Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2014 | 9-May-14 | |
Document and Entity Information | ' | ' |
Entity Registrant Name | 'URANIUM RESOURCES INC /DE/ | ' |
Entity Central Index Key | '0000839470 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 31-Mar-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 | ' | 24,724,629 |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
Current Assets: | ' | ' |
Cash and cash equivalents | $10,612,270 | $1,117,303 |
Prepaid and other current assets | 1,112,128 | 685,678 |
Total Current Assets | 11,724,398 | 1,802,981 |
Property, plant and equipment, at cost: | ' | ' |
Property, plant and equipment | 96,407,310 | 96,407,310 |
Less accumulated depreciation, depletion and impairment | -65,667,316 | -65,566,411 |
Net property, plant and equipment | 30,739,994 | 30,840,899 |
Restricted cash | 4,010,953 | 4,010,937 |
Total Assets | 46,475,345 | 36,654,817 |
Current Liabilities: | ' | ' |
Accounts payable | 814,182 | 1,243,169 |
Accrued liabilities | 2,092,768 | 1,775,491 |
Current portion of capital leases | 8,569 | 10,543 |
Total Current Liabilities | 2,915,519 | 3,029,203 |
Asset retirement obligations | 3,912,578 | 3,833,608 |
Derivative liability - convertible loan | 3,071,446 | 2,169,408 |
Convertible loan | 1,711,763 | 1,024,715 |
Other long-term liabilities and deferred credits | 1,350,000 | 1,350,000 |
Long-term capital leases, less current portion | 2,206 | 4,495 |
Total Liabilities | 12,963,512 | 11,411,429 |
Commitments and contingencies (Notes 3, 5, 6 and 10) | ' | ' |
Shareholders' Equity: | ' | ' |
Common stock, 200,000,000 shares authorized, $.001 par value; 24,442,014 and 19,820,258 shares issued and outstanding, respectively | 24,446 | 19,824 |
Paid-in capital | 228,426,888 | 216,703,028 |
Accumulated deficit | -194,930,083 | -191,470,046 |
Less: Treasury stock (3,813 shares), at cost | -9,418 | -9,418 |
Total Shareholders' Equity | 33,511,833 | 25,243,388 |
Total Liabilities and Shareholders' Equity | $46,475,345 | $36,654,817 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
Condensed 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 | 24,442,014 | 19,820,258 |
Common stock, shares outstanding | 24,442,014 | 19,820,258 |
Treasury stock, shares at cost | 3,813 | 3,813 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Cost of uranium sales: | ' | ' |
Operating expenses | $643,700 | $687,217 |
Mineral property expenses | 236,304 | 421,760 |
Accretion/amortization of asset retirement obligations | 79,179 | 97,435 |
Depreciation | 68,377 | 75,899 |
Impairment of uranium properties | ' | 279,429 |
Total cost of uranium sales | 1,027,560 | 1,561,740 |
Loss from operations before corporate expenses | -1,027,560 | -1,561,740 |
Corporate expenses: | ' | ' |
General and administrative | 2,641,500 | 2,635,236 |
Depreciation | 32,529 | 45,979 |
Total corporate expenses | 2,674,029 | 2,681,215 |
Loss from operations | -3,701,589 | -4,242,955 |
Other income and (expense): | ' | ' |
Unrealized gain - derivative liability | 653,768 | ' |
Interest expense | -414,003 | -239,718 |
Interest and other income, net | 1,787 | 9,226 |
Net loss | ($3,460,037) | ($4,473,447) |
Basic and diluted net loss per common share (in dollars per share) | ($0.15) | ($0.26) |
Basic and diluted average weighted shares outstanding (in shares) | 22,358,558 | 17,308,089 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | |
Operating activities: | ' | ' | ' |
Net loss | ($3,460,037) | ($4,473,447) | ' |
Reconciliation of net loss to cash used in operations: | ' | ' | ' |
Accretion/amortization of asset retirement obligations | 79,179 | 97,435 | 389,740 |
Amortization of debt discount | 242,854 | ' | ' |
Unrealized gain - derivative liability | -653,768 | ' | ' |
Decrease in restoration and reclamation accrual | -209 | -489,153 | ' |
Depreciation | 100,905 | 121,878 | ' |
Impairment of uranium properties | ' | 279,429 | ' |
Stock compensation expense | 116,688 | 244,985 | ' |
Effect of changes in operating working capital items: | ' | ' | ' |
(Increase) decrease in receivables | -244,598 | 276,801 | ' |
Increase in prepaid and other current assets | -181,868 | -21,534 | ' |
Increase in payables, accrued liabilities and deferred credits | 251,373 | 76,474 | ' |
Net cash used in operating activities | -3,749,481 | -3,887,132 | ' |
Cash flows from investing activities: | ' | ' | ' |
Restricted cash | ' | -5,632 | ' |
Additions to uranium properties | ' | -15,726 | ' |
Net cash used in investing activities | ' | -21,358 | ' |
Cash flows from financing activities: | ' | ' | ' |
Proceeds from convertible loan | 2,000,000 | ' | ' |
Payments on borrowings | -4,263 | -39,770 | ' |
Issuance of common stock, net | 11,248,711 | 3,633,883 | ' |
Net cash provided by financing activities | 13,244,448 | 3,594,113 | ' |
Net increase (decrease) in cash and cash equivalents | 9,494,967 | -314,377 | ' |
Cash and cash equivalents, beginning of period | 1,117,303 | 4,664,596 | 4,664,596 |
Cash and cash equivalents, end of period | 10,612,270 | 4,350,219 | 1,117,303 |
Cash paid during the period for: | ' | ' | ' |
Interest | 5,751 | 2,970 | ' |
Non-cash transactions: | ' | ' | ' |
Common stock issued for payment of convertible loan fees and interest | 363,083 | ' | ' |
Common stock issued for repayment of short-term loan principal and interest | ' | 5,095,832 | ' |
Common stock issued for services | ' | 291,500 | 291,500 |
Restricted stock issued for services | ' | $47 | ' |
DESCRIPTION_OF_BUSINESS
DESCRIPTION OF BUSINESS | 3 Months Ended |
Mar. 31, 2014 | |
DESCRIPTION OF BUSINESS | ' |
DESCRIPTION OF BUSINESS | ' |
1. DESCRIPTION OF BUSINESS | |
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
BASIS OF PRESENTATION | 3 Months Ended |
Mar. 31, 2014 | |
BASIS OF PRESENTATION | ' |
BASIS OF PRESENTATION | ' |
2. 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 the Company’s 2013 Annual Report on Form 10-K. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three months ended March 31, 2014 are not necessarily indicative of the results that may be expected for any other period including the full year ending December 31, 2014. |
LIQUIDITY
LIQUIDITY | 3 Months Ended |
Mar. 31, 2014 | |
LIQUIDITY | ' |
LIQUIDITY | ' |
3. LIQUIDITY | |
As of March 31, 2014, the Company had approximately $10.6 million in cash and our cash balance at May 6, 2014 was approximately $11.9 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 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 $1,875,826 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 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 $9,372,885. | |
On November 13, 2013, the Company and its largest stockholder, Resource Capital Fund V L.P. (“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 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. See Note 11 — Subsequent Events — Amendment to Loan Agreement. No additional amounts may be drawn under the Loan Agreement. | |
Given the current planned operations, the Company expects that its existing cash will provide it the necessary liquidity through 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 | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
PROPERTY, PLANT AND EQUIPMENT | ' | |||||||
PROPERTY, PLANT AND EQUIPMENT | ' | |||||||
4. PROPERTY, PLANT AND EQUIPMENT | ||||||||
Property, plant and equipment, net of accumulated depreciation, on the balance sheet consists of: | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Uranium plant | $ | 9,312,622 | $ | 9,343,846 | ||||
Mineral rights and properties | 19,749,754 | 19,749,754 | ||||||
Vehicles/depreciable equipment | 1,465,239 | 1,530,084 | ||||||
Other property, plant and equipment | 212,379 | 217,215 | ||||||
Total | $ | 30,739,994 | $ | 30,840,899 |
DEBT
DEBT | 3 Months Ended | ||||
Mar. 31, 2014 | |||||
DEBT | ' | ||||
DEBT | ' | ||||
5. 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, 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. See Note 11 — Subsequent Events — Amendment to Loan Agreement. No additional amounts may be drawn under the Loan Agreement. | |||||
On February 4, 2014, the Company paid a $300,000 loan establishment fee by the issuance of 117,188 shares of the common stock of the Company. The number of shares issued was determined based upon the volume weighted average price of the Company’s common stock for the 20 trading days ended October 17, 2013 ($2.56). On February 4, 2014, the Company also paid $16,083 of the commitment fee and $47,000 of interest accrued through December 31, 2013 by the issuance of 21,218 shares of the common stock of the Company. The number of shares issued was determined based upon the volume weighted average price of the Company’s common stock for the 20 trading days ended December 30, 2013 ($2.97). | |||||
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. 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. 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 case of certain equity issuances by the Company before November 13, 2014. As of May 9, 2014, RCF owned approximately 6.7 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 as of May 9, 2014, 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 35.1%. | |||||
Derivative Liability | |||||
The conversion feature of the Loan Agreement 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 convertible Loan Agreement 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. The initial fair value of the derivative liability offset was recognized as a debt discount and will be amortized over the life of the Loan Agreement. At the drawdown of the $3,000,000 on November 13, 2013, the fair value of the derivative liability related to the conversion feature was $2,061,794, at December 31, 2013 it was $2,169,408, and at March 31, 2014 it was $1,842,867. | |||||
At the drawdown of the $2,000,000 on February 4, 2014, the fair value of the derivative liability related to the conversion feature was $1,555,806, and at March 31, 2014 it was $1,228,578. The derivative liability was calculated using the Black-Scholes option pricing model with the following fair value Level 3 assumptions: | |||||
Risk-free interest rate | 0.65% - 0.90% | ||||
Expected life of derivative liability | 2.76 — 2.91 years | ||||
Expected volatility | 93% - 94% | ||||
Dividend rate | 0.00% | ||||
The changes in the derivative liabilities related to the conversion feature are as follows: | |||||
Derivative | |||||
Liability | |||||
Balance, January 1, 2014 | $ | 2,169,408 | |||
Fair value of $2,000,000 drawdown | 1,555,806 | ||||
Unrealized gain - derivative liability | (653,768 | ) | |||
Balance, March 31, 2014 | $ | 3,071,446 |
SHAREHOLDERS_EQUITY
SHAREHOLDERS' EQUITY | 3 Months Ended | ||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||
SHAREHOLDERS' EQUITY | ' | ||||||||||||||||||
SHAREHOLDERS' EQUITY | ' | ||||||||||||||||||
6. SHAREHOLDERS’ EQUITY | |||||||||||||||||||
The following table details the changes in shareholders’ equity for the quarter ended March 31, 2014: | |||||||||||||||||||
Common Stock | Accumulated | Treasury | |||||||||||||||||
Shares | Amount | Paid-In Capital | Deficit | Stock | Total | ||||||||||||||
Balances, January 1, 2014 | 19,820,258 | $ | 19,824 | $ | 216,703,028 | $ | (191,470,046 | ) | $ | (9,418 | ) | $ | 25,243,388 | ||||||
Net loss | (3,460,037 | ) | — | (3,460,037 | ) | ||||||||||||||
Common stock issuance for loan interest and fees | 138,406 | 138 | 362,945 | — | — | 363,083 | |||||||||||||
Stock compensation expense | — | — | 116,688 | — | — | 116,688 | |||||||||||||
Common stock issuance, net of issuance costs | 4,483,350 | 4,484 | 11,244,227 | — | — | 11,248,711 | |||||||||||||
Balances, March 31, 2014 | 24,442,014 | $ | 24,446 | $ | 228,426,888 | $ | (194,930,083 | ) | $ | (9,418 | ) | $ | 33,511,833 | ||||||
See Note 7 — Stock Based Compensation, for further discussion of stock compensation expense and restricted stock issuances. | |||||||||||||||||||
Equity Infusions | |||||||||||||||||||
Equity Infusion—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 $9,372,885. | |||||||||||||||||||
Equity Infusion—ATM Sales | |||||||||||||||||||
On October 31, 2011, the Company entered into an ATM Sales Agreement with BTIG LLC, a major global securities trading firm that acts as our sales agent. Under the ATM Sales Agreement, the Company may sell from time to time, in “at-the-market” offerings, shares of its common stock registered under its currently effective registration statement on Form S-3. On October 31, 2011, the Company filed a prospectus supplement 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 $15.0 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. | |||||||||||||||||||
From January 17, 2014 to January 31, 2014, the Company sold 523,350 shares of common stock for net proceeds of $1,875,826 under the ATM Sales Agreement. As of March 31, 2014, the Company has a total of $7.1 million available for future sales under the ATM Sales Agreement. |
STOCK_BASED_COMPENSATION
STOCK BASED COMPENSATION | 3 Months Ended | |||||||||||||
Mar. 31, 2014 | ||||||||||||||
STOCK BASED COMPENSATION | ' | |||||||||||||
STOCK BASED COMPENSATION | ' | |||||||||||||
7. STOCK BASED COMPENSATION | ||||||||||||||
Our stock based compensation programs consist of stock option, restricted stock unit and restricted stock grants made to employees and directors. | ||||||||||||||
The Company’s equity incentive plans 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. | ||||||||||||||
The 2013 Plan permits the grant of awards of stock options, stock appreciation rights, restricted stock, restricted stock units, unrestricted stock, dividend equivalent rights, performance shares and other performance-based awards, other equity-based awards, and cash bonus awards. The initial number of shares available for grant under the 2013 Plan was 1,159,123 shares. In addition, the number of shares of common stock available for issuance under the 2013 Plan is increased by the number of shares subject to awards (made under the 2013 Plan or that were outstanding under the prior plans on June 4, 2013) that terminate by expiration, forfeiture, cancellation or otherwise without the issuance of such shares. As of March 31, 2014, 1,045,721 shares were available for future issuances under the 2013 Plan. | ||||||||||||||
Stock compensation expense for the period ended March 31, 2014 and 2013 was approximately $117,000 and $245,000, 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. | ||||||||||||||
Stock Options | ||||||||||||||
Stock option awards are granted with an exercise price equal to the closing market price of the Company’s stock at the date of grant. Stock option awards granted to officers, employees, and directors generally vest ratably based on one to five years of continuous service and have a contractual term of ten years. | ||||||||||||||
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 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. | ||||||||||||||
During the period ended March 31, 2014, no stock options were granted. | ||||||||||||||
The following table summarizes stock options outstanding and changes during the period ended March 31, 2014: | ||||||||||||||
Outstanding Options | ||||||||||||||
Number of | Weighted | Weighted Average | Aggregate | |||||||||||
Shares | Average | Remaining | Intrinsic | |||||||||||
Exercise Price | Contractual Term | Value | ||||||||||||
(Years) | ||||||||||||||
Balance, January 1, 2014 | 309,479 | $ | 19.75 | |||||||||||
Granted | — | — | ||||||||||||
Exercised | — | — | ||||||||||||
Canceled or forfeited | — | — | ||||||||||||
Balance, March 31, 2014 | 309,479 | $ | 19.75 | 3.66 | $ | 1,650 | ||||||||
Options exercisable, March 31, 2014 | 256,656 | $ | 23.04 | 2.57 | $ | 427 | ||||||||
The following table summarizes both stock options outstanding and currently exercisable at March 31, 2014: | ||||||||||||||
Outstanding Options | Options Exercisable | |||||||||||||
Stock Option Plan | Number of | Weighted Average | Weighted | Number of | Weighted Average | |||||||||
Options | Remaining | Average | Options | Exercise Price | ||||||||||
Outstanding | Contractual Life | Exercise Price | Exercisable | |||||||||||
(in years) | ||||||||||||||
1995 Stock Incentive Plan | 145,906 | 0.38 | $ | 13.46 | 145,906 | $ | 13.46 | |||||||
2004 Stock Incentive Plan | 83,575 | 7.25 | 13.85 | 42,834 | 24.42 | |||||||||
2004 Directors’ Plan | 74,998 | 5.63 | 39.68 | 67,916 | 42.74 | |||||||||
2013 Omnibus Incentive Plan | 5,000 | 9.75 | 2.99 | — | — | |||||||||
309,479 | 3.66 | $ | 19.75 | 256,656 | $ | 23.04 | ||||||||
Total estimated unrecognized compensation cost from unvested stock options as of March 31, 2014 was approximately $157,000, which is expected to be recognized over a weighted average period of approximately 2 years. | ||||||||||||||
Restricted Stock Units | ||||||||||||||
Time-based and performance-based restricted stock units (“RSUs”) are valued using the market value 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 Company also issues RSUs to members of its Board of Directors, which vest over four years. | ||||||||||||||
The following table summarizes RSU activity during the period ended March 31, 2014: | ||||||||||||||
Number of | Weighted-Average | |||||||||||||
Shares | Grant Date Fair | |||||||||||||
Value | ||||||||||||||
Balance, January 1, 2014 | 280,000 | $ | 3.31 | |||||||||||
Granted | — | $ | — | |||||||||||
Forfeited | — | $ | — | |||||||||||
Vested | (33,333 | ) | $ | 2.83 | ||||||||||
Balance, March 31, 2014 | 246,667 | $ | 3.37 | |||||||||||
Total estimated unrecognized compensation cost from unvested RSUs as of March 31, 2014 was approximately $549,000, which is expected to be recognized over a weighted average period of approximately 2 years. | ||||||||||||||
Restricted Stock | ||||||||||||||
Time-based and performance-based restricted stock grants are valued using the fair market value of the 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 grants 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. | ||||||||||||||
A summary of the status of non-vested shares of restricted stock is presented below: | ||||||||||||||
Number of | Weighted- | |||||||||||||
Shares | Average | |||||||||||||
Grant Date | ||||||||||||||
Fair Value | ||||||||||||||
Balance, January 1, 2014 | 54,151 | $ | 5.49 | |||||||||||
Granted | — | $ | — | |||||||||||
Forfeited | (1,851 | ) | $ | 2.73 | ||||||||||
Vested | (11,482 | ) | $ | 2.73 | ||||||||||
Balance, March 31, 2014 | 40,818 | $ | 6.39 | |||||||||||
The total estimated unrecognized compensation cost from the unvested restricted grants at March 31, 2014 was approximately $166,000, which is expected to be recognized over the weighted average vesting period of 1.9 years. |
ASSET_RETIREMENT_OBLIGATIONS
ASSET RETIREMENT OBLIGATIONS | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
ASSET RETIREMENT OBLIGATIONS | ' | |||||||
ASSET RETIREMENT OBLIGATIONS | ' | |||||||
8. ASSET RETIREMENT OBLIGATIONS | ||||||||
The following table summarizes the changes in the reserve for future restoration and reclamation costs on the balance sheet: | ||||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Balance, January 1, 2014 | $ | 3,833,608 | $ | 4,498,057 | ||||
Changes in cash flow estimates | — | 584,025 | ||||||
Costs incurred | (209 | ) | (1,638,214 | ) | ||||
Accretion expense | 79,179 | 389,740 | ||||||
Balance, March 31, 2014 | $ | 3,912,578 | $ | 3,833,608 |
EARNINGS_PER_SHARE
EARNINGS PER SHARE | 3 Months Ended |
Mar. 31, 2014 | |
EARNINGS PER SHARE | ' |
EARNINGS PER SHARE | ' |
9. 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. Potentially dilutive shares of 2,150,057 were excluded from the calculation of earnings per share because they were anti-dilutive due to our net loss position for the quarter ended March 31, 2014. |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2014 | |
COMMITMENTS AND CONTINGENCIES | ' |
COMMITMENTS AND CONTINGENCIES | ' |
10. 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 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. | |
In connection with our May 2008 private placement and the March 2012 investment agreement with RCF, the Company executed registration rights agreements pursuant to which the shares issued in the private placement and to RCF were registered. The registration rights agreements provide for penalties in the event they fail to remain effective. At March 31, 2014, the Company’s registration statements were and remain effective. | |
Change in Control Agreements | |
The Company has entered into employment agreements with its Chief Executive Officer and Chief Financial Officer and compensation agreements with certain other executive officers of the Company that provide that, in the event of a change in control of the Company (as defined in the agreements), such officers will have certain rights and benefits following a change in control. If in connection with a change in control the employment of such officers is terminated, under certain circumstances, the officers will be entitled to lump-sum payments under the employment agreements or base salary, certain incentive payments and benefits for a period of 24 months under the compensation agreements. |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Mar. 31, 2014 | |
SUBSEQUENT EVENTS | ' |
SUBSEQUENT EVENTS | ' |
11. SUBSEQUENT EVENTS | |
Settlement of Ehrlich Litigation | |
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 April 15, 2014, the Company and Mr. Ehrlich entered into a Settlement Agreement and General Release, under the terms of which Mr. Ehrlich agreed to dismiss his claims in his lawsuit with prejudice in exchange for the payment by the Company of Mr. Ehrlich’s attorneys’ fees in the amount of $50,000 and for the issuance by the Company to Mr. Ehrlich of 119,231 shares of common stock. As of March 31, 2014, the Company has accrued $360,000 based on the estimated settlement. | |
Amendment to Loan Agreement | |
On April 29, 2014, the Company and RCF entered into Amendment No. 1 to the Loan Agreement (the “Amendment”). The Amendment reduced the amount available under the second tranche of the Loan Agreement from $5.0 million to $3.0 million and terminated RCF’s commitment relating to the $5.0 million third tranche. As a consequence, the aggregate amount available under the Loan Agreement decreased from $15.0 million to $8.0 million. Following execution of the Amendment, the Company requested, and RCF advanced on April 30, 2014, 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. |
PROPERTY_PLANT_AND_EQUIPMENT_T
PROPERTY, PLANT AND EQUIPMENT (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
PROPERTY, PLANT AND EQUIPMENT | ' | |||||||
Schedule of property, plant and equipment | ' | |||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Uranium plant | $ | 9,312,622 | $ | 9,343,846 | ||||
Mineral rights and properties | 19,749,754 | 19,749,754 | ||||||
Vehicles/depreciable equipment | 1,465,239 | 1,530,084 | ||||||
Other property, plant and equipment | 212,379 | 217,215 | ||||||
Total | $ | 30,739,994 | $ | 30,840,899 |
DEBT_Tables
DEBT (Tables) | 3 Months Ended | ||||
Mar. 31, 2014 | |||||
DEBT | ' | ||||
Schedule of assumptions used in calculation of the derivative liability using the Black-Scholes option pricing model | ' | ||||
Risk-free interest rate | 0.65% - 0.90% | ||||
Expected life of derivative liability | 2.76 — 2.91 years | ||||
Expected volatility | 93% - 94% | ||||
Dividend rate | 0.00% | ||||
Schedule of changes in the derivative liabilities related to the conversion feature | ' | ||||
Derivative | |||||
Liability | |||||
Balance, January 1, 2014 | $ | 2,169,408 | |||
Fair value of $2,000,000 drawdown | 1,555,806 | ||||
Unrealized gain - derivative liability | (653,768 | ) | |||
Balance, March 31, 2014 | $ | 3,071,446 |
SHAREHOLDERS_EQUITY_Tables
SHAREHOLDERS' EQUITY (Tables) | 3 Months Ended | ||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||
SHAREHOLDERS' EQUITY | ' | ||||||||||||||||||
Schedule of changes in shareholders' equity | ' | ||||||||||||||||||
Common Stock | Accumulated | Treasury | |||||||||||||||||
Shares | Amount | Paid-In Capital | Deficit | Stock | Total | ||||||||||||||
Balances, January 1, 2014 | 19,820,258 | $ | 19,824 | $ | 216,703,028 | $ | (191,470,046 | ) | $ | (9,418 | ) | $ | 25,243,388 | ||||||
Net loss | (3,460,037 | ) | — | (3,460,037 | ) | ||||||||||||||
Common stock issuance for loan interest and fees | 138,406 | 138 | 362,945 | — | — | 363,083 | |||||||||||||
Stock compensation expense | — | — | 116,688 | — | — | 116,688 | |||||||||||||
Common stock issuance, net of issuance costs | 4,483,350 | 4,484 | 11,244,227 | — | — | 11,248,711 | |||||||||||||
Balances, March 31, 2014 | 24,442,014 | $ | 24,446 | $ | 228,426,888 | $ | (194,930,083 | ) | $ | (9,418 | ) | $ | 33,511,833 |
STOCK_BASED_COMPENSATION_Table
STOCK BASED COMPENSATION (Tables) | 3 Months Ended | |||||||||||||
Mar. 31, 2014 | ||||||||||||||
STOCK BASED COMPENSATION | ' | |||||||||||||
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) | ||||||||||||||
Balance, January 1, 2014 | 309,479 | $ | 19.75 | |||||||||||
Granted | — | — | ||||||||||||
Exercised | — | — | ||||||||||||
Canceled or forfeited | — | — | ||||||||||||
Balance, March 31, 2014 | 309,479 | $ | 19.75 | 3.66 | $ | 1,650 | ||||||||
Options exercisable, March 31, 2014 | 256,656 | $ | 23.04 | 2.57 | $ | 427 | ||||||||
Summary of stock options outstanding and currently exercisable | ' | |||||||||||||
Outstanding Options | Options Exercisable | |||||||||||||
Stock Option Plan | Number of | Weighted Average | Weighted | Number of | Weighted Average | |||||||||
Options | Remaining | Average | Options | Exercise Price | ||||||||||
Outstanding | Contractual Life | Exercise Price | Exercisable | |||||||||||
(in years) | ||||||||||||||
1995 Stock Incentive Plan | 145,906 | 0.38 | $ | 13.46 | 145,906 | $ | 13.46 | |||||||
2004 Stock Incentive Plan | 83,575 | 7.25 | 13.85 | 42,834 | 24.42 | |||||||||
2004 Directors’ Plan | 74,998 | 5.63 | 39.68 | 67,916 | 42.74 | |||||||||
2013 Omnibus Incentive Plan | 5,000 | 9.75 | 2.99 | — | — | |||||||||
309,479 | 3.66 | $ | 19.75 | 256,656 | $ | 23.04 | ||||||||
Summary of RSU activity | ' | |||||||||||||
Number of | Weighted-Average | |||||||||||||
Shares | Grant Date Fair | |||||||||||||
Value | ||||||||||||||
Balance, January 1, 2014 | 280,000 | $ | 3.31 | |||||||||||
Granted | — | $ | — | |||||||||||
Forfeited | — | $ | — | |||||||||||
Vested | (33,333 | ) | $ | 2.83 | ||||||||||
Balance, March 31, 2014 | 246,667 | $ | 3.37 | |||||||||||
Summary of the status of non-vested shares of restricted stock | ' | |||||||||||||
Number of | Weighted- | |||||||||||||
Shares | Average | |||||||||||||
Grant Date | ||||||||||||||
Fair Value | ||||||||||||||
Balance, January 1, 2014 | 54,151 | $ | 5.49 | |||||||||||
Granted | — | $ | — | |||||||||||
Forfeited | (1,851 | ) | $ | 2.73 | ||||||||||
Vested | (11,482 | ) | $ | 2.73 | ||||||||||
Balance, March 31, 2014 | 40,818 | $ | 6.39 |
ASSET_RETIREMENT_OBLIGATIONS_T
ASSET RETIREMENT OBLIGATIONS (Tables) | 3 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
ASSET RETIREMENT OBLIGATIONS | ' | |||||||
Summary of the changes in the reserve for future restoration and reclamation costs | ' | |||||||
March 31, | December 31, | |||||||
2014 | 2013 | |||||||
Balance, January 1, 2014 | $ | 3,833,608 | $ | 4,498,057 | ||||
Changes in cash flow estimates | — | 584,025 | ||||||
Costs incurred | (209 | ) | (1,638,214 | ) | ||||
Accretion expense | 79,179 | 389,740 | ||||||
Balance, March 31, 2014 | $ | 3,912,578 | $ | 3,833,608 |
DESCRIPTION_OF_BUSINESS_Detail
DESCRIPTION OF BUSINESS (Details) | 3 Months Ended |
Mar. 31, 2014 | |
property | |
facility | |
DESCRIPTION OF BUSINESS | ' |
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 |
LIQUIDITY_Details
LIQUIDITY (Details) (USD $) | 3 Months Ended | 0 Months Ended | 0 Months Ended | 0 Months Ended | 3 Months Ended | 0 Months Ended | ||||||||||||||||||
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Feb. 12, 2014 | Jan. 31, 2014 | Mar. 31, 2014 | Oct. 31, 2011 | Oct. 28, 2011 | Nov. 13, 2013 | Mar. 31, 2014 | Feb. 04, 2014 | Nov. 13, 2013 | Jan. 28, 2014 | Mar. 31, 2014 | Nov. 13, 2013 | Mar. 31, 2014 | Nov. 13, 2013 | 6-May-14 | Apr. 30, 2014 | Apr. 29, 2014 | Apr. 30, 2014 | Apr. 29, 2014 | Apr. 29, 2014 | |
Registered direct offering | BTIG, LLC | BTIG, LLC | BTIG, LLC | BTIG, LLC | Loan Agreement | Loan Agreement | 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 | |||||
ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | RCF | RCF | Tranche one | Tranche one | Tranche one | Tranche two | Tranche two | Tranche three | Tranche three | Loan Agreement | Loan Agreement | Loan Agreement | Loan Agreement | Loan Agreement | |||||||
Maximum | Maximum | tranche | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | Tranche two | Tranche two | Tranche three | ||||||||||
RCF | RCF | RCF | ||||||||||||||||||||||
LIQUIDITY | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | $10,612,270 | $4,350,219 | $1,117,303 | $4,664,596 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $11,900,000 | ' | ' | ' | ' | ' |
Uranium inventory | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
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 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares of common stock sold | ' | ' | ' | ' | 3,960,000 | 523,350 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net proceeds from sale of shares of common stock | 11,248,711 | 3,633,883 | ' | ' | 9,372,885 | 1,875,826 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Price per share (in dollars per share) | ' | ' | ' | ' | $2.60 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15,000,000 | 15,000,000 | ' | 5,000,000 | ' | 5,000,000 | 5,000,000 | 5,000,000 | 5,000,000 | ' | ' | 8,000,000 | ' | 3,000,000 | 0 |
Number of tranches | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional amounts that may be drawn | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' |
Proceeds from borrowings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2,000,000 | $3,000,000 | $3,000,000 | ' | ' | ' | ' | ' | ' | ' | $3,000,000 | ' | ' |
PROPERTY_PLANT_AND_EQUIPMENT_D
PROPERTY, PLANT AND EQUIPMENT (Details) (USD $) | Mar. 31, 2014 | Dec. 31, 2013 |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | $30,739,994 | $30,840,899 |
Uranium plant | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | 9,312,622 | 9,343,846 |
Mineral rights and properties | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | 19,749,754 | 19,749,754 |
Vehicles/depreciable equipment | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | 1,465,239 | 1,530,084 |
Other property, plant and equipment | ' | ' |
PROPERTY, PLANT AND EQUIPMENT | ' | ' |
Property, Plant and Equipment Balances (net) | $212,379 | $217,215 |
DEBT_Details
DEBT (Details) (USD $) | 3 Months Ended | 0 Months Ended | 3 Months Ended | 0 Months Ended | 3 Months Ended | 0 Months Ended | |||||||||||||||||
Mar. 31, 2014 | Mar. 31, 2013 | 9-May-14 | Feb. 04, 2014 | 9-May-14 | Nov. 13, 2013 | Mar. 31, 2014 | 9-May-14 | Apr. 30, 2014 | Apr. 29, 2014 | 9-May-14 | Feb. 04, 2014 | Nov. 13, 2013 | Jan. 28, 2014 | Mar. 31, 2014 | Nov. 13, 2013 | Apr. 30, 2014 | Apr. 29, 2014 | Mar. 31, 2014 | Nov. 13, 2013 | Apr. 29, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | |
RCF | RCF | RCF | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | Facility | |||
Subsequent event | Short-Term Financing | Subsequent event | RCF | RCF | RCF | RCF | RCF | RCF | Tranche one | Tranche one | Tranche one | Tranche two | Tranche two | Tranche two | Tranche two | Tranche three | Tranche three | Tranche three | Period through January 29, 2014 | Period after January 29, 2014 | |||
Day | Expected | tranche | nominee | Subsequent event | Subsequent event | Subsequent event | Subsequent event | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | ||||
Expected | Subsequent event | Subsequent event | Subsequent event | ||||||||||||||||||||
Debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | $15,000,000 | $15,000,000 | ' | ' | $8,000,000 | ' | ' | $5,000,000 | ' | $5,000,000 | $5,000,000 | ' | $3,000,000 | $5,000,000 | $5,000,000 | $0 | ' | ' |
Number of tranches | ' | ' | ' | ' | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from borrowings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,000,000 | 3,000,000 | 3,000,000 | ' | ' | 3,000,000 | ' | ' | ' | ' | ' | ' |
Loan establishment fee | ' | ' | ' | 300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock issued for payment of loan establishment fee | ' | ' | ' | 117,188 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period of trading days for which volume weighted average price was considered to determine shares issuable for payment of loan establishment fee | ' | ' | ' | 20 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Volume weighted average price for payment of loan establishment fee (in dollars per share) | ' | ' | ' | $2.56 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Commitment fee | ' | ' | ' | 16,083 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest on loan paid | 5,751 | 2,970 | ' | 47,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock issued for payment of commitment fee and accrued interest | ' | ' | ' | 21,218 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
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 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Volume weighted average price for payment of commitment fee and accrued interest (in dollars per share) | ' | ' | ' | $2.97 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Annualized interest rate (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12.00% | 10.00% |
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 | ' | ' | 6,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ownership percentage | ' | ' | 27.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amount outstanding | ' | ' | ' | ' | ' | ' | ' | 8,000,000 | 8,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional amounts that may be drawn | ' | ' | ' | ' | ' | ' | ' | ' | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of common stock issued upon conversion | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ownership percentage after conversion of debt outstanding | ' | ' | ' | ' | 35.10% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
DEBT_Details_2
DEBT (Details 2) (USD $) | 3 Months Ended | 0 Months Ended | 3 Months Ended | 3 Months Ended | ||||||||
Mar. 31, 2014 | Mar. 31, 2014 | Feb. 04, 2014 | Nov. 13, 2013 | Jan. 28, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Nov. 13, 2013 | Mar. 31, 2014 | Feb. 04, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | |
Agreement | Agreement | Agreement | Agreement | Agreement | Agreement | Agreement | Agreement | Agreement | Agreement | Agreement | ||
RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | RCF | ||
Tranche one | Tranche one | Tranche one | 3,000,000 | 3,000,000 | 3,000,000 | 2,000,000 | 2,000,000 | Minimum | Maximum | |||
Convertible loan facility | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from borrowings | ' | ' | $2,000,000 | $3,000,000 | $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) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.65% | 0.90% |
Expected life of derivative liability | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2 years 9 months 4 days | '2 years 10 months 28 days |
Expected volatility (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 93.00% | 94.00% |
Dividend rate (as a percent) | ' | 0.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Changes in the derivative liability related to the conversion feature | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at the beginning of the period | ' | 2,169,408 | ' | ' | ' | 1,842,867 | 2,169,408 | 2,061,794 | 1,228,578 | 1,555,806 | ' | ' |
Fair value of $2,000,000 drawdown | ' | 1,555,806 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrealized gain - derivative liability | -653,768 | -653,768 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at the end of the period | ' | $3,071,446 | ' | ' | ' | $1,842,867 | $2,169,408 | $2,061,794 | $1,228,578 | $1,555,806 | ' | ' |
SHAREHOLDERS_EQUITY_Details
SHAREHOLDERS' EQUITY (Details) (USD $) | 3 Months Ended | ||||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | |
Common Stock | Paid-In Capital | Accumulated Deficit | Treasury Stock | Treasury Stock | |||
SHAREHOLDERS' EQUITY | ' | ' | ' | ' | ' | ' | ' |
Common stock, shares outstanding | 24,442,014 | ' | 24,442,014 | ' | ' | ' | ' |
Changes in shareholders equity | ' | ' | ' | ' | ' | ' | ' |
Balance at the beginning of the period (in shares) | 19,820,258 | ' | 19,820,258 | ' | ' | ' | ' |
Balance at the beginning of the period | $25,243,388 | ' | $19,824 | $216,703,028 | ($191,470,046) | ($9,418) | ($9,418) |
Net loss | -3,460,037 | -4,473,447 | ' | ' | -3,460,037 | ' | ' |
Common stock issuance for loan principal and interest | ' | 5,095,832 | ' | ' | ' | ' | ' |
Common stock issuance for loan interest and fees (in shares) | ' | ' | 138,406 | ' | ' | ' | ' |
Common stock issuance for loan interest and fees | 363,083 | ' | 138 | 362,945 | ' | ' | ' |
Stock compensation expense | 116,688 | ' | ' | 116,688 | ' | ' | ' |
Common stock issuance, net of issuance costs (in shares) | ' | ' | 4,483,350 | ' | ' | ' | ' |
Common stock issuance, net of issuance costs | 11,248,711 | ' | 4,484 | 11,244,227 | ' | ' | ' |
Balance at the end of the period (in shares) | 24,442,014 | ' | 24,442,014 | ' | ' | ' | ' |
Balance at the end of the period | $33,511,833 | ' | $24,446 | $228,426,888 | ($194,930,083) | ($9,418) | ($9,418) |
SHAREHOLDERS_EQUITY_Details_2
SHAREHOLDERS' EQUITY (Details 2) (USD $) | 3 Months Ended | 0 Months Ended | ||||||
Mar. 31, 2014 | Mar. 31, 2013 | Feb. 12, 2014 | Jan. 31, 2014 | Oct. 31, 2011 | Mar. 31, 2014 | Oct. 31, 2011 | Oct. 28, 2011 | |
Registered direct offering | BTIG LLC | BTIG LLC | BTIG LLC | BTIG LLC | BTIG LLC | |||
ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | ATM Sales Agreement | ||||
Maximum | Maximum | |||||||
SHAREHOLDERS' EQUITY | ' | ' | ' | ' | ' | ' | ' | ' |
Shares of common stock sold | ' | ' | 3,960,000 | 523,350 | ' | ' | ' | ' |
Price per share under private placement (in dollars per share) | ' | ' | $2.60 | ' | ' | ' | ' | ' |
Proceeds from sale of shares of common stock | $11,248,711 | $3,633,883 | $9,372,885 | $1,875,826 | ' | ' | ' | ' |
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 |
Percentage of commission to be paid on the gross proceeds from the sale of shares under ATM Sales Agreement | ' | ' | ' | ' | 3.00% | ' | ' | ' |
STOCK_BASED_COMPENSATION_Detai
STOCK BASED COMPENSATION (Details) (USD $) | 3 Months Ended | ||||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Jun. 04, 2013 | |
Stock options | Stock options | Stock options | 2013 Omnibus Incentive Plan | 2013 Omnibus Incentive Plan | |||
Minimum | Maximum | ||||||
Stock-Based Compensation Plans | ' | ' | ' | ' | ' | ' | ' |
Number of shares available for future grants | ' | ' | ' | ' | ' | 1,045,721 | 1,159,123 |
Stock compensation expense (in dollars) | $117,000 | $245,000 | ' | ' | ' | ' | ' |
Vesting period | ' | ' | ' | '1 year | '5 years | ' | ' |
Contractual term | ' | ' | '10 years | ' | ' | ' | ' |
Total estimated unrecognized compensation cost (in dollars) | ' | ' | $157,000 | ' | ' | ' | ' |
STOCK_BASED_COMPENSATION_Detai1
STOCK BASED COMPENSATION (Details 2) (USD $) | 3 Months Ended |
Mar. 31, 2014 | |
Outstanding Options, Number of Shares | ' |
Balance at the beginning of the period (in shares) | 309,479 |
Granted (in shares) | 0 |
Balance at the end of the period (in shares) | 309,479 |
Exercisable at the end of the period (in shares) | 256,656 |
Outstanding Options, Weighted Average Exercise Price | ' |
Balance at the beginning of the period (in dollars per share) | $19.75 |
Balance at the end of the period (in dollars per share) | $19.75 |
Exercisable at the end of the period (in dollars per share) | $23.04 |
Outstanding Options, Weighted Average Remaining Contractual Term | ' |
Balance at the end of the period | '3 years 7 months 28 days |
Exercisable at the end of the period | '2 years 6 months 25 days |
Outstanding Options, Aggregate Intrinsic Value | ' |
Balance at the end of the period (in dollars) | $1,650 |
Exercisable at the end of the period (in dollars) | $427 |
STOCK_BASED_COMPENSATION_Detai2
STOCK BASED COMPENSATION (Details 3) (USD $) | 3 Months Ended | |
Mar. 31, 2014 | Dec. 31, 2013 | |
Options Outstanding | ' | ' |
Number of options outstanding (in shares) | 309,479 | 309,479 |
Weighted Average Remaining Contractual Life | '3 years 7 months 28 days | ' |
Weighted Average Exercise price (in dollars per share) | $19.75 | $19.75 |
Options Exercisable | ' | ' |
Number of Options Exercisable (in shares) | 256,656 | ' |
Weighted Average Exercise Price (in dollars per share) | $23.04 | ' |
1995 Stock Incentive Plan | ' | ' |
Options Outstanding | ' | ' |
Number of options outstanding (in shares) | 145,906 | ' |
Weighted Average Remaining Contractual Life | '4 months 17 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) | 83,575 | ' |
Weighted Average Remaining Contractual Life | '7 years 3 months | ' |
Weighted Average Exercise price (in dollars per share) | $13.85 | ' |
Options Exercisable | ' | ' |
Number of Options Exercisable (in shares) | 42,834 | ' |
Weighted Average Exercise Price (in dollars per share) | $24.42 | ' |
2004 Directors' Plan | ' | ' |
Options Outstanding | ' | ' |
Number of options outstanding (in shares) | 74,998 | ' |
Weighted Average Remaining Contractual Life | '5 years 7 months 17 days | ' |
Weighted Average Exercise price (in dollars per share) | $39.68 | ' |
Options Exercisable | ' | ' |
Number of Options Exercisable (in shares) | 67,916 | ' |
Weighted Average Exercise Price (in dollars per share) | $42.74 | ' |
2013 Omnibus Incentive Plan | ' | ' |
Options Outstanding | ' | ' |
Number of options outstanding (in shares) | 5,000 | ' |
Weighted Average Remaining Contractual Life | '9 years 9 months | ' |
Weighted Average Exercise price (in dollars per share) | $2.99 | ' |
STOCK_BASED_COMPENSATION_Detai3
STOCK BASED COMPENSATION (Details 4) (USD $) | 3 Months Ended |
Mar. 31, 2014 | |
Stock options | ' |
Weighted Average Grant Date Fair Value | ' |
Weighted average vesting period over which compensation cost is expected to be recognized | '2 years |
Stock options | Minimum | ' |
Unrecognized compensation cost | ' |
Vesting period | '1 year |
Stock options | Maximum | ' |
Unrecognized compensation cost | ' |
Vesting period | '5 years |
Restricted stock units | ' |
Unrecognized compensation cost | ' |
Vesting period | '4 years |
Number of Shares | ' |
Balance at the beginning of the period (in shares) | 280,000 |
Vested (in shares) | -33,333 |
Balance at the end of the period (in shares) | 246,667 |
Weighted Average Grant Date Fair Value | ' |
Balance at the beginning of the period (in dollars per share) | 3.31 |
Vested (in dollars per share) | 2.83 |
Balance at the end of the period (in dollars per share) | 3.37 |
Total estimated unrecognized compensation cost (in dollars) | 549,000 |
Weighted average vesting period over which compensation cost is expected to be recognized | '2 years |
STOCK_BASED_COMPENSATION_Detai4
STOCK BASED COMPENSATION (Details 5) (Restricted stock, USD $) | 3 Months Ended |
Mar. 31, 2014 | |
Restricted stock | ' |
Number of Shares | ' |
Balance at the beginning of the period (in shares) | 54,151 |
Forfeited (in shares) | -1,851 |
Vested (in shares) | -11,482 |
Balance at the end of the period (in shares) | 40,818 |
Weighted Average Grant Date Fair Value | ' |
Balance at the beginning of the period (in dollars per share) | $5.49 |
Forfeited (in dollars per share) | $2.73 |
Vested (in dollars per share) | $2.73 |
Balance at the end of the period (in dollars per share) | $6.39 |
Total estimated unrecognized compensation cost (in dollars) | $166,000 |
Weighted average vesting period over which compensation cost is expected to be recognized | '1 year 10 months 24 days |
ASSET_RETIREMENT_OBLIGATIONS_D
ASSET RETIREMENT OBLIGATIONS (Details) (USD $) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | Dec. 31, 2013 | |
Change in the reserve for future restoration and reclamation costs | ' | ' | ' |
Balance at the beginning of the period | $3,833,608 | $4,498,057 | $4,498,057 |
Changes in cash flow estimates | ' | ' | 584,025 |
Costs incurred | -209 | ' | -1,638,214 |
Accretion expense | 79,179 | 97,435 | 389,740 |
Balance at the end of the period | $3,912,578 | ' | $3,833,608 |
EARNINGS_PER_SHARE_Details
EARNINGS PER SHARE (Details) | 0 Months Ended | 3 Months Ended |
Jan. 22, 2013 | Mar. 31, 2014 | |
EARNINGS PER SHARE | ' | ' |
Reverse stock split ratio | 0.1 | ' |
Potential dilutive common stock excluded from the calculation of earnings per share (in shares) | ' | 2,150,057 |
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Details) (Executive officers) | 3 Months Ended |
Mar. 31, 2014 | |
Executive officers | ' |
Employment Agreements | ' |
Period to receive certain rights and benefits in the event of change in control | '24 months |
SUBSEQUENT_EVENTS_Details
SUBSEQUENT EVENTS (Details) (USD $) | Mar. 31, 2014 | Nov. 13, 2013 | Mar. 31, 2014 | Nov. 13, 2013 | Mar. 31, 2014 | Nov. 13, 2013 | Mar. 31, 2014 | 9-May-14 | Apr. 30, 2014 | Apr. 29, 2014 | Apr. 30, 2014 | Apr. 29, 2014 | Apr. 29, 2014 | Apr. 15, 2014 |
Loan Agreement | Loan Agreement | Loan Agreement | Loan Agreement | Loan Agreement | Loan Agreement | Thomas H. Ehrlich | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | Subsequent event | |
RCF | RCF | RCF | RCF | RCF | RCF | Loan Agreement | Loan Agreement | Loan Agreement | Loan Agreement | Loan Agreement | Loan Agreement | Thomas H. Ehrlich | ||
Tranche two | Tranche two | Tranche three | Tranche three | RCF | RCF | RCF | RCF | RCF | RCF | |||||
Tranche two | Tranche two | Tranche three | ||||||||||||
Subsequent event | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payment of attorneys' fees | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $50,000 |
Shares issued for dismissal of claims | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 119,231 |
Amount accrued based on estimated settlement | ' | ' | ' | ' | ' | ' | 360,000 | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | 15,000,000 | 15,000,000 | 5,000,000 | 5,000,000 | 5,000,000 | 5,000,000 | ' | ' | ' | 8,000,000 | ' | 3,000,000 | 0 | ' |
Proceeds from borrowings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,000,000 | ' | ' | ' |
Amount drawn | ' | ' | ' | ' | ' | ' | ' | 8,000,000 | 8,000,000 | ' | ' | ' | ' | ' |
Additional amounts that may be drawn | ' | ' | ' | ' | ' | ' | ' | ' | $0 | ' | ' | ' | ' | ' |