URE.TO · 2025-06-30 12:00:00

Ur-Energy Reports Q2 2025 and Announces Eighth Uranium Sales Agreement

Corporate Updates

Ur-Energy Reports Q2 2025 and Announces Eighth Uranium Sales

Agreement

Ur-Energy Inc. (NYSE American:URG)(TSX:URE) (the "Company" or "Ur-Energy") has filed

the Company's Form 10-Q for the quarter ended June 30, 2025, with the U.S. Securities and

Exchange Commission at www.sec.gov/edgar.shtml and with Canadian securities

authorities at www.sedarplus.ca.

Second Quarter 2025 Financial and Operating Results

▪ During the second quarter of 2025, we dried and packaged 112,033 pounds of U3O8,

representing a 35% increase over the first quarter of 2025;

▪ An eighth uranium sales contract was executed, for delivery of 100,000 pounds U3O8

per year in 2028, 2029 and 2030. Pricing is at an escalated fixed price, well above

current spot and term prices;

▪ Drummed inventory at the conversion facility as of July 31, 2025 was 351,148

pounds;

▪ We sold 165,000 pounds of U3O8 in 2025 Q2, generating gross profits $1.9 million;

▪ The cost per produced pound sold decreased from $62.06 in Q4 2024 to $50.89 in

Q2 2025;

▪ On a cash basis, the U3O8 profit per produced pound sold was $22.99, representing

a cash profit margin of approximately 36% in Q2 2025 as compared to 19% in Q4

2024.

▪ During the six months ended June 30, 2025, we used $9.3 million for operating

activities, $8.9 million for investing activities, and $0.1 million for financing

activities.

▪ As of June 30, 2025, we had cash and cash equivalents of $57.6 million, a decrease

of $18.5 million from the $76.1 million balance on December 31, 2024. Cash

position as of July 31, 2025, was $49.1 million.

Ur-Energy President, Matthew Gili, commented: "The ramp up at Lost Creek continues,

with significant increases in the quantities of U3O8 both captured and drummed in the

quarter. Importantly, cash costs were $42.83 per pound sold (including ad valorem and

severance taxes of $2.62 per pound), well below our average selling price in Q2 of $63.20

per pound. As mine construction at our Shirley Basin Project progresses, and we

commence our 2025 exploration program in the Great Divide Basin, this year is laying the

foundation for the next phase of growth for Ur-Energy. "

Lost Creek Operations

During Q2 2025, we dried and packaged 112,033 pounds and shipped 105,316 pounds

U3O8 to the conversion facility. At quarter end, our in-process and drummed inventory was

approximately 55,000 pounds, and our finished inventory at the conversion facility was

315,607 pounds. Subsequent to quarter end, we shipped an additional 34,964 pounds

U3O8.

Our total sales in 2025 are projected at 440,000 pounds of U3O8 at an average price per

pound sold of $61.56 and we expect to realize revenues of $27.1 million. The deliveries are

under contracts negotiated in 2022 and 2023, when the long-term price was between $43

and $57 per pound.

Deliveries for 2025 are committed to two customers for a base amount of 400,000 pounds

of U3O8. Under our agreements, both buyers elected to flex up the annual base delivery

quantity by 10%. Deliveries of 165,000 pounds were made in 2025 Q2 and deliveries of

110,000 pounds and 165,000 pounds are expected to be made in 2025 Q3 and Q4,

respectively.

Eighth Uranium Sales Agreement, Market Exposure and DOE Opportunities

Ur-Energy now has eight multi-year sales agreements in place with major nuclear and

utility companies, including Constellation Energy, a leading producer of reliable,

emissions-free energy. The annual delivery base amount ranges from 440,000 to 1,300,000

pounds of U3O8 from 2025 through 2033, with potential additional deliveries of 100,000

pounds in 2032 and 2033. The eight agreements total sales of 6.0 million pounds of U₃O₈

with delivery timeline flexibility.

The new sales agreement secures the annual sale and delivery of 100,000 pounds of U3O8

per year in 2028, 2029, and 2030. Pricing is set at an escalated fixed price, well above

current spot and term prices. Ur-Energy has the sole option to sell up to an additional

100,000 pounds each year at a sales price equal to 99% of the average monthly spot price

for the two months preceding the delivery date.

• Pricing for the new contract exceeds the current term market price;

• A significant portion of Ur-Energy's licensed production capacity through 2033 is

uncontracted, leaving ample room for additional contracts;

• The demand for uranium is strong as utilities and other fuel buyers continue to issue

requests for proposal;

• The U.S. Department of Energy low enriched uranium and high-assay low enriched

uranium programs present additional opportunities for uranium sales.

Contract Portfolio Secures Revenue and Retains Market Exposure

Importantly, if our customers elect to acquire their full optional and flex quantities as

allowed by the agreements, our contract book would represent approximately 45% of our

licensed and constructed plant capacity over the term of the contracts. Additionally, our

contract book has elements of market or spot-linked pricing. Our base deliverable

commitments for 2026 through 2033 are structured with 23% being tied to market-based

pricing. Assuming our customers acquire their full optional and flex quantities, market-

based pricing totals 30% of the licensed and constructed plant capacity once construction

of the Shirley Basin satellite plant is completed in early 2026.

These contracts lock in substantial revenues while leaving significant room for additional

sales to potentially benefit from future market conditions. With floors and ceilings in place,

the market-linked components allow us to benefit from rising uranium prices, while the

overall contract structure ensures stable cash flow and leaves additional capacity

available to capture future market opportunities.

Great Divide Basin (GDB) Exploration Activities

We have identified several targets for H2 2025 exploration within the Great Divide Basin

("GDB"), aimed at expanding our resource base and discovering new uranium roll front

deposits. Our planned exploration program will focus on North Hadsell, LC South and Lost

Soldier. Exploration drilling will begin at our North Hadsell and LC South Projects. In

addition to drilling, we plan to install a series of aquifer test wells at our Lost Soldier Project

to support hydrologic evaluation and enable future development planning.

U3O8 Sales by Product, U3O8 Product Cost, and U3O8 Product Profit 1

U3O8 Product Profit (Loss)

Unit

2024

2025

YTD

U3O8 Product Sales

Produced

$ 000

6,165

5,857

10,428

Non-produced

$ 000

16,500

$ 000

6,165

22,357

10,428

U3O8 Product Costs

Produced

$ 000

4,891

5,896

8,397

Non-produced

$ 000

22,760

$ 000

4,891

28,656

8,397

U3O8 Product Profit (Loss)

Produced

$ 000

1,274

(39 )

2,031

Non-produced

$ 000

(6,260 )

$ 000

1,274

(6,299 )

2,031

U3O8 Pounds Sold

Produced

100,000

95,000

165,000

Non-produced

300,000

100,000

395,000

165,000

U3O8 Price per Pound Sold

Produced

$/lb

61.65

63.20

Non-produced

$/lb

55.00

$/lb

61.65

56.60

63.20

U3O8 Cost per Pound Sold

Cash costs

$/lb

37.98

50.25

40.21

Ad valorem and severance taxes

$/lb

0.81

1.73

2.62

Non-cash costs

$/lb

10.12

10.08

8.06

Produced

$/lb

48.91

62.06

50.89

Non-produced

$/lb

75.87

$/lb

48.91

72.55

50.89

U3O8 Profit (Loss) per Pound

Sold

Cash costs

$/lb

23.67

11.40

22.99

Less ad valorem and severance

taxes

$/lb

(0.81 )

(1.73 )

(2.62 )

Less non-cash costs

$/lb

(10.12 )

(10.08 )

(8.06 )

Produced

$/lb

12.74

(0.41 )

12.31

Non-produced

$/lb

(20.87 )

$/lb

12.74

(15.95 )

12.31

U3O8 Profit (Loss) Margin per

Pound Sold

Cash costs

38.4

18.5

36.4

Less ad valorem and severance

taxes

(1.3 )

(2.8 )

(4.1 )

Less non-cash costs

(16.4 )

(12.8 )

Produced

20.7

(0.7 )

19.5

Non-produced

(37.9 )

20.7

(28.2 )

19.5

1 The U3O8 and cost per pound measures included in the above table do not have a

standardized meaning within US GAAP or a defined basis of calculation. These measures

are used by management to assess business performance and determine production and

pricing strategies. They may also be used by certain investors to evaluate performance.

U3O8 Production and Ending Inventory

U3O8 Production Unit

2024

2025

YTD

Pounds captured lb

75,075

81,771

74,479

128,970

203,449

Pounds drummed in lb

71,804

74,006

83,066

112,033

195,099

Pounds shipped lb

67,488

66,526

106,301

105,316

211,617

Non-produced

pounds purchased or

borrowed lb

550,000

U3O8 Ending

Inventory Unit

2024 Q3

2024 Q4

2025 Q1

2025 Q2

Pounds

In-process inventory lb

90,140

39,169

29,700

37,590

Plant inventory lb

26,580

33,919

10,772

17,484

Conversion inventory

- produced lb

40,713

12,239

118,540

65,607

Conversion inventory

- non-produced lb

250,000

157,433

335,327

409,012

370,681

Value

In-process inventory $ 000

427

382

509

Plant inventory $ 000

1,499

1,840

582

921

Conversion inventory

- produced $ 000

2,320

704

6,463

3,409

Conversion inventory

- non-produced $ 000

18,158

16,058

$ 000

4,246

20,744

23,485

20,897

Cost per Pound

In-process inventory $/lb

4.74

1.07

12.86

13.54

Plant inventory $/lb

56.40

54.25

54.03

52.68

Conversion inventory:

Ad valorem and

severance tax $/lb

1.63

1.57

2.16

3.06

Cash cost $/lb

45.26

46.83

43.43

40.55

Non-cash cost $/lb

10.09

9.12

8.94

8.35

Conversion inventory

- produced $/lb

56.98

57.52

54.53

51.96

Conversion inventory

- non-produced $/lb

72.63

64.23

$/lb

56.98

71.93

61.11

61.68

Positioned for Scaled Growth

We continue to advance development and construction at our Lost Creek and Shirley Basin

projects, positioning ourselves for expanded, diversified uranium production and long-term

growth. With additional staffing, increased contractors onsite and significant construction

and operational activity underway at both mine sites, we remain sharply focused on

maintaining safe, compliant and efficient operations, while building on our leadership

position in U.S. uranium production.

At Lost Creek, we have 18 drill rigs operating, which is sufficient for our present

development requirements and our planned 2025 exploration program in the GDB. We

brought header house 2-15 online in late June, the fourth unit this year. Bringing additional

header houses online increases overall production capacity. Flow rates are being closely

controlled to facilitate all processing activities throughout the mine and plant. We

anticipate additional and sustained flow increases in the coming months as we bring on

additional header houses and the operations team continues to enhance flow in existing

wells through routine maintenance and improvements.

The Lost Creek processing plant is operating both dryers routinely, and recent circuit

upgrades have improved reliability. Head grade remains above expectations. We anticipate

initiating production from Mine Unit 1, Phase 2 in Q4 2025.

Photo 1. Construction of Lost Creek Header House

At Shirley Basin, we are advancing construction and development activities toward

commencement of operations and initiation of ramp-up of production in 2026. Historical

buildings have been refurbished and are being used as construction, maintenance and drill

casing facilities. Five drill rigs are actively installing production wells in the first Mine Unit.

The contractor for the processing plant foundation is onsite and has initiated construction

activities.

The team at our Casper, Wyoming construction shop is operating efficiently, supporting

ongoing header house development for both Lost Creek and Shirley Basin. Construction of

the first header house for Shirley Basin is underway as we move towards production there.

We have continued recruitment and hiring on our phased plan for staffing at Shirley Basin,

with 17 additional senior site management, construction and development staff onsite in

Q2. Our phased recruitment program is anticipated to allow for more thorough safety and

task training of staff prior to the commencement of operations.

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