IsoEnergy Provides Update on its U.S. Mine Restart Plans with Advancement of the Tony M Mine in Utah
IsoEnergy Provides Update on its U.S. Mine Restart Plans with
Advancement of the Tony M Mine in Utah
Saskatoon, SK, February 29, 2024 – IsoEnergy Ltd. (“IsoEnergy” or the “Company”) (TSXV: ISO; OTCQX:
ISENF) is pleased to announce its strategic decision to reopen access to the underground at our Tony M
uranium mine (“Tony M” or the “ Mine) in the first half of 2024 (“H1-2024”), with the goal of restarting
uranium production operations in 2025, should market conditions continue as expected. The decision to
advance Tony M is underpinned by rising uranium prices, the climate of increasing support and demand
for nuclear energy, and the recent announcement by Energy Fuels Inc. (“EFR”) to restart its uranium circuit
at the White Mesa Mill (the “Mill”), with whom IsoEnergy has a toll milling agreement.
Tony M, along with our Daneros and Rim projects, is one of three past-producing, fully-permitted, uranium
mines in Utah owned by IsoEnergy, and is a large-scale, fully-developed and permitted underground mine
that previously produced nearly one million pounds of U 3O8 during two different periods of operation ,
from 1979-1984 and from 2007-2008.
Highlights
• Reopening of the Underground and Comprehensive Work Program – The Company plans to
reopen the main decline into the Tony M mine and gain underground access by the end of H1-
2024. This critical step is expected to facilitate the assessment of the mine’s underground
conditions, enable direct analysis of the uranium mineralization in place, and allow for the
collection of necessary data required to prepare an efficient mine plan. The work program also
includes underground and surface geological mapping of the sandstone-hosted uranium and
vanadium mineralization to allow for more precise extraction plans for inclusion in an updated
economic study.
• Technical/Economic Study Planned (the “Study”) – The Company intends to complete a Study,
which will provide further details on a potential restart date and a mine plan that will provide
production plans and rates, expected operational costs and capital requirements.
• Toll-Milling Arrangement with EFR – IsoEnergy has a toll milling arrangement with EFR for its
Tony M, Daneros, Rim and Calliham projects, which guarantees the Company access to the White
Mesa Mill, the only operational conventional uranium mill in the U.S. On December 21, 2023, EFR
announced its plans to restart the White Mesa Mill uranium circuit in 2025. As a result, and to
support additional feed, IsoEnergy intends to deliver ore to the Mill in time for the restart of the
uranium circuit.
• Commencement into Multi-Asset Production – The reopening of the Tony M mine is a first step
in IsoEnergy’s plan to becoming a multi-asset uranium producer. IsoEnergy is also evaluating plans
to restart operations at the Daneros and Rim mines, both of which were previous producers of
uranium and vanadium, and are currently permitted for production.
• Staffing up for Re-Opening – The Company has appointed Josh Clelland to the position of Director
of US Engineering and Operations , to manage the reopening of the Tony M Mine , and
advancement of the Company’s other US -based uranium projects. Josh is a Professional Mining
Engineer with over 20 years of experience in the mining industry, including significant experience
operating in both underground and open pit environments. He joins us from a major global gold
producer where in his most recent role he was a Superintendent of Mine Operations. Josh’s
additional experience include s a Corporate Development role at a major producer, technical
advisory at a major international mining consulting firm, and research at a Canadian brokerage
firm, during which time Josh earned his Chartered Financial Analyst designation.
IsoEnergy CEO and Director Phil Williams stated , “With the uranium spot price now trading around
US$100 per pound 1, we are in the very fortunate position of owning multiple, past-producing, fully-
permitted uranium mines in the U.S. that we believe can be restarted quickly with relatively low capital
costs. Our existing toll -milling agreement with Energy Fuels places IsoEnergy in a unique position to
become a conventional uranium producer in the near-term.
Multiple work streams are now underway to move our flagship Tony M Mine back toward production in
2025, in line with the timing Energy Fuels has announced for its White Mesa Mill for which IsoEnergy has
a toll milling agreement. Given current and expected near term uranium market dynamics, we think this
restart timing is ideal and would firmly place us in a very small group of uranium companies able to deliver
uranium production in the near term. I would also like to welcome Josh to the team. We are fortunate to
be able to attract such high-quality talent, which we believe is a testament to our projects and vision for
the Company.”
Figure 1 – Location map of Tony M, Daneros and Rim Mines and the Sage Plain Project in proximity to
Energy Fuel’s White Mesa Mill, the only operational conventional uranium mill in the U.S. with
licensed capacity of over 8Mlbs of U₃O₈ per year, located in Utah.
1 Uranium - Price - Chart - Historical Data - News (tradingeconomics.com)
Tony M Mine Work Program
The Company is continuing to advance plans to reopen the underground mine workings in preparation for
a potential restart of Tony M. This work program includes updating mine ventilation and escape plans,
maintenance of the existing ventilation fans and power infrastructure, surveying of the underground mine
workings, rehabilitation of mine workings and ground support as needed , and upgrading and/or
replacement of utilities.
Rehabilitation of the underground is expected to take place during H1-2024, followed by planned geologic
mapping and sampling alongside mine planning ahead of anticipated completion of the Study. The
Company currently expects to utilize contract mining initially. In addition to the 18 miles of underground
development, including multiple production headings, the Mine has complete surface infrastructure in
place (Figure 2).
IsoEnergy continues to work with RME Consulting, a leading international, technical underground mining
ventilation and refrigeration design firm, to oversee the design and implementation of the ventilation plan
and Call & Nicholas, Inc., an international mining consulting firm that specializes in geological engineering,
geotechnical engineering, and hydrogeology, to assess the mine’s ground conditions.
Figure 2 – Image of large-scale surface infrastructure at the Tony M Mine, which includes two parallel
declines extending 10,200 ft, a power generation station, fuel storage facility, ore bays, maintenance
building, offices, dry facilities and evaporation pond.
IsoEnergy has guaranteed access to the White Mesa Mill by way of a toll milling agreement with Energy
Fuels, providing a significant advantage to the Company. The Mill is the only operational conventional
uranium mill in the U.S. with licensed capacity of over 8Mlbs of U₃O₈ per year. The Mill is within trucking
distance to Tony M. It is an important distinction worth noting that a toll milling agreement and the selling
of ore to EFR/White Mesa are very different , with t oll milling allow ing IsoEnergy to participate in the
upside of the uranium price.
About Tony M Mine
The Tony M Mine is located in eastern Garfield County, southeastern Utah, approximately 66 air miles
(107 kilometers) west northwest of the town of Blanding and 215 miles (347 kilometers) south-southeast
of Salt Lake City. The project is the site of the Tony M underground uranium mine that was developed by
Plateau Resources, a subsidiary of Consumer Power Company, in the mid-1970s.
Uranium and vanadium mineralization at the Tony M mine is hosted in sandstone units of the Salt Wash
Member of the Jurassic age Morrison Formation, one of the principal hosts for uranium deposits in the
Colorado Plateau region of Utah and Colorado.
Tony M has been estimated to contain the following mineral resources:
Table 1: Summary of Mineral Resources – Effective Date September 9, 2022
Classification Tons
(short tons)
Grade
(% eU3O8)
Contained Metal
(lbs. eU3O8)
Indicated 1,185,000 0.28 6,606,000
Inferred 404,000 0.27 2,218,000
Notes:
1. Reported in the Technical Report on the Tony M Project, Utah, USA Report for NI 43-101, prepared
for Consolidated Uranium Inc. by SLR International Corporation; Mark B. Mathisen, Qualified
Person, Effective Date September 9, 2022.
2. CIM (2014) definitions were followed for all Mineral Resource categories.
3. Uranium Mineral Resources are estimated at a cut-off grade of 0.14% U3O8.
4. The cut-off grade is calculated using a metal price of $65/lb U3O8.
5. No minimum mining width was used in determining Mineral Resources.
6. Mineral Resources are based on a tonnage factor of 15 ft3/ton (Bulk density 0.0667 ton/ft3 or
2.14 t/m3).
7. Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability.
8. Past production (1979-2008) has been removed from the Mineral Resource.
9. Totals may not add due to rounding.
10. Mineral Resources are 100% attributable to IsoEnergy and are in situ.
Figure 3 – Plan view of the Tony M Mine
Qualified Person Statement
The scientific and technical information contained in this news release was reviewed and approved by
Dean T. Wilton: PG, CPG, MAIG, a consultant of IsoEnergy who is a “Qualified Person” (as defined in
National Instrument 43-101 - Standards of Disclosure for Mineral Projects).
About IsoEnergy Ltd.
IsoEnergy Ltd. (TSXV: ISO) (OTCQX: ISENF) is a leading, globally diversified uranium company with
substantial current and historical mineral resources in top uranium mining jurisdictions of Canada, the
U.S., Australia, and Argentina at varying stages of de velopment, providing near, medium, and long-term
leverage to rising uranium prices. IsoEnergy is currently advancing its Larocque East Project in Canada’s
Athabasca Basin, which is home to the Hurricane deposit, boasting the world’s highest grade Indicated
uranium Mineral Resource.
IsoEnergy also holds a portfolio of permitted, past-producing conventional uranium and vanadium mines
in Utah with a toll milling arrangement in place with Energy Fuels Inc. These mines are currently on stand-
by, ready for rapid restart as market condition s permit, positioning IsoEnergy as a near -term uranium
producer.
For More Information, Please Contact:
Phill Williams
CEO and Director
1-833-572-2333
X: @IsoEnergyLtd
www.isoenergy.ca
Neither the TSX Venture Exchange nor its Regulations Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Information
The information contained herein contains “forward-looking statements” within the meaning of the United
States Private Securities Litigation Reform Act of 1995 and “forward -looking information” within the
meaning of applicable Canadian securities legislation. “Forward-looking information” includes, but is not
limited to, statements with respect to the activities, events or developments that the Company expects or
anticipates will or may occur in the future, including, without limitation, statements with respect to the
planned work program starting in H1-2024 and potential results and benefits thereof; plans for the
potential restart of mining operations at Tony M, Daneros and Rim ; expectations regarding the
preparation and timing of the Study; underground sampling program and potential benefits thereof;
expectations regarding the preparation of a potential vanadium mineral resource estimate; expectations
regarding the potential upgrade of existing mineral resources from “inferred” to “indicated”; expectations
regarding the restart of Tony M; expectations regarding the preparation and timing of a Preliminary
Economic Assessment; the Company’s ongoing business plan, sampling, exploration and work programs .
Generally, but not always, forward -looking information and statements can be identified by the use of
words such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”,
“intends”, “anticipates”, or “believes” or the negative connotation thereof or variations of such words and
phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”,
“occur” or “be achieved” or the negative connotation thereof.
Such forward-looking information and statements are based on numerous assumptions, including among
others, that the results of planned exploration activities are as anticipated, the price of uranium, the
anticipated cost of planned exploration activities, that general business and economic conditions will not
change in a material adverse manner, that financing will be available if and when needed and on
reasonable terms, that third party contractors, equipment and supplies and governmental and other
approvals required to conduct the Company’s planned exploration activities will be available on reasonable
terms and in a timely manner. Although the assumptions made by the Company in providing forward -
looking information or making forward-looking statements are considered reasonable by management at
the time, there can be no assurance that such assumptions will prove to be accurate.
Forward-looking information and statements also involve known and unknown risks and uncertainties and
other factors, which may cause actual events or results in future periods to differ materially from any
projections of future events or results expressed or implied by such forward -looking information or
statements, including, among others: negative operating cash flow and dependence on third party
financing, uncertainty of additional financing, no known mineral reserves, the limited operating history of
the Company, the influence of a large shareholder, a lternative sources of energy and uranium prices,
aboriginal title and consultation issues, reliance on key management and other personnel, actual results
of exploration activities being different than anticipated, changes in exploration programs based upon
results, availability of third party contractors, availability of equipment and supplies, failure of equipment
to operate as anticipated; accidents, effects of weather and other natural phenomena and other risks
associated with the mineral exploration ind ustry, environmental risks, changes in laws and regulations,
community relations and delays in obtaining governmental or other approvals and the risk factors with
respect to the Company set out in the Company’s filings with the Canadian securities regulato rs and
available under IsoEnergy’s profile on SEDAR+ at www.sedarplus.ca.
Although the Company has attempted to identify important factors that could cause actual results to differ
materially from those contained in the forward -looking information or implied by forward -looking
information, there may be other factors that cause results not to be as anticipated, estimated or intended.
There can be no assurance that forward-looking information and statements will prove to be accurate, as
actual results and future events could differ materially from those anticipated, estimated or in tended.
Accordingly, readers should not place undue reliance on forward-looking statements or information. The
Company undertakes no obligation to update or reissue forward -looking information as a result of new
information or events except as required by applicable securities laws.