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Uranium Energy Corp reported financial and production results for the fourth quarter and fiscal year ended July 31, 2011.
Major fourth quarter highlights include the following: • Production increased and costs remain low: During the fourth quarter, only the second full quarter of Palangana Mine production, the Company produced 83,000 pounds of U3O8 in inventory, including work-in-progress, as compared with 49,000 pounds in the previous quarter. Since commencement of production in November 2010 through to July 31, 2011, the Company has produced a total of 153,000 pounds of U3O8 at a cash operating expense of approximately $13 per pound; • The Company signed its first multi-year sales contract; • Both Palangana and Salvo projects received substantial ongoing exploration and development; • The Company acquired the historically significant Anderson Mine project in Arizona: In May 2011, terms were finalized to merge with Concentric Energy Corp. to acquire the Anderson Mine uranium project, a 7,581-acre mineral claim block located in Yavapai County, Arizona, a former open-pit producer which has received 1,400 development drill holes. This transaction completed after the close of the fourth quarter; • The Company acquired the Coronel Oviedo Uranium Project in Paraguay: This 247,000-acre (100,000-hectare) project area holds similar geology, and similar geological potential, as the South Texas uranium belt; and • The balance sheet remains strong: As of July 31, 2011, the Company remains debt-free with $30.7 million of cash in the treasury and 153,000 lbs. of U3O8 in inventory.Amir Adnani, President and Chief Executive Officer, stated, "During our fiscal fourth quarter, we continued to make significant progress with operations, delivering production growth at competitive margins, validating our regional Texas ‘hub-and-spoke’ strategy. With an eye to the next up-cycle, we have been acquiring projects with significant historical work at an attractive discount and with minimal dilution to the Company. Concurrently, we see a groundswell of positive indicators emerging for the nuclear industry, and are optimistic about the prospects for major growth in the industry." More information, click here. |
