Ur-Energy Successfully Completes Phase 1 Field Tests of Patented Well Installation Technology
News Release
10758 W. Centennial Rd. Suite 200
Littleton, CO 80127
Phone: 720.981.4588
www.ur-energy.com
Ur-Energy Successfully Completes Phase 1 Field Tests of Patented Well Installation Technology
Littleton, Colorado (ACCESSWIRE – November 29, 2022) Ur-Energy Inc. (NYSE American:URG) (TSX:URE) (the
“Company” or “Ur -Energy”) is pleased to announce the successful results of Phase 1 field testing on its
patented injection well casing and installation technology.
On April 21, 2022, the Company announced a research and development project to field test its patented
injection well casing and installation method at its operating Lost Creek Uranium ISR Facility in south-central
Wyoming. Following that announcement, the Company received approval of a No n-Significant Permit
Amendment from the Wyoming Department of Environmental Quality – Land Quality Division (“LQD”) and
began field testing. We have now completed Phase 1 testing of the technology.
Field tests in Lost Creek’s Mine Unit 2 demonstrated the mechanical integrity of injection wells installed using
our new technology, with a 75% reduction in drill rig time compared to conventional methods and an 85%
reduction in casing cost. The cost savings from reduced drill rig time will be partially offset by increased in -
house labor. Based upon testing to date, the overall cost reduction to install an injection well is estimated to
be between $2.50 and $3.50 per pound of U3O8 produced. This represents as much as a 49% savings on the
installation of an injection well. Injection wells generally represent approximately 65% of wells in wellfields
designed with traditional “five-spot” recovery patterns.
Beyond improving the economics of injection well installation, our new installation technique is anticipated
to result in numerous environmental benefits, including:
• Reduction of heavy vehicle traffic since drill rig time on injection wells is reduced from
approximately 3.5 to 0.5 days per well as demonstrated during initial field tests;
• Up to 85% fewer air emissions during installation of injection wells;
• Less noise due to shortened drill rig and water truck time;
• A further reduction in already low well failure rates due to fewer points of potential failure,
because the casing material is “tougher” in many respects than conventional PVC well casing,
and the completion method requires less exposure to the drill string and bit compared to
conventional methods; and
• Initial Mechanical Integrity Tests (“MITs”) can be performed during installation without the
need to re-enter the well.
Steve Hatten, Ur -Energy’s Chief Operating Officer, stated, “I want to congratulate our Lost Creek
development team for their creative thinking and hard work that brought the Phase 1 testing of our new well
installation technology to a successful conclusion. We believe the development of the technology is the most
significant technological advancement in the in -situ uranium recovery industry since the introduction of
down-flow ion exchange columns. We are excited to proceed to Phase 2 testing and at operational levels to
fully model how we can reduce operating costs while enhancing the speed and efficiency of uranium recovery
and groundwater restoration.”
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Next Steps
Several additional steps will be taken by the Company prior to implementing our new technology on a
commercial scale. First, to finalize permitting, we will submit a report to LQD detailing the results of initial
testing. Because LQD Staff previously reviewed the engineering and witnessed the installation of wells
utilizing the technology, we expect final approval will be efficiently processed.
Phase 2 field testing will focus on well development methods with the goal of maintaining flow rates
consistent with conventional methods and verifying required rig time as utilized in Phase 1 installations. We
will continue testing all aspects of the new technology , including well integrity and flow rates, by installing
and operating several of the new injection wells in an operational setting. If the wells perform as expected,
the technology will be implemented across Company operations.
Given the potential significant cost savings presented by our technology, we will initiate a hydrologic
modeling exercise to determine what well patte rn geometry and spacing is most cost effective. We believe
the five-spot well pattern geometry currently used throughout the industry may be improved by utilizing our
new technology in a seven -spot geometry as illustrated below. This seven -spot geometry is expected to
increase the sweep efficiency, improve the percentage of uranium recovered, and shorten the time required
for mining and groundwater restoration. The modeling exercise will balance the well geometry and spacing
against economics to determine the most cost-effective way to utilize the new technology.
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Future Application and Value to Ur-Energy
The new well installation technology is expected to be applicable across the in -situ recovery industry
including in recovery of copper, lithium, soda ash, potash and other soluble minerals. The technology can
also be applied in the groundwater restoration industry when treated water is re -injected into the host
aquifer. The technology may also provide cost benefits when micro-purging of groundwater monitor wells is
desirable. The Company plans to monetize the patented technology by licens ing it to these and potentially
other industries.
While Phase 1 results have been favorable, additional testing, as described above, is required before
determining if the technology will be proven commercially viable. By its very nature, research and
development is challenging and outcomes are difficult to predict. We will provide an update after the planned
additional injection wells are placed in operation, which is the ultimate test.
Ur-Energy professional and operations staff will continue to diligently pursue new technologies and other
optimization of processes to drive down our already low production cost while reducing our environmental
footprint. As previously announced, research and development on advanced, water filtration and treatment
processes is ongoing. This project may require several more months before results are known and can be
reported.
About Ur-Energy
Ur-Energy is a uranium mining company operating the Lost Creek in- situ recovery uranium facility in south-
central Wyoming. We have produced, packaged, and shipped approximately 2.6 million pounds U3O8 from
Lost Creek since the commencement of operations. Ur -Energy has all major permits and authorizations to
begin construction at Shirley Basin, the Company’s second in situ recovery uranium facility in Wyoming and
is in the process of obtaining remaining amendments to Lost Creek authorizations for expansion of Lost
Creek. Ur -Energy is engaged in uranium recovery and processing a ctivities, including the acquisition,
exploration, development, and operation of uranium mineral properties in the United States. The primary
trading market for Ur -Energy’s common shares is on the NYSE American under the symbol “URG.”
Ur-Energy’s common shares also trade on the Toronto Stock Exchange under the symbol “URE.” Ur-Energy’s
corporate office is in Littleton, Colorado and its registered office is in Ottawa, Ontario.
FOR FURTHER INFORMATION, PLEASE CONTACT
John W. Cash, Chairman, CEO & President
866-981-4588, ext. 303
Cautionary Note Regarding Forward-Looking Information
This release may contain “forward -looking statements” within the meaning of applicable securities laws
regarding events or conditions that may occur in the future ( e.g., whether and on what timing all necessary
additional permitting will be received from LQD; whether the new well installation methods and materials will be
successfully proven out in Phase 2 testing and in future operational tests including the cost savings and
environmental benefits which may be achieved; whether changes to the traditional five-spot geometry of recovery
patterns will be successful and what new geometric recovery and restoration sweeps will be utilized; whether the
new technology will be applicable to and adopted by other industries and what value that may bring to the
Company; and the viability and timing of other research and development efforts of the Company) and are based
on current expectations that, while considered reasonable by management at this time, inherently involve a
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number of significant business, economic and competitive risks, uncertainties and contingencies. Generally,
forward-looking statements can be identified by the use of forward-looking terminology such as "plans,"
"expects," "does not expect," "is expected," "is likely," "estimates," "intends," "anticipates," "does not
anticipate," or "believes," or variations of the foregoing, or statements that certain actions, events or results
"may," "could," "might" or "will be taken," "occur," "be achieved" or "have the potential to." All statements,
other than statements of historical fact, are considered forward-looking statements. Forward-looking
statements involve known and unknown risks, uncertainties and other factors which may cause the actual
results, performance or achievements of the Company to be materially different from any future results,
performance or achievements express or implied by the forward-looking statements. Factors that could
cause actual results to differ materially from any forward-looking statements include, but are not limited to,
capital and other costs varying significantly from estimates; failure to establish estimated resources and
reserves; the grade and recovery of ore which is mined varying from estimates; production rates, methods
and amounts varying from estimates; delays in obtaining or failures to obtain r equired governmental,
environmental or other project approvals; inflation; changes in exchange rates; fluctuations in commodity
prices; delays in development and other factors described in the public filings made by the Company at
www.sedar.com and www.sec.gov. Readers should not place undue reliance on forward-looking statements.
The forward-looking statements contained herein are based on the beliefs, expectations and opinions of
management as of the date hereof and Ur-Energy disclaims any intent or obligation to update them or revise
them to reflect any change in circumstances or in management’s beliefs, expectations or opinions that occur
in the future.