Uranerz Announces Second Quarter Financial
Results
Uranerz Energy Corporation ("Uranerz" or the "Company") (NYSE Amex and
TSX: URZ; Frankfurt: U9E) has released its financial results for the second
quarter ended June 30, 2011 as filed with the United States Securities and
Exchange Commission ("SEC") and in Canada with the Canadian
securities administrators ("SEDAR").
Uranerz recently commenced construction of its first
uranium mine, the Nichols Ranch ISR Uranium Project, and is continuing to
expand its resource base through exploration programs in the Powder River Basin
of Wyoming.
Second Quarter Highlights:
During the second quarter of 2011 the Company:
- Had cash of $44,852,760 and
working capital of $44,754,877;
- Commenced its 2011 exploration
program: drilled a total of 135 holes for a total of 96,000 feet with
three drill rigs;
- Began drilling mineral
delineation holes on the west flank (Mining Area 2) of Nichols Ranch;
- Completed planning for the
construction of the Nichols Ranch production facility;
- Drilled and successfully
installed a water-well at Nichols Ranch. The well is for obtaining water
to be used for exploration drilling and during installation of monitor and
production wells at Nichols Ranch;
- Finalized plans for the
installation of the monitor and production wells at Nichols Ranch;
- Hired a new employee for well
field development at Nichols Ranch;
- Continued preparation of permit
applications for a third mining unit;
- Issued 414,500 shares of common
stock pursuant to the exercise of stock options, for proceeds of $485,825;
- Extended its stock option plan
by ten years and twenty million shares of common stock; and
- Approved an increase of its
authorized common shares from 200 million to 750 million.
Recent
Highlights:
Subsequent to the end of the second quarter, the Company received its Materials
License from the Nuclear Regulatory Commission. As of July 20, 2011 the Company
has received all authorizations required to allow the Company to begin
construction of its Nichols Ranch ISR Uranium Project. At this Project the
Company expects to take its Nichols Ranch and Hank units into production of
uranium concentrate (yellowcake), which can be sold directly to utilities for
processing into fuel used in nuclear electrical generating facilities.
Uranerz has completed the detailed engineering and
design of its processing facility and first production well fields for the
Nichols Ranch ISR Uranium Project and, in July, commenced construction of the
facility and related infrastructure.
The Company is continuing preparation of the environmental permit and license
applications for a third unit, Jane Dough, which is
adjacent to the area currently being developed at the Nichols Ranch unit and
which will share its infrastructure. Jane Dough includes the Doughstick, South Doughstick and
North Jane properties. Additional units may be added as the Company assesses
its geological data.
Financial Results:
Financial Position at June 30, 2011
|
|
Cash and cash equivalents
|
|
|
|
$44,852,760
|
Working capital
|
|
|
|
$44,754,877
|
Total assets
|
|
|
|
$50,005,138
|
Current liabilities
|
|
|
|
$ 612,483
|
Long term
debt
|
|
|
|
$ 0>
|
Stockholders' Equity
|
|
|
|
$49,290,340
|
|
Results of operations
|
|
|
Three months ended
June 30
|
|
|
2011
|
|
2010
|
|
Net Income
(Loss)
|
|
$ (4,412,577)
|
|
$ (2,820,531)
|
Basic and
diluted (loss) per share
|
|
$ (0.06)
|
|
$ (0.04)
|
Net cash
used in operating activities
|
|
$ (2,805,716)
|
|
$ (2,147,514)
|
Net cash
used in investing activities
|
|
$ (418,264)
|
|
$ (4,476,837)
|
Net cash
provided by financing activities
|
|
$ 707,705
|
|
$ 205,214
|
The financial information presented is in accordance with U.S. generally
accepted accounting principles. To review Uranerz'
quarterly report on Form 10-Q for the fiscal quarter ended June 30, 2011,
including its management discussion and analysis, visit the SEC, SEDAR or Uranerz websites.
About Uranerz
Uranerz is a U.S.-based uranium company focused on
achieving near-term commercial in-situ recovery ("ISR") uranium
production. ISR is a mining process that uses a "leaching solution"
to extract uranium from underground ore bodies; it is the generally accepted
extraction technology used in the Powder River Basin area of Wyoming (ISR
comprised 41% of world uranium production in 2010). The Company controls a
large strategic land position in the Pumpkin Buttes Uranium Mining District of
the central Powder River Basin of Wyoming, U.S.A. Uranerz'
management team has specialized expertise in the ISR uranium mining method, and
a record of licensing, constructing, and operating ISR uranium projects. The
Company has entered into long-term uranium sales contracts for a portion of its
planned production with two of the largest nuclear utilities in the U.S.,
including Exelon.
Further Information
For further information, please contact Derek Iwanaka, Manager of Investor Relations at 1-800-689-1659 or
by email at investor@uranerz.com.
Alternatively, please refer to the Company's website at www.uranerz.com, review the
Company's filings with the Securities and Exchange Commission at www.sec.gov, or visit the Company's profile on
SEDAR at www.sedar.com.
Forward-looking Statements
This press release may contain or refer to "forward-looking
information" and "forward-looking statements" within the meaning
of applicable United States and Canadian securities laws, which may include,
but are not limited to, statements with respect to the anticipated duration and
costs of construction of the Nichols Ranch ISR Uranium Project, all statements
setting out projections relating to construction activities, statements with
respect to our planned exploration and drilling programs, expected resources,
and statements setting out our plans or projections as to details of
construction of our Nichols Ranch ISR Uranium Project and all other statements
containing estimates and expectations. Such forward-looking statements reflect
our current views with respect to future events and are subject to certain
risks, uncertainties and assumptions, including, the risks and uncertainties
outlined in our most recent financial statements and reports and registration
statement filed with the United States Securities and Exchange Commission (the
"SEC") (available at www.sec.gov) and with
Canadian securities administrators (available at www.sedar.com). Should
one or more of these risks or uncertainties materialize, or should underlying
assumptions prove incorrect, actual results may vary materially from those
anticipated, believed, estimated or expected. We do not undertake to update
forward-looking statements, except as required by law.