less $6 per pound until specified amount of Texas production is sold (in pounds) | 600,000 | ' |
Aggregate amount of sale to be made at a price equal to the month-end long-term contract price for the second month prior to the month of delivery less $6 per pound until specified amount of Texas production is sold (in pounds) | 3,000,000 | ' |
Percentage of amount reduced from the average spot price for a period prior to the date of delivery at which right of first refusal to purchase other Texas production can be exercised | 4.00% | ' |
CONTRACT_COMMITMENTS_Details_2
CONTRACT COMMITMENTS (Details 2) (Supply contract, Itochu) | 1 Months Ended |
Jul. 31, 2013 | |
lb | |
Supply contract | Itochu | ' |
Supply Commitment | ' |
Percentage of production from the Company's Vasquez, Rosita or Kingsville properties purchased by party | 50.00% |
Maximum commitment to supply number of units of U3O8 (in pounds) | 3,000,000 |
Discount percentage when the market price is $56.50 per pound of U3O8 or less | 5.00% |
Market price (in dollars per pound) | 56.5 |
Discount percentage when the market price is greater than $56.50 per pound | 7.00% |
DEBT_Details
DEBT (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Mar. 31, 2013 | Dec. 31, 2013 | Nov. 13, 2013 | Nov. 13, 2013 | Nov. 13, 2013 | Nov. 13, 2013 | Nov. 13, 2013 | Nov. 13, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
Short-Term Financing | Short-Term Financing | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Convertible Debt Facility | |||
RCF | RCF | RCF | Tranche one | Secured convertible loan facility | Secured convertible loan facility | Secured convertible loan facility | Secured convertible loan facility | Secured convertible loan facility | Period through January 29, 2014 | Period after January 29, 2014 | RCF | |||
Rights offering | RCF | RCF | RCF | Tranche one | Tranche two | Tranche three | RCF | RCF | ||||||
tranch | Maximum | RCF | RCF | RCF | ||||||||||
Debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | $15,000,000 | $5,000,000 | $5,000,000 | $5,000,000 | ' | ' | ' |
Number of tranches | ' | ' | ' | ' | ' | ' | 3 | ' | ' | ' | ' | ' | ' | ' |
Proceeds from borrowings | ' | ' | ' | ' | ' | 3,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of debt financing | ' | ' | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Annualized interest rate (as a percent) | ' | ' | 10.00% | ' | 12.00% | ' | ' | ' | ' | ' | ' | 12.00% | 10.00% | ' |
Price at which principal amounts of the debt are convertible into shares, at any time prior to the maturity date of December 31, 2016 (in dollars per share) | ' | ' | ' | ' | $2.60 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Floor conversion price, subject to customary anti-dilution adjustments and further downward adjustment (in dollars per share) | ' | ' | ' | ' | $1 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loan establishment fee | ' | ' | 160,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock issued for payment of loan establishment fee | ' | ' | 42,884 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period for which volume weighted average price was considered to determine shares issuable | ' | ' | '20 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Volume weighted average price (in dollars per share) | ' | ' | $3.73 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt repaid | ' | ' | ' | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock issued upon conversion | ' | ' | ' | 1,960,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt of the Company consists of: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Resource Capital Funds - Convertible Debt Facility | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,000,000 |
Note Payable | ' | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Capital leases | 15,038 | 129,722 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt including current portion | 3,015,038 | 5,129,722 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Less - Current portion | -10,543 | -5,112,140 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total long-term debt, including capital leases | $3,004,495 | $17,582 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
DEBT_Details_2
DEBT (Details 2) (USD $) | Dec. 31, 2013 |
Long-term Debt | ' |
31-Dec-14 | $4,495 |
31-Dec-16 | 3,000,000 |
Totals | 3,004,495 |
Capital Leases | ' |
31-Dec-14 | 24,154 |
31-Dec-15 | 4,578 |
Totals | 28,732 |
Less amounts representing imputed interest | -18,156 |
Present value of future payments | $10,576 |
DEBT_Details_3
DEBT (Details 3) (USD $) | 12 Months Ended | 2 Months Ended | 12 Months Ended | 12 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Nov. 13, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | |
Facility | Facility | Facility | Facility | Facility | |||
RCF | RCF | RCF | RCF | RCF | |||
Minimum | Maximum | ||||||
Assumptions used in calculation of the derivative liability using the Black-Scholes option pricing model | ' | ' | ' | ' | ' | ' | ' |
Risk-free interest rate (as a percent) | ' | ' | ' | ' | ' | 0.61% | 0.78% |
Expected life of derivative liability | ' | ' | ' | ' | ' | '3 years | '3 years 1 month 13 days |
Expected volatility (as a percent) | ' | ' | ' | ' | ' | 94.00% | 97.00% |
Dividend rate (as a percent) | ' | ' | ' | 0.00% | ' | ' | ' |
Changes in the derivative liability related to the conversion feature | ' | ' | ' | ' | ' | ' | ' |
Balance at the beginning of the period | ' | ' | ' | ' | $2,061,794 | ' | ' |
Fair value at inception | ' | ' | ' | 2,061,794 | ' | ' | ' |
Change in fair value of derivative liability | ' | ' | ' | 107,614 | ' | ' | ' |
Balance at the end of the period | ' | ' | 2,169,408 | 2,169,408 | 2,061,794 | ' | ' |
Change in the convertible debentures | ' | ' | ' | ' | ' | ' | ' |
Discounted convertible debentures | ' | ' | 938,206 | 938,206 | ' | ' | ' |
Amortization of discount | ' | ' | ' | 86,509 | ' | ' | ' |
Balance at the end of the period | 1,024,715 | ' | 1,024,715 | 1,024,715 | ' | ' | ' |
Interest expense | $408,062 | $50,880 | $47,000 | ' | ' | ' | ' |
Annualized interest rate (as a percent) | ' | ' | 12.00% | 12.00% | ' | ' | ' |
SHAREHOLDERS_EQUITY_Details
SHAREHOLDERS' EQUITY (Details) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2013 | Dec. 31, 2012 | 31-May-08 | Oct. 31, 2011 | Dec. 31, 2012 | Jan. 31, 2014 | Jan. 31, 2014 | Feb. 01, 2014 | Feb. 01, 2014 | Oct. 31, 2011 | Oct. 28, 2011 | Jan. 31, 2013 | Sep. 05, 2012 | Mar. 09, 2012 | Mar. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | |
May 2008 equity infusion | BTIG | BTIG | BTIG | BTIG | BTIG | BTIG | BTIG | BTIG | Cormark Securities, Inc. | RCF | RCF | Rights offering | Rights offering | Rights offering | Rights offering | Rights offering | |||
ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | Neutron Energy, Inc. | Private placement | Private placement | rightpershare | RCF | RCF | RCF | RCF | ||||
Subsequent event | Subsequent event | Subsequent event | Maximum | Maximum | Maximum | Short term financing | Short term financing | Short term financing | Short term financing | ||||||||||
Number of subscription rights issued for each share of common stock owned or subject to a warrant | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' |
Number of shares of common stock entitled to be purchased for each subscription right | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.3119 | ' | ' | ' | ' |
Exercise price (in dollars per share) | ' | ' | $57.80 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2.55 | ' | ' | ' | ' |
Shares of common stock that can be purchased upon exercise of warrants | ' | ' | 990,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from sale of shares of common stock | $3,599,432 | $20,264,692 | ' | ' | $5,400,000 | $1,900,000 | $1,900,000 | ' | ' | ' | ' | ' | ' | ' | $8,900,000 | ' | ' | ' | ' |
Short term financing repaid | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,000,000 | ' | ' | ' |
Shares of common stock sold | ' | ' | ' | ' | 970,000 | 523,350 | 523,350 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31,343 |
Interest paid | 11,230 | 14,100 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 79,167 | 16,667 | ' |
Aggregate offering price of the shares of common stock available to be sold under ATM Sales Agreement | ' | ' | ' | ' | ' | ' | ' | 7,100,000 | 15,000,000 | 15,000,000 | 15,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of commission to be paid on the gross proceeds from the sale of shares under ATM Sales Agreement | ' | ' | ' | 3.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from sale of shares of common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,000,000 | 10,000,000 | ' | ' | ' | ' | ' |
Shares of common stock sold under private placement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 970,000 | 1,000,000 | ' | ' | ' | ' | ' |
Price per share under private placement (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3.50 | $5.16 | $9.75 | ' | ' | ' | ' | ' |
Shares issued in satisfaction of fees related to merger | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 83,200 | ' | ' | ' | ' | ' | ' | ' |
Fees related to merger for which the entity has issued shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $291,500 | ' | ' | ' | ' | ' | ' | ' |
STOCK_BASED_COMPENSATION_Detai
STOCK BASED COMPENSATION (Details) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | 6 Months Ended | 0 Months Ended | 0 Months Ended | 1 Months Ended | |||||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 27, 2013 | Jan. 16, 2013 | Mar. 12, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Mar. 12, 2013 | Mar. 12, 2013 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 04, 2013 | Jun. 04, 2013 | Jul. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2010 | Jun. 30, 2010 | Sep. 30, 2012 | |
plan | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Restricted stock | Restricted stock | Restricted stock | Restricted stock | Restricted stock | 2013 Omnibus Incentive Plan | 2013 Omnibus Incentive Plan | 2013 Omnibus Incentive Plan | 2013 Omnibus Incentive Plan | 2004 Stock Incentive Plan | 2004 Directors' Plan-Options | 2004 Directors' Plan-Options | 2004 Directors' Plan-Options | ||
Newly appointed non-employee director | Newly appointed non-employee director | President/CEO | Employees | Minimum | Minimum | Maximum | Maximum | President/CEO | Former Executive Officer | Former Executive Officer | Restricted stock units | Restricted stock units | Restricted stock units | Stock options | Stock options | ||||||||||
Employees | Employees | President/CEO | Non-employee Directors | Vice President-Finance and Chief Financial Officer | Non-employee Directors | Interim President and CEO | |||||||||||||||||||
Stock-Based Compensation Plans | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares available for future grants | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,045,721 | ' | ' | ' | ' | ' | ' | ' |
Stock compensation expense (in dollars) | $381,000 | $427,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $43,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | 65,000 | ' | ' | ' | 5,000 | 5,000 | 55,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20,000 |
Fair market value (in dollars per share) | ' | ' | ' | $6 | $2.66 | $3.30 | $1.98 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted stock granted (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 330,000 | 40,727 | 25,000 | 25,000 | ' | ' | 100,000 | 100,000 | 80,000 | ' | ' | ' | ' |
Vesting period | ' | ' | ' | ' | ' | ' | '3 years | ' | ' | '3 years | ' | '4 years | ' | ' | '3 years | ' | ' | ' | '3 years | '3 years | '3 years | ' | ' | ' | ' |
Fair value of award issued (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $3.22 | $7.44 | $2.73 | ' | ' | ' | $2.83 | $2.83 | $4.50 | ' | ' | ' | ' |
Number of stock incentive plans for employees | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares that may be issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 175,000 | 250,000 | ' | ' |
Contractual term | ' | ' | '10 years | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercise price per share (in dollars per share) | $2.86 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $4.10 |
Grant of options for the first time on election or appointment to the Board of Directors (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,500 | ' |
Grant of options on annual reelection to the Board of Directors (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,500 | ' |
Percentage of shares vesting on the first anniversary (6 months) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% |
Percentage of shares vesting on the second anniversary (12 months) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% |
Percentage of shares vesting on the third anniversary (18 months) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% |
Percentage of shares vesting on the fourth anniversary (24 months) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.00% |
Assumptions used to estimate fair value of stock options granted to employees and directors | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Risk-free interest rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | 1.40% | ' | 2.63% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected life | ' | ' | ' | ' | ' | ' | ' | ' | '5 years 8 months 12 days | ' | '7 years 9 months 18 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected volatility (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | 84.00% | ' | 111.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expected dividend yield (as a percent) | ' | ' | 0.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
STOCK_BASED_COMPENSATION_Detai1
STOCK BASED COMPENSATION (Details 2) (USD $) | 12 Months Ended |
Dec. 31, 2013 | |
Outstanding Options, Number of Shares | ' |
Outstanding at the beginning of the period (in shares) | 317,270 |
Granted (in shares) | 65,000 |
Canceled or forfeited (in shares) | -72,791 |
Outstanding at the end of the period (in shares) | 309,479 |
Exercisable at the end of the period (in shares) | 226,980 |
Outstanding Options, Weighted Average Exercise Price | ' |
Outstanding at the beginning of the period (in dollars per share) | $24.62 |
Granted (in dollars per share) | $2.86 |
Canceled or forfeited (in dollars per share) | $25.90 |
Outstanding at the end of the period (in dollars per share) | $19.75 |
Exercisable at the end of the period (in dollars per share) | $25.57 |
Outstanding Options, Weighted Average Remaining Contractual Term | ' |
Outstanding at the end of the period | '3 years 10 months 28 days |
Exercisable at the end of the period | '2 years 4 days |
Outstanding Options, Aggregate Intrinsic Value | ' |
Outstanding at the end of the period (in dollars) | $16,700 |
STOCK_BASED_COMPENSATION_Detai2
STOCK BASED COMPENSATION (Details 3) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Options Outstanding | ' | ' |
Number of options outstanding (in shares) | 309,479 | 317,270 |
Weighted Average Remaining Contractual Life | '3 years 10 months 28 days | ' |
Weighted Average Exercise price (in dollars per share) | $19.75 | $24.62 |
Options Exercisable | ' | ' |
Number of Options Exercisable (in shares) | 226,980 | ' |
Weighted Average Exercise Price (in dollars per share) | $25.57 | ' |
1995 Stock Incentive Plan | ' | ' |
Options Outstanding | ' | ' |
Number of options outstanding (in shares) | 145,906 | ' |
Weighted Average Remaining Contractual Life | '7 months 6 days | ' |
Weighted Average Exercise price (in dollars per share) | $13.46 | ' |
Options Exercisable | ' | ' |
Number of Options Exercisable (in shares) | 145,906 | ' |
Weighted Average Exercise Price (in dollars per share) | $13.46 | ' |
2004 Stock Incentive Plan | ' | ' |
Options Outstanding | ' | ' |
Number of options outstanding (in shares) | 85,241 | ' |
Weighted Average Remaining Contractual Life | '7 years 6 months | ' |
Weighted Average Exercise price (in dollars per share) | $13.92 | ' |
Options Exercisable | ' | ' |
Number of Options Exercisable (in shares) | 29,408 | ' |
Weighted Average Exercise Price (in dollars per share) | $34.74 | ' |
2004 Directors' Plan | ' | ' |
Options Outstanding | ' | ' |
Number of options outstanding (in shares) | 78,332 | ' |
Weighted Average Remaining Contractual Life | '6 years 1 month 6 days | ' |
Weighted Average Exercise price (in dollars per share) | $37.81 | ' |
Options Exercisable | ' | ' |
Number of Options Exercisable (in shares) | 51,666 | ' |
Weighted Average Exercise Price (in dollars per share) | $54.57 | ' |
STOCK_BASED_COMPENSATION_Detai3
STOCK BASED COMPENSATION (Details 4) (Stock options, USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Unrecognized compensation cost | ' | ' |
Total estimated unrecognized compensation cost (in dollars) | $182,000 | ' |
Contractual term | '10 years | ' |
Assumptions used to estimate fair value of stock options granted to employees and directors | ' | ' |
Fair market value (in dollars per share) | ' | $6 |
Minimum | ' | ' |
Unrecognized compensation cost | ' | ' |
Weighted average period for recognition of unrecognized compensation cost | '1 year | ' |
Assumptions used to estimate fair value of stock options granted to employees and directors | ' | ' |
Expected volatility (as a percent) | 84.00% | ' |
Risk-free interest rate (as a percent) | 1.40% | ' |
Expected life | '5 years 8 months 12 days | ' |
Maximum | ' | ' |
Unrecognized compensation cost | ' | ' |
Weighted average period for recognition of unrecognized compensation cost | '2 years | ' |
Assumptions used to estimate fair value of stock options granted to employees and directors | ' | ' |
Expected volatility (as a percent) | 111.00% | ' |
Risk-free interest rate (as a percent) | 2.63% | ' |
Expected life | '7 years 9 months 18 days | ' |
Grant in period, one | ' | ' |
Assumptions used to estimate fair value of stock options granted to employees and directors | ' | ' |
Fair market value (in dollars per share) | ' | $6.70 |
Expected volatility (as a percent) | ' | 72.00% |
Risk-free interest rate (as a percent) | ' | 0.50% |
Expected life | ' | '1 year |
Grant in period, two | ' | ' |
Assumptions used to estimate fair value of stock options granted to employees and directors | ' | ' |
Fair market value (in dollars per share) | ' | $5.20 |
Expected volatility (as a percent) | ' | 84.00% |
Risk-free interest rate (as a percent) | ' | 3.50% |
Expected life | ' | '7 years 8 months 12 days |
STOCK_BASED_COMPENSATION_Detai4
STOCK BASED COMPENSATION (Details 5) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | ||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Mar. 12, 2013 | Dec. 31, 2007 | Dec. 31, 2007 | |
Restricted stock | Restricted stock | Restricted stock | 2007 Restricted Stock Plan | 2007 Restricted Stock Plan | |||
President/CEO | Restricted stock | ||||||
Minimum | |||||||
Stock-Based Compensation Plans | ' | ' | ' | ' | ' | ' | ' |
Expiration term | ' | ' | ' | ' | ' | ' | '5 years |
Number of shares that may be issued | ' | ' | ' | ' | ' | 150,000 | ' |
Restricted stock granted (in shares) | ' | ' | 330,000 | 40,727 | 25,000 | ' | ' |
Stock compensation expense (in dollars) | $381,000 | $427,000 | ' | ' | ' | ' | ' |
Grant date fair value (per share) | ' | ' | $3.22 | $7.44 | $2.73 | ' | ' |
Vesting period | ' | ' | ' | ' | '3 years | ' | ' |
Shares vested | ' | ' | 32,499 | 33,172 | ' | ' | ' |
Total estimated unrecognized compensation cost (in dollars) | ' | ' | $816,000 | ' | ' | ' | ' |
Weighted average vesting period over which compensation cost is expected to be recognized | ' | ' | '1 year 6 months | ' | ' | ' | ' |
STOCK_BASED_COMPENSATION_Detai5
STOCK BASED COMPENSATION (Details 6) (Restricted stock, USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Restricted stock | ' | ' |
Number of Shares | ' | ' |
Balance at the beginning of the period (in shares) | 40,870 | 33,315 |
Granted (in shares) | 330,000 | 40,727 |
Forfeited (in shares) | -4,220 | ' |
Vested (in shares) | -32,499 | -33,172 |
Balance at the end of the period (in shares) | 31,480 | 40,870 |
Weighted Average Grant Date Fair Value | ' | ' |
Balance at the beginning of the period (in dollars per share) | $9.10 | $12 |
Granted (in dollars per share) | $3.22 | $7.44 |
Forfeited (in dollars per share) | $12.75 | ' |
Vested (in dollars per share) | $4.85 | $10.10 |
Balance at the end of the period (in dollars per share) | $3.66 | $9.10 |
FEDERAL_INCOME_TAXES_Details
FEDERAL INCOME TAXES (Details) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Non-Current: | ' | ' |
Net operating loss carryforwards | $63,539,000 | $58,720,000 |
Mineral properties | 14,153,000 | 12,230,000 |
Equipment & Furniture | 127,000 | ' |
Restoration Reserves | 1,303,000 | -2,681,000 |
Derivatives | 37,000 | ' |
Deferred tax assets | 79,159,000 | 68,269,000 |
Valuation allowance | -78,544,000 | -67,975,000 |
Net | 615,000 | 294,000 |
Current: | ' | ' |
Prepaids and other | 50,000 | ' |
Total | 50,000 | ' |
Non-Current: | ' | ' |
Equipment & Furniture | -665,000 | -294,000 |
Total | -665,000 | -294,000 |
Deferred tax liabilities | -615,000 | -294,000 |
Composition of valuation allowance by tax jurisdiction | ' | ' |
Valuation allowance | 78,544,000 | 67,975,000 |
Increase in valuation allowance | 9,300,000 | ' |
Percentage of valuation allowance recorded against the net deferred tax assets | 100.00% | ' |
United States | ' | ' |
Non-Current: | ' | ' |
Valuation allowance | -78,544,000 | -67,975,000 |
Composition of valuation allowance by tax jurisdiction | ' | ' |
Valuation allowance | $78,544,000 | $67,975,000 |
FEDERAL_INCOME_TAXES_Details_2
FEDERAL INCOME TAXES (Details 2) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Net operating loss carryforwards | ' | ' |
Net operating loss carryforwards associated with the Neutron merger | $27,300,000 | ' |
Components of net loss before income taxes | ' | ' |
United States | -20,294,000 | -19,361,000 |
Total | -20,294,000 | -19,361,000 |
Reconciliation of expected income tax on net income at statutory rates | ' | ' |
Net Loss | -20,293,803 | -19,360,853 |
Statutory tax rate (as a percent) | 34.00% | 34.00% |
Tax recovery at statutory rate | -6,900,000 | -6,583,000 |
Change in tax rates | 636,000 | ' |
Mineral property adjustments | -4,210,000 | ' |
Stock based compensation | 416,000 | ' |
Operating loss carryfoward adjustment | 636,000 | ' |
Nondeductible write-offs | 126,000 | ' |
Change in valuation allowance | 9,296,000 | 6,583,000 |
Number of previous years open in addition to current year | '3 years | ' |
U.S. | ' | ' |
Net operating loss carryforwards | ' | ' |
Net operating loss carryforwards | 181,800,000 | ' |
U.S. state jurisdictions | ' | ' |
Net operating loss carryforwards | ' | ' |
Net operating loss carryforwards | $50,000,000 | ' |
OTHER_LONGTERM_LIABILITIES_AND2
OTHER LONG-TERM LIABILITIES AND DEFERRED CREDITS (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Other long-term liabilities and deferred credits | ' | ' |
Royalties payable | $500,000 | $500,000 |
Crownpoint property | 450,000 | 450,000 |
GE purchase contract | 400,000 | ' |
Other long-term liabilities and deferred credits | $1,350,000 | $950,000 |
COMMITMENTS_AND_CONTINGENCIES_1
COMMITMENTS AND CONTINGENCIES (Details) (USD $) | 12 Months Ended |
Dec. 31, 2013 | |
Payments Due by period | ' |
Total | $1,072,471 |
Less than 1 year | 273,307 |
1-3 years | 708,733 |
4-5 years | 90,431 |
Breach of compensation agreement | Pending litigation | Thomas H. Ehrlich | ' |
Dispute with Thomas Ehrlich | ' |
Estimates period in which lawsuit to be resolved | 'P1Y |
Recognized a possible loss contingency | 285,000 |
Office space | ' |
Payments Due by period | ' |
Total | 1,072,471 |
Less than 1 year | 273,307 |
1-3 years | 708,733 |
4-5 years | $90,431 |
COMMITMENTS_AND_CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Details 2) (Other officers) | 12 Months Ended |
Dec. 31, 2013 | |
Other officers | ' |
Employment Agreements | ' |
Period to receive certain rights and benefits in the event of change in control | '24 months |
SUBSEQUENT_EVENT_Details
SUBSEQUENT EVENT (Details) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | |||||||
Dec. 31, 2013 | Dec. 31, 2012 | Nov. 13, 2013 | Dec. 31, 2012 | Feb. 01, 2014 | Oct. 31, 2011 | Oct. 28, 2011 | Jan. 29, 2014 | Feb. 04, 2014 | Jan. 31, 2014 | Jan. 31, 2014 | Feb. 01, 2014 | Feb. 12, 2014 | |
Loan Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | |||
RCF | BTIG, LLC | BTIG, LLC | BTIG, LLC | BTIG, LLC | Loan Agreement | Loan Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | Registered direct offering | |||
Tranche one | Maximum | Maximum | Maximum | RCF | RCF | BTIG, LLC | BTIG, LLC | BTIG, LLC | |||||
Tranche one | |||||||||||||
Subsequent event | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sale of common stock in a registered direct offering | $3,599,432 | $20,264,692 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $10,300,000 |
Shares of common stock sold | ' | ' | ' | 970,000 | ' | ' | ' | 7,500,000 | ' | 523,350 | 523,350 | ' | 3,960,000 |
Price per share (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2.60 |
Net proceeds from sale of shares of common stock | 3,599,432 | 20,264,692 | ' | 5,400,000 | ' | ' | ' | ' | ' | 1,900,000 | 1,900,000 | ' | 9,472,320 |
Borrowings under agreement | ' | ' | 3,000,000 | ' | ' | ' | ' | ' | 2,000,000 | ' | ' | ' | ' |
Aggregate offering price of the shares of common stock available to be sold under ATM Sales Agreement | ' | ' | ' | ' | $15,000,000 | $15,000,000 | $15,000,000 | ' | ' | ' | ' | $7,100,000 | ' |