Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2014 | Nov. 06, 2014 | |
Document and Entity Information | ' | ' |
Entity Registrant Name | 'URANIUM RESOURCES INC /DE/ | ' |
Entity Central Index Key | '0000839470 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Sep-14 | ' |
Amendment Flag | 'false | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Common Stock, Shares Outstanding | ' | 25,220,471 |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
Current Assets: | ' | ' |
Cash and cash equivalents | $7,887,315 | $1,117,303 |
Receivables, net | 361,550 | 47,578 |
Prepaid and other current assets | 836,037 | 638,100 |
Total Current Assets | 9,084,902 | 1,802,981 |
Property, plant and equipment, at cost: | ' | ' |
Property, plant and equipment | 96,415,388 | 96,407,310 |
Less accumulated depreciation, depletion and impairment | -65,780,634 | -65,566,411 |
Net property, plant and equipment | 30,634,754 | 30,840,899 |
Restricted cash | 4,010,968 | 4,010,937 |
Total Assets | 43,730,624 | 36,654,817 |
Current Liabilities: | ' | ' |
Accounts payable | 754,272 | 1,243,169 |
Accrued liabilities | 1,337,767 | 1,775,491 |
Current portion of asset retirement obligations | 203,553 | ' |
Current portion of capital leases | 6,491 | 10,543 |
Total Current Liabilities | 2,302,083 | 3,029,203 |
Asset retirement obligations, net of current portion | 3,839,102 | 3,833,608 |
Derivative liability - convertible loan | 3,811,876 | 2,169,408 |
Convertible loan, related party | 3,885,197 | 1,024,715 |
Other long-term liabilities and deferred credits | 1,350,000 | 1,350,000 |
Long-term capital leases, less current portion | ' | 4,495 |
Total Liabilities | 15,188,258 | 11,411,429 |
Commitments and Contingencies | ' | ' |
Stockholders' Equity: | ' | ' |
Common stock, 200,000,000 shares authorized, $.001 par value;25,167,846 and 19,820,258 shares issued and outstanding, respectively | 25,172 | 19,824 |
Paid-in capital | 230,579,521 | 216,703,028 |
Accumulated deficit | -202,052,909 | -191,470,046 |
Less: Treasury stock (3,813 shares), at cost | -9,418 | -9,418 |
Total Stockholders' Equity | 28,542,366 | 25,243,388 |
Total Liabilities and Stockholders' Equity | $43,730,624 | $36,654,817 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
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 | 25,167,846 | 19,820,258 |
Common stock, shares outstanding | 25,167,846 | 19,820,258 |
Treasury stock, shares at cost | 3,813 | 3,813 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Operating expenses | ' | ' | ' | ' |
Mineral property expenses | ($986,623) | ($940,017) | ($2,928,995) | ($3,682,470) |
General and administrative | -2,202,952 | -2,174,862 | -7,001,670 | -6,749,980 |
Accretion of asset retirement obligations | -205,995 | -97,435 | -307,612 | -292,305 |
Depreciation and amortization | -68,271 | -108,720 | -245,977 | -341,680 |
Impairment of uranium properties | ' | -3,701 | ' | -683,356 |
Total operating expenses | -3,463,841 | -3,324,735 | -10,484,254 | -11,749,791 |
Other income/(expenses) | ' | ' | ' | ' |
Gain on derivatives | 145,010 | ' | 1,604,657 | ' |
Interest expense | -679,168 | -3,859 | -1,717,234 | -253,485 |
Other income, net | 3,615 | 55,703 | 13,968 | 60,238 |
Total other income/(expense) | -530,543 | 51,844 | -98,609 | -193,247 |
Net loss | ($3,994,384) | ($3,272,891) | ($10,582,863) | ($11,943,038) |
LOSS PER SHARE - BASIC AND DILUTED (in dollars per share) | ($0.16) | ($0.17) | ($0.44) | ($0.63) |
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING (in shares) | 24,954,029 | 19,820,258 | 23,986,792 | 18,995,957 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 9 Months Ended | |
Sep. 30, 2014 | Sep. 30, 2013 | |
Operating activities: | ' | ' |
Net loss | ($10,582,863) | ($11,943,038) |
Reconciliation of net loss to cash used in operations: | ' | ' |
Accretion of asset retirement obligations | 307,612 | 292,305 |
Amortization of debt discount | 1,182,607 | ' |
Change in fair value of derivative liability | -1,604,657 | ' |
Decrease in restoration and reclamation accrual | -131,562 | -1,269,663 |
Depreciation and amortization | 245,977 | 341,680 |
Impairment of uranium properties | ' | 683,356 |
Stock compensation expense | 737,270 | 299,286 |
Common stock issued for settlement of land obligation | 342,595 | ' |
Other non-cash items, net | 23,174 | 73,875 |
Effect of changes in operating working capital items: | ' | ' |
Decrease in receivables | 45,016 | 258,532 |
Increase in prepaid and other current assets | -272,968 | -17,274 |
Increase/(decrease) in payables, accrued liabilities and deferred credits | 60,462 | -231,931 |
Net cash used in operating activities | -9,647,337 | -11,512,872 |
Cash flows from investing activities: | ' | ' |
Reduction in restricted cash | ' | 5,481,015 |
Reductions in uranium properties | ' | -122,165 |
Purchases of equipment | -6,834 | ' |
Net cash provided by/(used in) investing activities | -6,834 | 5,358,850 |
Cash flows from financing activities: | ' | ' |
Proceeds from convertible loan | 5,000,000 | ' |
Payments on borrowings | -8,547 | -103,173 |
Issuance of common stock, net | 11,519,950 | 3,599,432 |
Payment of minimum withholding taxes on net share settlements of equity awards | -87,220 | ' |
Net cash provided by financing activities | 16,424,183 | 3,496,259 |
Net increase/(decrease) in cash and cash equivalents | 6,770,012 | -2,657,763 |
Cash and cash equivalents, beginning of period | 1,117,303 | 4,664,596 |
Cash and cash equivalents, end of period | 7,887,315 | 2,006,833 |
Cash paid during the period for: | ' | ' |
Interest | 21,301 | 2,970 |
Other non-cash transactions: | ' | ' |
Common stock issued for payment of convertible loan interest and fees | 676,409 | ' |
Common stock issued for repayment of short-term loan principal and interest | ' | 5,095,833 |
Common stock issued for the settlement of litigation | 333,847 | ' |
Common stock issued for services | ' | 291,500 |
Restricted stock issued for services | ' | 47 |
Total other non-cash transactions for the period: | $1,010,256 | $5,387,380 |
CONSOLIDATED_STATEMENTS_OF_SHA
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (USD $) | Common Stock | Paid-In Capital | Accumulated Deficit | Treasury Stock | Total |
Balances at Dec. 31, 2013 | $19,824 | $216,703,028 | ($191,470,046) | ($9,418) | $25,243,388 |
Balances (in shares) at Dec. 31, 2013 | 19,820,258 | ' | ' | ' | 19,820,258 |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' |
Net loss | ' | ' | -10,582,863 | ' | -10,582,863 |
Common stock issued, net of issuance costs | 4,749 | 11,874,191 | ' | ' | 11,878,940 |
Common stock issued, net of issuance costs (in shares) | 4,747,598 | ' | ' | ' | ' |
Common stock issued for payment of convertible loan interest and fees | 253 | 676,156 | ' | ' | 676,409 |
Common stock issued for loan interest and fees (in shares) | 253,376 | ' | ' | ' | ' |
Common stock issued for settlement of land obligation | 127 | 342,468 | ' | ' | 342,595 |
Common stock issued for settlement of land obligations (in shares) | 127,359 | ' | ' | ' | ' |
Common stock issued for the settlement of litigation | 119 | 333,728 | ' | ' | 333,847 |
Common stock issued for settlement of litigation (in shares) | 119,231 | ' | ' | ' | ' |
Stock compensation expense and related share issuances, net of shares withheld for the payment of taxes | 100 | 737,170 | ' | ' | 737,270 |
Stock compensation expense and related share issuances, net of shares withheld for the payment of taxes (in shares) | 100,024 | ' | ' | ' | ' |
Minimum withholding taxes on net share settlements of equity awards | ' | -87,220 | ' | ' | -87,220 |
Balances at Sep. 30, 2014 | $25,172 | $230,579,521 | ($202,052,909) | ($9,418) | $28,542,366 |
Balances (in shares) at Sep. 30, 2014 | 25,167,846 | ' | ' | ' | 25,167,846 |
BASIS_OF_PRESENTATION
BASIS OF PRESENTATION | 9 Months Ended |
Sep. 30, 2014 | |
BASIS OF PRESENTATION | ' |
BASIS OF PRESENTATION | ' |
1. BASIS OF PRESENTATION | |
The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and with the instructions to Form 10-Q and Rule 8-03 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete financial statements. The accompanying statements should be read in conjunction with the audited financial statements included in Uranium Resources, Inc.’s 2013 Annual Report on Form 10-K. In the opinion of management, all adjustments (which are of a normal, recurring nature) considered necessary for a fair presentation have been included. Operating results for the three and nine months ended September 30, 2014 are not necessarily indicative of the results that may be expected for any other period including the full year ending December 31, 2014. | |
Restatement of Previously Reported Consolidated Financial Information | |
On December 17, 2013, Uranium Resources, Inc. (collectively, the “Company,” “we,” “us,” or “URI”) filed an amended Quarterly Report on Form 10-Q/A (the “Form 10-Q/A”) to its Quarterly Report on Form 10-Q for the period ended September 30, 2013 to amend and restate the Company’s condensed consolidated financial statements and related disclosures as of September 30, 2013 and for the three and nine months ended September 30, 2013 and 2012 by reclassifying costs from property, plant and equipment to mineral property expenses. The consolidated financial statements and related disclosures in this Quarterly Report on Form 10-Q, as it relates to the period ended September 30, 2013, incorporate the effects of this restatement. | |
Recently Issued Accounting Pronouncements | |
In August 2014, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update No. 2014-15 (ASU 2014-15), Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern, which provides guidance on determining when and how to disclose going-concern uncertainties in the financial statements. The new standard requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued. An entity must provide certain disclosures if conditions or events raise substantial doubt about the entity’s ability to continue as a going concern. The ASU applies to all entities and is effective for annual periods ending after December 15, 2016, and interim periods thereafter, with early adoption permitted. | |
PROPERTY_PLANT_AND_EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
PROPERTY, PLANT AND EQUIPMENT | ' | |||||||
PROPERTY, PLANT AND EQUIPMENT | ' | |||||||
2. PROPERTY, PLANT AND EQUIPMENT | ||||||||
September 30, 2014 | December 31, 2013 | |||||||
Net book value | Net book value | |||||||
Uranium plant | $ | 9,108,225 | $ | 9,190,480 | ||||
Mineral rights and properties | 19,782,751 | 19,749,754 | ||||||
Vehicles/depreciable equipment | 1,486,519 | 1,591,061 | ||||||
Other property, plant and equipment | 257,259 | 309,604 | ||||||
Total | $ | 30,634,754 | $ | 30,840,899 | ||||
DEBT
DEBT | 9 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
DEBT | ' | |||||||||||
DEBT | ' | |||||||||||
3. DEBT | ||||||||||||
On November 13, 2013, the Company, together with each of its subsidiaries as guarantors, entered into a loan agreement (the “Loan Agreement”) with Resource Capital Fund V L.P. (“RCF”), 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 initially consisted 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 on February 4, 2014. On April 29, 2014, the Company and RCF executed an amendment to the Loan Agreement which reduced the amount available thereunder from $15.0 million to $8.0 million, and on April 30, 2014, the Company requested, and RCF advanced, the final $3.0 million available under the Loan Agreement. The total amount drawn under the Loan Agreement after receipt of this advance is $8.0 million. No additional amounts may be drawn under the Loan Agreement. | ||||||||||||
Amounts drawn under the Loan Agreement mature on December 31, 2016 and bear interest at 12% per annum through January 29, 2014 and 10% per annum thereafter, payable quarterly in arrears in shares of the Company’s common stock or, at RCF’s election, in cash. Additionally, the Company paid a commitment fee quarterly equal to 1% of the amount available, but not drawn, under the Loan Agreement. In connection with the Loan Agreement the Company also paid, in shares of the Company’s common stock, a 2% loan establishment fee in the amount of $300,000 to RCF. The number of shares to be issued as payment for interest and fees is determined based upon the volume weighted-average price (“VWAP”) of the Company’s common stock for the 20 trading days preceding the last day of each quarter for interest payments and commitment fees and the 20 trading days preceding October 17, 2013 for the loan establishment fee. Accordingly, the Company has issued the following shares of common stock for settlement of interest expense, commitment fees and the establishment fee: | ||||||||||||
Amount ($) | Shares of | VWAP | Date of issuance | |||||||||
common stock | ||||||||||||
issued | ||||||||||||
Establishment fee | $ | 300,000 | 117,188 | $ | 2.5600 | February 4, 2014 | ||||||
Q4 2013 Interest payment and commitment fee | 63,083 | 21,218 | $ | 2.9731 | February 4, 2014 | |||||||
Q1 2014 Interest payment and commitment fee | 138,167 | 45,737 | $ | 3.0209 | April 10, 2014 | |||||||
Q2 2014 Interest payment and commitment fee | 175,159 | 69,233 | $ | 2.6561 | July 25, 2014 | |||||||
Q3 2014 Interest payment | 200,000 | 72,477 | $ | 2.7595 | October 2, 2014 | |||||||
Total | $ | 876,409 | 325,853 | |||||||||
As of September 30, 2014, interest expense of $200,000 relating to the three months ended September 30, 2014 was included in accrued liabilities on the Company’s Consolidated Balance Sheets. | ||||||||||||
The Company’s obligations under the Loan Agreement are secured by pledges on the equity interests of the Company’s subsidiaries and a lien on substantially all of the assets of the Company and its subsidiaries. The Company may prepay all or any portion of the amounts drawn under the Loan Agreement without penalty, subject to a minimum prepayment amount of $5.0 million or (if lower) the full amount then outstanding. Prepaid amounts may not be redrawn. The loan agreement contains customary representations, warranties, covenants and events of default and grants RCF the right to designate two nominees to the Company’s Board of Directors so long as any obligations remain outstanding under the Loan Agreement. | ||||||||||||
RCF may convert amounts drawn under the Loan Agreement into shares of the Company’s common stock at any time prior to maturity on December 31, 2016. The conversion price is initially set at $2.60 per share and is subject to customary anti-dilution adjustments and further downward adjustment, subject to a floor of $1.00 per share, in the case of certain equity issuances by the Company before November 13, 2014. As of November 5, 2014, RCF owned approximately 6.8 million shares or 27% of the Company’s outstanding common stock. If RCF were to convert the entire $8.0 million outstanding under the Loan Agreement, assuming a conversion price of $2.60 per share, RCF would receive approximately 3.1 million shares of the Company’s common stock, and RCF’s ownership percentage in the Company would increase to approximately 35%. | ||||||||||||
DERIVATIVE_LIABILITY
DERIVATIVE LIABILITY | 9 Months Ended | ||||
Sep. 30, 2014 | |||||
DERIVATIVE LIABILITY. | ' | ||||
DERIVATIVE LIABILITY | ' | ||||
4. DERIVATIVE LIABILITY | |||||
The conversion feature of the Loan Agreement was determined to be an embedded derivative under ASC 815 as the exercise price is subject to downward adjustment as discussed in Note 3 above and, therefore, does not meet the “fixed-for-fixed” criteria. As a result, the conversion feature of the convertible Loan Agreement is required to be bifurcated and classified as a derivative liability recorded at an initial fair value and subsequently marked-to-market each period with the changes in fair value reported in the Company’s results of operations. The initial fair value measurement of the derivative liability as determined on the date of each advance has been recognized as a debt discount and will be amortized over the life of the Loan Agreement. | |||||
The fair value of the derivative liability as of September 30, 2014 has been calculated using the Black-Scholes option pricing model with the following assumptions: | |||||
Risk-free interest rate | 1.07% | ||||
Expected life of derivative liability | 2.25 years | ||||
Expected volatility | 87.85% | ||||
Dividend rate | 0.00% | ||||
The change in the derivative liability related to the conversion feature is as follows: | |||||
Derivative | |||||
Liability | |||||
Fair value of derivative liability at December 31, 2013 | $ | 2,169,408 | |||
Fair value of $2,000,000 drawdown | 1,555,806 | ||||
Fair value of $3,000,000 drawdown | 1,691,319 | ||||
Change in fair value of derivative liability | (1,604,657 | ) | |||
Fair value of derivative liability at September 30, 2014 | $ | 3,811,876 | |||
As discussed in Note 3 above, the potential for downward adjustment of the exercise price expires on November 13, 2014 and the exercise price will remain fixed at $2.60 for the remainder of the term of the Loan Agreement. As a result, the conversion feature will no longer qualify as an embedded derivative instrument and the fair value of the derivative as of November 13, 2014 will be reclassified to equity with no further mark-to-market adjustments. | |||||
FAIR_VALUE_OF_FINANCIAL_INSTRU
FAIR VALUE OF FINANCIAL INSTRUMENTS | 9 Months Ended | |||||||||||||
Sep. 30, 2014 | ||||||||||||||
FAIR VALUE OF FINANCIAL INSTRUMENTS | ' | |||||||||||||
FAIR VALUE OF FINANCIAL INSTRUMENTS | ' | |||||||||||||
5. FAIR VALUE OF FINANCIAL INSTRUMENTS | ||||||||||||||
Our financial instruments consist of cash equivalents, restricted cash and derivative liabilities. U.S. GAAP defines “fair value” as the price that would be received to sell an asset or be paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price) and establishes a fair-value hierarchy that prioritizes the inputs used to measure fair value using the following definitions (from highest to lowest priority): | ||||||||||||||
· | Level 1 — Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | |||||||||||||
· | Level 2 — Observable inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, including quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data by correlation or other means. | |||||||||||||
· | Level 3 — Prices or valuation techniques requiring inputs that are both significant to the fair-value measurement and unobservable. | |||||||||||||
The Company considers all highly liquid instruments purchased with an original maturity of three months or less to be cash equivalents. The Company continually monitors its positions with, and the credit quality of, the financial institutions with which it invests. Periodically throughout the year, the Company has maintained balances in various U.S. operating accounts in excess of U.S. federally insured limits. | ||||||||||||||
The following table presents information about financial instruments recognized at fair value on a recurring basis as of September 30, 2014 and December 31, 2013, and indicates the fair value hierarchy: | ||||||||||||||
September 30, 2014 | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
Assets | ||||||||||||||
Restricted cash | $ | 4,010,968 | $ | — | $ | — | $ | 4,010,968 | ||||||
Total financial assets | $ | 4,010,968 | $ | — | $ | — | $ | 4,010,968 | ||||||
Liabilities | ||||||||||||||
Derivative liabilities | $ | — | $ | — | $ | 3,811,876 | $ | 3,811,876 | ||||||
Total financial liabilities | $ | — | $ | — | $ | 3,811,876 | $ | 3,811,876 | ||||||
December 31, 2013 | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
Assets | ||||||||||||||
Restricted cash | $ | 4,010,937 | $ | — | $ | — | $ | 4,010,937 | ||||||
Total financial assets | $ | 4,010,937 | $ | — | $ | — | $ | 4,010,937 | ||||||
Liabilities | ||||||||||||||
Derivative liabilities | $ | — | $ | — | $ | 2,169,408 | $ | 2,169,408 | ||||||
Total financial liabilities | $ | — | $ | — | $ | 2,169,408 | $ | 2,169,408 | ||||||
MINERAL_PROPERTY_EXPENDITURES
MINERAL PROPERTY EXPENDITURES | 9 Months Ended | |||||||||||||
Sep. 30, 2014 | ||||||||||||||
MINERAL PROPERTY EXPENDITURES | ' | |||||||||||||
MINERAL PROPERTY EXPENDITURES | ' | |||||||||||||
6. MINERAL PROPERTY EXPENDITURES | ||||||||||||||
Mineral property expenditures for the three and nine months ended September 30, 2014 and 2013 are as follows: | ||||||||||||||
Three months ended September 30, | Nine months ended September 30, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
(restated) | (restated) | |||||||||||||
Restoration/Recovery expenses | ||||||||||||||
Kingsville Dome project | $ | — | $ | 429,342 | $ | 328,304 | $ | 1,463,185 | ||||||
Rosita project | 131,407 | 8,023 | 131,407 | 8,023 | ||||||||||
Vasquez project | — | — | 26,766 | — | ||||||||||
Total Restoration/Recovery expenses | 131,407 | 437,365 | 486,477 | 1,471,208 | ||||||||||
Standby care and maintenance expenses | ||||||||||||||
Kingsville Dome project | 209,565 | 54,569 | 502,628 | 130,177 | ||||||||||
Rosita project | 20,667 | 61,537 | 258,119 | 257,970 | ||||||||||
Vasquez project | 93,194 | 14,561 | 245,702 | 26,801 | ||||||||||
Total standby care and maintenance expenses | 323,426 | 130,667 | 1,006,449 | 414,948 | ||||||||||
Land maintenance and holding costs | 531,790 | 371,985 | 1,436,069 | 1,796,314 | ||||||||||
Total mineral property expenses | $ | 986,623 | $ | 940,017 | $ | 2,928,995 | $ | 3,682,470 | ||||||
ASSET_RETIREMENT_OBLIGATIONS
ASSET RETIREMENT OBLIGATIONS | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
ASSET RETIREMENT OBLIGATIONS | ' | |||||||
ASSET RETIREMENT OBLIGATIONS | ' | |||||||
7. ASSET RETIREMENT OBLIGATIONS | ||||||||
The following table summarizes the changes in the reserve for future restoration and reclamation costs on the balance sheet: | ||||||||
September 30, | December 31, | |||||||
2014 | 2013 | |||||||
Balance, beginning of period | $ | 3,833,608 | $ | 4,498,057 | ||||
Changes in cash flow estimates | 32,997 | 584,025 | ||||||
Costs incurred | (131,562 | ) | (1,638,214 | ) | ||||
Accretion expense | 307,612 | 389,740 | ||||||
Balance, end of period | 4,042,655 | 3,833,608 | ||||||
Less: Current portion | (203,553 | ) | — | |||||
Non-current Portion | $ | 3,839,102 | $ | 3,833,608 | ||||
The Company’s current liability of $203,553 consists of the estimated costs associated with current plugging and abandonment activities and planned surface reclamation activities during 2015 at the Company’s Rosita project. The change in cash flow estimates for the period ended September 30, 2014 was due to a change in the timing of planned restoration activities at the Rosita project. The Company is currently performing plugging and abandonment activities at its Rosita project. | ||||||||
COMMON_STOCK
COMMON STOCK | 9 Months Ended |
Sep. 30, 2014 | |
COMMON STOCK. | ' |
COMMON STOCK | ' |
8. COMMON STOCK | |
Common stock issued, net of issuance costs | |
Registered Direct Offering | |
On February 12, 2014, the Company completed a 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 $9,307,245. | |
At-the-market Sales | |
On October 31, 2011, the Company entered into an At-The-Market Sales Agreement with BTIG LLC (the “ATM Sales Agreement”), a major global securities trading firm that acts as our sales agent. Under the ATM Sales Agreement, the Company may from time to time sell shares of its common stock having an aggregate offering price up to $15.0 million in “at-the-market” offerings, which shares are registered under the Company’s currently effective registration statement on Form S-3. The Company filed a prospectus supplement dated July 2, 2014 with the Securities and Exchange Commission in connection with the offering, relating to shares of its common stock having an aggregate offering price of up to $4.1 million. The Company pays BTIG a commission equal to 3.0% of the gross proceeds from the sale of any shares pursuant to the ATM Sales Agreement. | |
During the nine months ended September 30, 2014 the Company sold 788,186 shares of common stock for net proceeds of $2,586,358 under the ATM Sales Agreement, of which $358,988 of the proceeds were included in accounts receivable as of September 30, 2014. The Company subsequently received this amount on October 1, 2014. As of November 5, 2014, approximately $6.3 million of the aggregate $15.0 million remained available for future sales under the ATM Sales Agreement. | |
Common stock issued for loan interest and fees | |
As discussed in Note 3 above, unless RCF elects to receive cash, RCF receives common shares of the Company for the payment of interest owing on the Loan Agreement. For the nine months ended September 30, 2014, the Company issued 253,376 common shares for the payment of $676,409 in interest and fees. | |
Common stock issued for settlement of litigation | |
On April 15, 2014, the Company and a former executive of the Company, entered into a Settlement Agreement and General Release, under the terms of which it was agreed by the Company’s former executive to dismiss with prejudice claims he brought in a lawsuit against the Company. As a result of this Settlement Agreement, the Company issued common shares to the Company’s former executive with a grant date fair value of $333,847. The issuance of 119,231 shares of common stock was based upon a common share price of $2.80. | |
Common stock issued for settlement of land obligations | |
On August 8, 2014, the Company issued 127,359 shares of common stock with a grant date fair value of $342,595 to the Juan Tafoya Land Corporation in satisfaction of $337,500 of base rental payments due under the Uranium Mining Lease and Agreement, dated October 12, 2006, by and between Neutron Energy, Inc., a wholly owned subsidiary of the Company, and the Juan Tafoya Land Corporation, as amended by the First Amendment thereto, dated August 8, 2014, by and among the Company, Neutron Energy, Inc. and the Juan Tafoya Land Corporation. | |
On October 3, 2014, the Company entered into a Second Amendment to the Uranium Mining Lease and Agreement whereby, on October 6, 2014, the Company repurchased 91,631 shares of common stock from the Juan Tafoya Land Corporation for an aggregate purchase price of $248,383. | |
STOCKBASED_COMPENSATION
STOCK-BASED COMPENSATION | 9 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
STOCK-BASED COMPENSATION | ' | |||||||||||
STOCK-BASED COMPENSATION | ' | |||||||||||
9. STOCK-BASED COMPENSATION | ||||||||||||
Stock-based compensation awards consist of stock options, restricted stock units and restricted stock awards issued under the Company’s equity incentive plans which include: the 2013 Omnibus Incentive Plan (the “2013 Plan”); the 2007 Restricted Stock Plan (the “2007 Plan”); the Amended and Restated 2004 Directors’ Stock Option and Restricted Stock Plan (the “2004 Directors’ Plan”); the 2004 Stock Incentive Plan (the “2004 Plan”); and the 1995 Stock Incentive Plan (the “1995 Plan”). Upon approval of the 2013 Plan by the Company’s stockholders on June 4, 2013, the Company’s authority to grant new awards under all plans other than the 2013 Plan was terminated. As of September 30, 2014, 642,699 shares were available for future issuances under the 2013 Plan. For the three and nine months ending September 30, 2014, the Company recorded stock-based compensation cost of $273,996 and $737,270, respectively, which has been included in general and administrative expense. | ||||||||||||
Bonus Shares | ||||||||||||
In March 2014, in accordance with the Company’s short-term incentive plan, the Company awarded its executives bonuses that were paid out in common stock of the Company. The bonus shares were valued using the closing share price of the Company’s common stock on the date of grant. The bonus shares vested immediately and had a grant date fair value of $191,730. | ||||||||||||
Stock Options | ||||||||||||
The following table summarizes stock options outstanding and changes during the nine months ended September 30, 2014: | ||||||||||||
Number of | Weighted | |||||||||||
stock | Average | |||||||||||
options | Exercise | |||||||||||
Price | ||||||||||||
Stock options outstanding at January 1, 2014 | 309,479 | $ | 19.75 | |||||||||
Granted | — | — | ||||||||||
Exercised | — | — | ||||||||||
Expired | (131,250 | ) | 11.6 | |||||||||
Canceled or forfeited | (14,000 | ) | 31.31 | |||||||||
Stock options outstanding at September 30, 2014 | 164,229 | $ | 25.28 | |||||||||
Stock options exercisable at September 30, 2014 | 117,564 | $ | 34.01 | |||||||||
The following table summarizes stock options outstanding and exercisable by stock option plan at September 30, 2014: | ||||||||||||
Outstanding Options | Options Exercisable | |||||||||||
Stock Option Plan | Number of | Weighted | Number of | Weighted | ||||||||
Options | Average | Options | Average | |||||||||
Outstanding | Exercise | Exercisable | Exercise | |||||||||
Price | Price | |||||||||||
1995 Stock Incentive Plan | 8,750 | $ | 31.20 | 8,750 | $ | 31.20 | ||||||
2004 Stock Incentive Plan | 75,481 | 11.76 | 38,814 | 20.28 | ||||||||
2004 Director’s Plan | 74,998 | 39.68 | 70,000 | 41.98 | ||||||||
2013 Omnibus Incentive Plan | 5,000 | 2.99 | — | — | ||||||||
164,229 | $ | 25.28 | 117,564 | $ | 34.01 | |||||||
Total estimated unrecognized compensation cost from unvested stock options as of September 30, 2014 was approximately $107,589, which is expected to be recognized over a weighted-average period of 1.73 years. | ||||||||||||
Restricted Stock Units | ||||||||||||
Time-based and performance-based restricted stock units (“RSUs”) are valued using the closing share price of the Company’s common stock on the date of grant. The final number of shares issued under performance-based RSUs is generally based on the Company’s prior year performance as determined by the Compensation Committee of the Board of Directors at each vesting date, and the valuation of such awards assumes full satisfaction of all performance criteria. | ||||||||||||
The following table summarizes RSU activity during the period ended September 30, 2014: | ||||||||||||
Number of | Weighted- | |||||||||||
restricted | Average | |||||||||||
stock units | Grant Date | |||||||||||
Fair Value | ||||||||||||
RSUs outstanding at January 1, 2014 | 280,000 | $ | 3.31 | |||||||||
Granted | 431,941 | 2.61 | ||||||||||
Forfeited | (29,778 | ) | 3.38 | |||||||||
Vested | (76,886 | ) | 3.2 | |||||||||
RSUs outstanding at September 30, 2014 | 605,277 | $ | 2.82 | |||||||||
Total estimated unrecognized compensation cost from unvested RSUs as of September 30, 2014 was approximately $1,133,404, which is expected to be recognized over a weighted-average period of 2.37 years. | ||||||||||||
Restricted Stock Awards | ||||||||||||
Time-based and performance-based restricted stock awards (“RSAs”) are valued using the closing share price of the Company’s common stock on the date of grant. Vesting based on performance criteria is generally based on the Company’s prior year performance as determined by the Compensation Committee of the Board of Directors at each vesting date, and the valuation of such grants assumes full satisfaction of all performance criteria. Employee participants who receive restricted stock awards have all of the rights of a shareholder, including the right to vote 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 following table summarizes RSA activity during the period ended September 30, 2014: | ||||||||||||
Number of | Weighted- | |||||||||||
RSAs | Average Grant | |||||||||||
Date Fair Value | ||||||||||||
RSAs outstanding at January 1, 2014 | 54,151 | $ | 5.49 | |||||||||
Forfeited | (5,601 | ) | 5.39 | |||||||||
Vested | (20,230 | ) | 5.58 | |||||||||
RSAs outstanding at September 30, 2014 | 28,320 | $ | 5.44 | |||||||||
The total estimated unrecognized compensation cost from the unvested RSA grants at September 30, 2014 was $118,380, which is expected to be recognized over the weighted-average vesting period of 1.15 years. | ||||||||||||
EARNINGS_PER_SHARE
EARNINGS PER SHARE | 9 Months Ended |
Sep. 30, 2014 | |
EARNINGS PER SHARE | ' |
EARNINGS PER SHARE | ' |
10. 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. | |
Basic and diluted loss per common share have been calculated based on the weighted-average shares outstanding during the period. Potentially dilutive shares of 3,846,429 were excluded from the calculation of earnings per share because the effect on the basic loss per share would be anti-dilutive due to our net loss position for the quarter ended September 30, 2014. | |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Sep. 30, 2014 | |
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 frequently change and generally become 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 the Company’s accrual for costs. The Company believes its operations are in compliance with current environmental regulations. | |
SUBSEQUENT_EVENT
SUBSEQUENT EVENT | 9 Months Ended |
Sep. 30, 2014 | |
SUBSEQUENT EVENT | ' |
SUBSEQUENT EVENTS | ' |
12. SUBSEQUENT EVENT | |
On September 5, 2014, the Company, its wholly owned subsidiary Uranco Inc. and Rio Grande Resources Corporation entered into an Asset Exchange Agreement whereby the Company will acquire from Rio Grande Resources certain uranium properties located in South Texas near the Company’s processing facilities. In exchange for the South Texas properties, the Company will transfer to Rio Grande Resources two parcels of fee-owned mineral rights and a royalty interest in the Roca Honda area of west-central New Mexico. The Company is retaining certain leases, mining claims and fee-owned mineral interests on separate parcels in the Roca Honda area. After completing customary due diligence and satisfying certain closing conditions, on November 6, 2014, the Company and Rio Grande Resources closed the transaction and effectuated the exchange of properties. | |
PROPERTY_PLANT_AND_EQUIPMENT_T
PROPERTY, PLANT AND EQUIPMENT (Tables) | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
PROPERTY, PLANT AND EQUIPMENT | ' | |||||||
Schedule of property, plant and equipment | ' | |||||||
September 30, 2014 | December 31, 2013 | |||||||
Net book value | Net book value | |||||||
Uranium plant | $ | 9,108,225 | $ | 9,190,480 | ||||
Mineral rights and properties | 19,782,751 | 19,749,754 | ||||||
Vehicles/depreciable equipment | 1,486,519 | 1,591,061 | ||||||
Other property, plant and equipment | 257,259 | 309,604 | ||||||
Total | $ | 30,634,754 | $ | 30,840,899 | ||||
DEBT_Tables
DEBT (Tables) | 9 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
DEBT | ' | |||||||||||
Schedule of shares issued of common stock for settlement of interest, commitment fees and the establishment fee | ' | |||||||||||
Amount ($) | Shares of | VWAP | Date of issuance | |||||||||
common stock | ||||||||||||
issued | ||||||||||||
Establishment fee | $ | 300,000 | 117,188 | $ | 2.5600 | February 4, 2014 | ||||||
Q4 2013 Interest payment and commitment fee | 63,083 | 21,218 | $ | 2.9731 | February 4, 2014 | |||||||
Q1 2014 Interest payment and commitment fee | 138,167 | 45,737 | $ | 3.0209 | April 10, 2014 | |||||||
Q2 2014 Interest payment and commitment fee | 175,159 | 69,233 | $ | 2.6561 | July 25, 2014 | |||||||
Q3 2014 Interest payment | 200,000 | 72,477 | $ | 2.7595 | October 2, 2014 | |||||||
Total | $ | 876,409 | 325,853 | |||||||||
DERIVATIVE_LIABILITY_Tables
DERIVATIVE LIABILITY (Tables) | 9 Months Ended | ||||
Sep. 30, 2014 | |||||
DERIVATIVE LIABILITY. | ' | ||||
Schedule of assumptions used in calculation of the derivative liability using the Black-Scholes option pricing model | ' | ||||
Risk-free interest rate | 1.07% | ||||
Expected life of derivative liability | 2.25 years | ||||
Expected volatility | 87.85% | ||||
Dividend rate | 0.00% | ||||
Schedule of changes in the derivative liability related to the conversion feature | ' | ||||
Derivative | |||||
Liability | |||||
Fair value of derivative liability at December 31, 2013 | $ | 2,169,408 | |||
Fair value of $2,000,000 drawdown | 1,555,806 | ||||
Fair value of $3,000,000 drawdown | 1,691,319 | ||||
Change in fair value of derivative liability | (1,604,657 | ) | |||
Fair value of derivative liability at September 30, 2014 | $ | 3,811,876 | |||
FAIR_VALUE_OF_FINANCIAL_INSTRU1
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables) | 9 Months Ended | |||||||||||||
Sep. 30, 2014 | ||||||||||||||
FAIR VALUE OF FINANCIAL INSTRUMENTS | ' | |||||||||||||
Schedule of financial instruments recognized at fair value on a recurring basis | ' | |||||||||||||
September 30, 2014 | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
Assets | ||||||||||||||
Restricted cash | $ | 4,010,968 | $ | — | $ | — | $ | 4,010,968 | ||||||
Total financial assets | $ | 4,010,968 | $ | — | $ | — | $ | 4,010,968 | ||||||
Liabilities | ||||||||||||||
Derivative liabilities | $ | — | $ | — | $ | 3,811,876 | $ | 3,811,876 | ||||||
Total financial liabilities | $ | — | $ | — | $ | 3,811,876 | $ | 3,811,876 | ||||||
December 31, 2013 | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
Assets | ||||||||||||||
Restricted cash | $ | 4,010,937 | $ | — | $ | — | $ | 4,010,937 | ||||||
Total financial assets | $ | 4,010,937 | $ | — | $ | — | $ | 4,010,937 | ||||||
Liabilities | ||||||||||||||
Derivative liabilities | $ | — | $ | — | $ | 2,169,408 | $ | 2,169,408 | ||||||
Total financial liabilities | $ | — | $ | — | $ | 2,169,408 | $ | 2,169,408 | ||||||
MINERAL_PROPERTY_EXPENDITURES_
MINERAL PROPERTY EXPENDITURES (Tables) | 9 Months Ended | |||||||||||||
Sep. 30, 2014 | ||||||||||||||
MINERAL PROPERTY EXPENDITURES | ' | |||||||||||||
Summary of mineral property expenditures | ' | |||||||||||||
Three months ended September 30, | Nine months ended September 30, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||
(restated) | (restated) | |||||||||||||
Restoration/Recovery expenses | ||||||||||||||
Kingsville Dome project | $ | — | $ | 429,342 | $ | 328,304 | $ | 1,463,185 | ||||||
Rosita project | 131,407 | 8,023 | 131,407 | 8,023 | ||||||||||
Vasquez project | — | — | 26,766 | — | ||||||||||
Total Restoration/Recovery expenses | 131,407 | 437,365 | 486,477 | 1,471,208 | ||||||||||
Standby care and maintenance expenses | ||||||||||||||
Kingsville Dome project | 209,565 | 54,569 | 502,628 | 130,177 | ||||||||||
Rosita project | 20,667 | 61,537 | 258,119 | 257,970 | ||||||||||
Vasquez project | 93,194 | 14,561 | 245,702 | 26,801 | ||||||||||
Total standby care and maintenance expenses | 323,426 | 130,667 | 1,006,449 | 414,948 | ||||||||||
Land maintenance and holding costs | 531,790 | 371,985 | 1,436,069 | 1,796,314 | ||||||||||
Total mineral property expenses | $ | 986,623 | $ | 940,017 | $ | 2,928,995 | $ | 3,682,470 | ||||||
ASSET_RETIREMENT_OBLIGATIONS_T
ASSET RETIREMENT OBLIGATIONS (Tables) | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
ASSET RETIREMENT OBLIGATIONS | ' | |||||||
Schedule of change in the balance of the asset retirement obligation | ' | |||||||
September 30, | December 31, | |||||||
2014 | 2013 | |||||||
Balance, beginning of period | $ | 3,833,608 | $ | 4,498,057 | ||||
Changes in cash flow estimates | 32,997 | 584,025 | ||||||
Costs incurred | (131,562 | ) | (1,638,214 | ) | ||||
Accretion expense | 307,612 | 389,740 | ||||||
Balance, end of period | 4,042,655 | 3,833,608 | ||||||
Less: Current portion | (203,553 | ) | — | |||||
Non-current Portion | $ | 3,839,102 | $ | 3,833,608 | ||||
STOCKBASED_COMPENSATION_Tables
STOCK-BASED COMPENSATION (Tables) | 9 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
STOCK-BASED COMPENSATION | ' | |||||||||||
Summary of stock options outstanding and changes during the period | ' | |||||||||||
Number of | Weighted | |||||||||||
stock | Average | |||||||||||
options | Exercise | |||||||||||
Price | ||||||||||||
Stock options outstanding at January 1, 2014 | 309,479 | $ | 19.75 | |||||||||
Granted | — | — | ||||||||||
Exercised | — | — | ||||||||||
Expired | (131,250 | ) | 11.6 | |||||||||
Canceled or forfeited | (14,000 | ) | 31.31 | |||||||||
Stock options outstanding at September 30, 2014 | 164,229 | $ | 25.28 | |||||||||
Stock options exercisable at September 30, 2014 | 117,564 | $ | 34.01 | |||||||||
Summary of stock options outstanding and currently exercisable | ' | |||||||||||
Outstanding Options | Options Exercisable | |||||||||||
Stock Option Plan | Number of | Weighted | Number of | Weighted | ||||||||
Options | Average | Options | Average | |||||||||
Outstanding | Exercise | Exercisable | Exercise | |||||||||
Price | Price | |||||||||||
1995 Stock Incentive Plan | 8,750 | $ | 31.20 | 8,750 | $ | 31.20 | ||||||
2004 Stock Incentive Plan | 75,481 | 11.76 | 38,814 | 20.28 | ||||||||
2004 Director’s Plan | 74,998 | 39.68 | 70,000 | 41.98 | ||||||||
2013 Omnibus Incentive Plan | 5,000 | 2.99 | — | — | ||||||||
164,229 | $ | 25.28 | 117,564 | $ | 34.01 | |||||||
Summary of RSU activity | ' | |||||||||||
Number of | Weighted- | |||||||||||
restricted | Average | |||||||||||
stock units | Grant Date | |||||||||||
Fair Value | ||||||||||||
RSUs outstanding at January 1, 2014 | 280,000 | $ | 3.31 | |||||||||
Granted | 431,941 | 2.61 | ||||||||||
Forfeited | (29,778 | ) | 3.38 | |||||||||
Vested | (76,886 | ) | 3.2 | |||||||||
RSUs outstanding at September 30, 2014 | 605,277 | $ | 2.82 | |||||||||
Summary of RSA activity | ' | |||||||||||
Number of | Weighted- | |||||||||||
RSAs | Average Grant | |||||||||||
Date Fair Value | ||||||||||||
RSAs outstanding at January 1, 2014 | 54,151 | $ | 5.49 | |||||||||
Forfeited | (5,601 | ) | 5.39 | |||||||||
Vested | (20,230 | ) | 5.58 | |||||||||
RSAs outstanding at September 30, 2014 | 28,320 | $ | 5.44 | |||||||||
PROPERTY_PLANT_AND_EQUIPMENT_D
PROPERTY, PLANT AND EQUIPMENT (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | $30,634,754 | $30,840,899 |
Uranium plant | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | 9,108,225 | 9,190,480 |
Mineral rights and properties | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | 19,782,751 | 19,749,754 |
Vehicles/depreciable equipment | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | 1,486,519 | 1,591,061 |
Other property, plant and equipment | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | $257,259 | $309,604 |
DEBT_Details
DEBT (Details) (USD $) | 9 Months Ended | 0 Months Ended | 0 Months Ended | 9 Months Ended | 0 Months Ended | 8 Months Ended | 0 Months Ended | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | Sep. 30, 2013 | Nov. 05, 2014 | Nov. 05, 2014 | Jul. 25, 2014 | Apr. 10, 2014 | Feb. 04, 2014 | Nov. 14, 2013 | Nov. 13, 2013 | Sep. 30, 2014 | Apr. 30, 2014 | Apr. 29, 2014 | Nov. 14, 2013 | Nov. 14, 2013 | Oct. 02, 2014 | Oct. 02, 2014 | Feb. 04, 2014 | Nov. 13, 2013 | Apr. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | |
RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | |||
Subsequent event | Subsequent event | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Forecast | Forecast | |||
item | tranche | item | Minimum | Subsequent event | Subsequent event | Tranche one | Tranche one | Tranche two | Period through January 29, 2014 | Period after January 29, 2014 | Subsequent event | Facility | |||||||||||
Subsequent event | |||||||||||||||||||||||
Debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | $15,000,000 | ' | ' | $8,000,000 | ' | ' | ' | ' | ' | $5,000,000 | ' | ' | ' | ' | ' |
Number of tranches | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from borrowings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,000,000 | 3,000,000 | 3,000,000 | ' | ' | ' | ' |
Amount drawn | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional amounts that may be drawn | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Annualized interest rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12.00% | 10.00% | ' | ' |
Commitment fee (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loan establishment fee (as a percent) | ' | ' | ' | ' | ' | ' | 2.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loan establishment fee | ' | ' | ' | ' | ' | ' | 300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period of trading days for which volume weighted average price was considered to determine shares issuable for payment of commitment fee and accrued interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period of trading days for which volume weighted average price was considered to determine shares issuable for payment of loan establishment fee | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock issued for payment of loan establishment fee | ' | ' | ' | ' | ' | ' | 117,188 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Volume weighted average price for payment of loan establishment fee (in dollars per share) | ' | ' | ' | ' | ' | ' | $2.56 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest payment and commitment fee, amount | ' | ' | ' | ' | 175,159 | 138,167 | 63,083 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock issued for payment of commitment fee and accrued interest | ' | ' | ' | ' | 69,233 | 45,737 | 21,218 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Volume weighted average price for payment of commitment fee and accrued interest (in dollars per share) | ' | ' | ' | ' | $2.66 | $3.02 | $2.97 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest on loan paid | 21,301 | 2,970 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock issued for payment of accrued interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 72,477 | ' | ' | ' | ' | ' | ' | ' | ' |
Volume weighted average price for payment of accrued interest (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2.76 | ' | ' | ' | ' | ' | ' | ' | ' |
Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 876,409 | ' | ' | ' | ' | ' | ' | ' |
Shares of common stock issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 325,853 | ' | ' | ' | ' | ' | ' | ' |
Prepayment amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of nominees designated | ' | ' | ' | ' | ' | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
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 | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2.60 |
Floor conversion price, subject to customary anti-dilution adjustments and further downward adjustment (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares held | ' | ' | 6,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ownership percentage | ' | ' | ' | 27.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock issued upon conversion | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,100,000 |
Ownership percentage after conversion of debt outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 35.00% | ' |
DERIVATIVE_LIABILITY_Details
DERIVATIVE LIABILITY (Details) (RCF, Facility, USD $) | 9 Months Ended | 9 Months Ended | 0 Months Ended | 9 Months Ended | ||||
Sep. 30, 2014 | Nov. 14, 2013 | Sep. 30, 2014 | Feb. 04, 2014 | Nov. 13, 2013 | Apr. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | |
Minimum | Tranche one | Tranche one | Tranche two | Tranche one $2,000,000 | Tranche two $3,000,000 | |||
Assumptions used in calculation of the derivative liability using the Black-Scholes option pricing model | ' | ' | ' | ' | ' | ' | ' | ' |
Risk-free interest rate (as a percent) | ' | ' | 1.07% | ' | ' | ' | ' | ' |
Expected life of derivative liability | ' | ' | '2 years 3 months | ' | ' | ' | ' | ' |
Expected volatility (as a percent) | ' | ' | 87.85% | ' | ' | ' | ' | ' |
Dividend rate (as a percent) | 0.00% | ' | ' | ' | ' | ' | ' | ' |
Changes in the derivative liability related to the conversion feature | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at the beginning of the period | $2,169,408 | ' | ' | ' | ' | ' | ' | ' |
Fair value drawdown | ' | ' | ' | ' | ' | ' | 1,555,806 | 1,691,319 |
Change in fair value of derivative liability | -1,604,657 | ' | ' | ' | ' | ' | ' | ' |
Balance at the end of the period | 3,811,876 | ' | ' | ' | ' | ' | ' | ' |
Proceeds from Issuance of Debt | ' | ' | ' | $2,000,000 | $3,000,000 | $3,000,000 | ' | ' |
Conversion rate of amount drawn under the agreement into common shares (in dollars per share) | ' | $2.60 | ' | ' | ' | ' | ' | ' |
FAIR_VALUE_OF_FINANCIAL_INSTRU2
FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
Assets | ' | ' |
Restricted cash | $4,010,968 | $4,010,937 |
Liabilities | ' | ' |
Derivative liabilities | 3,811,876 | 2,169,408 |
Recurring | ' | ' |
Assets | ' | ' |
Restricted cash | 4,010,968 | 4,010,937 |
Total financial assets | 4,010,968 | 4,010,937 |
Liabilities | ' | ' |
Derivative liabilities | 3,811,876 | 2,169,408 |
Total financial liabilities | 3,811,876 | 2,169,408 |
Recurring | Level 1 | ' | ' |
Assets | ' | ' |
Restricted cash | 4,010,968 | 4,010,937 |
Total financial assets | 4,010,968 | 4,010,937 |
Recurring | Level 3 | ' | ' |
Liabilities | ' | ' |
Derivative liabilities | 3,811,876 | 2,169,408 |
Total financial liabilities | $3,811,876 | $2,169,408 |
MINERAL_PROPERTY_EXPENDITURES_1
MINERAL PROPERTY EXPENDITURES (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Mineral property expenditures | ' | ' | ' | ' |
Total Restoration/Recovery expenses | $131,407 | $437,365 | $486,477 | $1,471,208 |
Total standby care and maintenance expenses | 323,426 | 130,667 | 1,006,449 | 414,948 |
Land maintenance and holding costs | 531,790 | 371,985 | 1,436,069 | 1,796,314 |
Total mineral property expenses | 986,623 | 940,017 | 2,928,995 | 3,682,470 |
Kingsville Dome Project | ' | ' | ' | ' |
Mineral property expenditures | ' | ' | ' | ' |
Total Restoration/Recovery expenses | ' | 429,342 | 328,304 | 1,463,185 |
Total standby care and maintenance expenses | 209,565 | 54,569 | 502,628 | 130,177 |
Rosita Project | ' | ' | ' | ' |
Mineral property expenditures | ' | ' | ' | ' |
Total Restoration/Recovery expenses | 131,407 | 8,023 | 131,407 | 8,023 |
Total standby care and maintenance expenses | 20,667 | 61,537 | 258,119 | 257,970 |
Vasquez Project | ' | ' | ' | ' |
Mineral property expenditures | ' | ' | ' | ' |
Total Restoration/Recovery expenses | ' | ' | 26,766 | ' |
Total standby care and maintenance expenses | $93,194 | $14,561 | $245,702 | $26,801 |
ASSET_RETIREMENT_OBLIGATIONS_D
ASSET RETIREMENT OBLIGATIONS (Details) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Change in the reserve for future restoration and reclamation costs | ' | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | $3,833,608 | $4,498,057 | $4,498,057 |
Changes in cash flow estimates | ' | ' | 32,997 | ' | 584,025 |
Costs incurred | ' | ' | -131,562 | ' | -1,638,214 |
Accretion expense | 205,995 | 97,435 | 307,612 | 292,305 | 389,740 |
Balance at ending of period | 4,042,655 | ' | 4,042,655 | ' | 3,833,608 |
Less: Current portion | -203,553 | ' | -203,553 | ' | ' |
Non-current portion | $3,839,102 | ' | $3,839,102 | ' | $3,833,608 |
COMMON_STOCK_Details
COMMON STOCK (Details) (USD $) | 9 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 9 Months Ended | 0 Months Ended | 9 Months Ended | ||||||||
Sep. 30, 2014 | Sep. 30, 2013 | Apr. 15, 2014 | Apr. 15, 2014 | Feb. 12, 2012 | Feb. 12, 2012 | Oct. 31, 2011 | Sep. 30, 2014 | Jul. 02, 2014 | Nov. 05, 2014 | Oct. 31, 2011 | Oct. 06, 2014 | Aug. 08, 2014 | Aug. 08, 2014 | Sep. 30, 2014 | |
Former executive | Former executive | Registered direct offering | Registered direct offering | BTIG, LLC | BTIG, LLC | BTIG, LLC | BTIG, LLC | BTIG, LLC | Juan Tafoya Land Corporation | Juan Tafoya Land Corporation | Juan Tafoya Land Corporation | RCF | |||
ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | Uranium Mining Lease and Agreement | Uranium Mining Lease and Agreement | Uranium Mining Lease and Agreement | Facility | |||||||
Subsequent event | Maximum | ||||||||||||||
COMMON STOCK | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock issued | ' | ' | ' | ' | 3,960,000 | ' | ' | 788,186 | ' | ' | ' | ' | ' | ' | ' |
Common share price (in dollars per share) | ' | ' | ' | $2.80 | ' | $2.60 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from sale of shares of common stock | $11,519,950 | $3,599,432 | ' | ' | $9,307,245 | ' | ' | $2,586,358 | ' | ' | ' | ' | ' | ' | ' |
Aggregate offering price of the shares of common stock available to be sold under ATM Sales Agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,300,000 | 15,000,000 | ' | ' | ' | ' |
Aggregate price of the common stock in the prospectus filed with the SEC | ' | ' | ' | ' | ' | ' | ' | ' | 4,100,000 | ' | ' | ' | ' | ' | ' |
Percentage of commission to be paid on the gross proceeds from the sale of shares under ATM Sales Agreement | ' | ' | ' | ' | ' | ' | 3.00% | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock issued for loan interest and fees | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 253,376 |
Proceeds included in accounts receivable | ' | ' | ' | ' | ' | ' | ' | 358,988 | ' | ' | ' | ' | ' | ' | ' |
Interest and fees | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 676,409 |
Amount settled on settlement | ' | ' | 333,847 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock issued for settlement of litigation | ' | ' | 119,231 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock issued for settlement of land obligations (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 127,359 | ' | ' |
Common stock issued for settlement of land obligation | 342,595 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 342,595 | ' | ' |
Rental payments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 337,500 | ' |
Repurchase of common stock (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 91,631 | ' | ' | ' |
Repurchase of common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $248,383 | ' | ' | ' |
STOCKBASED_COMPENSATION_Detail
STOCK-BASED COMPENSATION (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Mar. 31, 2014 | |
2013 Omnibus Incentive Plan | Short-term incentive plan | |||
Stock-Based Compensation Plans | ' | ' | ' | ' |
Number of shares available for future grants | ' | ' | 642,699 | ' |
Stock compensation expense (in dollars) | $273,996 | $737,270 | ' | ' |
Grant date fair value of vested bonus shares issued | ' | ' | ' | $191,730 |
STOCKBASED_COMPENSATION_Detail1
STOCK-BASED COMPENSATION (Details 2) (USD $) | 9 Months Ended |
Sep. 30, 2014 | |
Outstanding Options, Number of stock options | ' |
Balance at the beginning of the period (in shares) | 309,479 |
Expired (in shares) | -131,250 |
Canceled or forfeited (in shares) | -14,000 |
Balance at the end of the period (in shares) | 164,229 |
Exercisable at the end of the period (in shares) | 117,564 |
Outstanding Options, Weighted Average Exercise Price | ' |
Balance at the beginning of the period (in dollars per share) | $19.75 |
Expired (in dollars per share) | $11.60 |
Canceled or forfeited (in dollars per share) | $31.31 |
Balance at the end of the period (in dollars per share) | $25.28 |
Exercisable at the end of the period (in dollars per share) | $34.01 |
STOCKBASED_COMPENSATION_Detail2
STOCK-BASED COMPENSATION (Details 3) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 |
1995 Stock Incentive Plan | 2004 Stock Incentive Plan | 2004 Director's Plan-Options | 2013 Omnibus Incentive Plan | Stock options | |||
Options Outstanding | ' | ' | ' | ' | ' | ' | ' |
Number of options outstanding (in shares) | 164,229 | 309,479 | 8,750 | 75,481 | 74,998 | 5,000 | ' |
Weighted Average Exercise price (in dollars per share) | $25.28 | $19.75 | $31.20 | $11.76 | $39.68 | $2.99 | ' |
Options Exercisable | ' | ' | ' | ' | ' | ' | ' |
Number of Options Exercisable (in shares) | 117,564 | ' | 8,750 | 38,814 | 70,000 | ' | ' |
Weighted Average Exercise Price (in dollars per share) | $34.01 | ' | $31.20 | $20.28 | $41.98 | ' | ' |
Total estimated unrecognized compensation cost (in dollars) | ' | ' | ' | ' | ' | ' | $107,589 |
Weighted average vesting period over which compensation cost is expected to be recognized | ' | ' | ' | ' | ' | ' | '1 year 8 months 23 days |
STOCKBASEDCOMPENSATION_Details
STOCK-BASEDCOMPENSATION (Details 4) (Restricted stock units, USD $) | 9 Months Ended |
Sep. 30, 2014 | |
Restricted stock units | ' |
Number of Shares | ' |
Balance at the beginning of the period (in shares) | 280,000 |
Granted (in shares) | 431,941 |
Forfeited (in shares) | -29,778 |
Vested (in shares) | -76,886 |
Balance at the end of the period (in shares) | 605,277 |
Weighted Average Grant Date Fair Value | ' |
Balance at the beginning of the period (in dollars per share) | $3.31 |
Granted (in dollars per share) | $2.61 |
Forfeited (in dollars per share) | $3.38 |
Vested (in dollars per share) | $3.20 |
Balance at the end of the period (in dollars per share) | $2.82 |
Total estimated unrecognized compensation cost (in dollars) | $1,133,404 |
Weighted average vesting period over which compensation cost is expected to be recognized | '2 years 4 months 13 days |
STOCKBASED_COMPENSATION_Detail3
STOCK-BASED COMPENSATION (Details 5) (Restricted stock, USD $) | 9 Months Ended |
Sep. 30, 2014 | |
Restricted stock | ' |
Number of Shares | ' |
Balance at the beginning of the period (in shares) | 54,151 |
Forfeited (in shares) | -5,601 |
Vested (in shares) | -20,230 |
Balance at the end of the period (in shares) | 28,320 |
Weighted Average Grant Date Fair Value | ' |
Balance at the beginning of the period (in dollars per share) | $5.49 |
Forfeited (in dollars per share) | $5.39 |
Vested (in dollars per share) | $5.58 |
Balance at the end of the period (in dollars per share) | $5.44 |
Total estimated unrecognized compensation cost (in dollars) | $118,380 |
Weighted average vesting period over which compensation cost is expected to be recognized | '1 year 1 month 24 days |
EARNINGS_PER_SHARE_Details
EARNINGS PER SHARE (Details) | 0 Months Ended | 3 Months Ended |
Jan. 22, 2013 | Sep. 30, 2014 | |
EARNINGS PER SHARE | ' | ' |
Reverse stock split ratio | 0.1 | ' |
Potential dilutive common stock excluded from the calculation of earnings per share (in shares) | ' | 3,846,429 |
SUBSEQUENT_EVENT_Detail
SUBSEQUENT EVENT (Detail) (Subsequent event, Uranco, Rio Grande Resources) | 0 Months Ended |
Nov. 06, 2014 | |
item | |
Subsequent event | Uranco | Rio Grande Resources | ' |
Subsequent event | ' |
Number of parcels | 2 |