Uranium Miningby In-Situ Recovery (ISR)

Technology

A summary reviewprepared byBill Boberg

Ur-Energy Inc.Littleton, Colorado

Uranium In-Situ Recovery (ISR) Mining

Low capital costs ($20 to $35 million)Environmentally friendly (common solute is

ground water enriched with oxygen and, ifneeded, carbon dioxide or bicarbonate of soda)

Process essentially reverses the natural processby which the deposits were originally formed

Works very good on solution front deposits inporous & permeable sandstones (Wyoming, Texas,Kazakhstan, Australia, etc.)

Ideally 14 – 24 months mining, 24+ monthsground water restoration and surfacereclamation

Production cost range - $18 to $25 per pound

Prepared by Bill Boberg, Ur-Energy, Inc. 2006

ISR Mine Production Schematic

Basic ISR Process - Satellite

ISR Wellfield Layout

Wellfield cross sectionIn following slide

ISR Mining – Injection and Production Wells

Drilling to Install WellfieldView at Christensen Ranch ISR Mine (Cogema/AREVA)

Powder River Basin, Wyoming

Photo by Tom Nicholson

ISR Wellfield Smith Ranch Mine (PRI/Cameco)Powder River Basin, Wyoming

Photo by Bill Boberg – July 2005

ISR Mining – A Plumbers World

A production welland insulating cover

Header House, controllingboth injection as well asproduction from many wellsin wellfield

Photos by Bill Boberg, Taken at PRI/CamecoSmith Ranch ISL Mine, Powder River BasinWyoming – July 2005

Basic ISR Plant Processing

From the ISR Wellfield to the Plant

From the production well theproduced fluid goes through resintanks where the uranium isstripped from the fluid and is thenreturned to the wellfield

The resin is then transported to themill where it is stripped and theuranium is taken into solutionPhotos by Bill Boberg, Taken at PRI/CamecoSmith Ranch ISL Mine, Powder River BasinWyoming – July 2005

From Solution to Yellowcake

After stripping from the resin, theuranium is taken through severalsteps in solution before beingprecipitated and dried

The final step in the mill is topackage the dry yellowcakein drums

Photos by Bill Boberg, Taken at PRI/CamecoSmith Ranch ISL Mine, Powder River BasinWyoming – July 2005

Yellowcake – The Product

Yellowcakeuranium oxide (U3O8)800+ pounds per drumUS$80,000 per drum @ $100/lb

Filled drums of yellowcake awaitingshipment at Smith Ranch

Photos by Bill Boberg, Taken at PRI/CamecoSmith Ranch ISL Mine, Powder River BasinWyoming – July 2005

ISR MiningGround Water Restoration