(TheNewswire)
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Corpus Christi, TX, and Saskatoon,
Saskatchewan –
TheNewswire –
August 22, 2022
– Uranium Energy Corp
(XTSE:UEX)
(OTC:UEXCF)
(NYSE American: UEC, the “
Company
” or
“
UEC
”) and UEX Corporation (TSX:UEX
)
, “
UEX
”) are pleased
to announce the closing of the previously announced plan of
arrangement (the “
Arrangement
”) under the
Canada Business Corporations
Act
, pursuant to which UEC acquired all of the
issued and outstanding common shares of UEX that it did not already
own. The Arrangement was approved at a special meeting of UEX
securityholders held on August 15, 2022 and was subsequently approved
by the Supreme Court of British Columbia on August 18, 2022. Pursuant
to the terms of the Arrangement, UEX shareholders received 0.090
common shares of UEC for each UEX common share held.
UEC intends to submit applications to the Toronto Stock
Exchange and to the applicable securities regulators to delist UEX’s
existing common shares and for UEX to cease to be a reporting issuer,
respectively.
Amir Adnani, President and CEO stated: “We are pleased to
have completed our acquisition of UEX. This marks UEC’s second
successful highly accretive M&A transaction in the last
year,
creating the largest diversified North
American focused uranium company.
We welcome UEX shareholders to UEC
and appreciate the vote of confidence in supporting our transaction.
The competing interest for UEX from other industry participants
further validates the significant upside and strategic rationale we
identified in UEX’s portfolio of high-grade projects in the
world-class Athabasca Basin of Saskatchewan. We look forward to
working with our new stakeholders and the joint venture partners,
including Cameco, Orano and Denison.”
Mr. Adnani continued: “The Company’s acquisitions
of Uranium One Americas (“U1A”) and UEX have created substantial
shareholder value, with meaningful expansion of our production
capabilities and resource pipeline. The U1A transaction doubled
UEC’s processing capacity, In-Situ Recovery (“ISR”) resources
and permitted projects in the United States, while the UEX transaction
doubles the size of our measured and indicated uranium
resources
[1]
. With no debt and over $180
million of cash and liquid assets, including physical uranium, UEC has
an unparalleled industry position to capitalize on nuclear power’s
growing role as a climate change solution, contributing towards the
mega trends of decarbonization, electrification and energy
transition.”
Mr. Adnani concluded: “
There is
an emerging trend by Western utilities to secure supplies from uranium
projects in politically stable and proven jurisdictions, this is a
strong fit with UEC’s permitted, and production-ready U.S. ISR
projects and extensive growth pipeline in Canada.
UEC’s sector leading strategy as the fastest growing, pure
play, 100% unhedged uranium company with assets only in the Western
Hemisphere is a key differentiator in this emerging uranium bull
market.”
About Uranium Energy
Corp
Uranium Energy Corp is America’s leading, fastest
growing, uranium mining company listed on the NYSE American. UEC is a
pure play uranium company and is advancing the next generation of
low-cost, environmentally friendly In-Situ Recovery (ISR) mining
uranium projects. The Company has two production ready ISR hub and
spoke platforms in South Texas and Wyoming, anchored by fully licensed
and operational processing capacity at the Hobson and Irigaray plants.
UEC also has seven U.S. ISR uranium projects with all of their major
permits in place. Additionally, the Company has other diversified
holdings of uranium assets, including: (1) one of the largest physical
uranium portfolios of U.S. warehoused U3O8; (2) a major equity stake
in the only royalty company in the sector, Uranium Royalty Corp.; and
(3) a pipeline of resource-stage uranium projects in Arizona, New
Mexico and Paraguay. The Company’s operations are managed by
professionals with a recognized profile for excellence in their
industry, a profile based on many decades of hands-on experience in
the key facets of uranium
exploration,
development and mining.
About UEX
Corporation
UEX is a Canadian uranium and cobalt exploration and
development company involved in an exceptional portfolio of uranium
projects. UEX’s directly-owned portfolio of projects is located in the
eastern, western and northern perimeters of the Athabasca Basin, the
world’s richest uranium region which in 2020 accounted for
approximately 8.1% of the global primary uranium production. In
addition to advancing its uranium development projects through its
ownership interest in JCU, UEX is currently advancing several other
uranium deposits in the Athabasca Basin which include the Paul Bay,
Ken Pen and Ōrora deposits at the Christie Lake Project , the Kianna,
Anne, Colette and 58B deposits at its currently 49.1%-owned Shea Creek
Project, the Horseshoe and Raven deposits located on its 100%-owned
Horseshoe-Raven Project and the West Bear Uranium Deposit located at
its 100%-owned West Bear Project.
Additional Information
Full details of the Arrangement are set out in the
arrangement agreement and subsequent amendments thereto, copies of
which are filed by UEC and UEX under their respective profiles on
SEDAR at
www.sedar.com
and under UEC’s profile on EDGAR at
www.sec.gov
. In addition,
further information regarding the Arrangement is contained in a
management information circular dated July 8, 2022 prepared in
connection with the meeting of UEX securityholders, a copy of which is
filed on UEX’s profile on
www.sedar.com
.
For additional information, please contact:
Uranium Energy Corp Investor
Relations
Toll Free:
(866)
748-1030
Fax:
(361) 888-5041
E-mail:
Twitter: @UraniumEnergy
Stock Exchange
Information:
NYSE American:
UEC
Frankfurt Stock Exchange Symbol:
U6Z
WKN:
AØJDRR
ISN:
US916896103
Safe Harbor Statement
Except for the statements of historical fact contained
herein, the information presented in this news release constitutes
“forward-looking statements” as such term is used in applicable
United States and Canadian laws. These statements relate to analyses
and other information that are based on forecasts of future results,
estimates of amounts not yet determinable and assumptions of
management. Any other statements that express or involve discussions
with respect to predictions, expectations, beliefs, plans,
projections, objectives, assumptions or future events or performance
(often, but not always, using words or phrases such as “expects”
or “does not expect”, “is expected”, “anticipates” or
“does not anticipate”, “plans, “estimates” or “intends”,
or stating that certain actions, events or results “may”,
“could”, “would”, “might” or “will” be taken, occur or
be achieved) are not statements of historical fact and should be
viewed as “forward-looking statements”. Such 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 expressed or implied by such
forward-looking statements. Such risks and other factors include,
among others, market and other conditions, the actual results of
exploration activities, variations in the underlying assumptions
associated with the estimation or realization of mineral resources,
the availability of capital to fund programs and the resulting
dilution caused by the raising of capital through the sale of shares,
accidents, labor disputes and other risks of the mining industry
including, without limitation, those associated with the environment,
delays in obtaining governmental approvals, permits or financing or in
the completion of development or construction activities, title
disputes or claims limitations on insurance coverage. Although the
Company has attempted to identify important factors that could cause
actual actions, events or results to differ materially from those
described in forward-looking statements, there may be other factors
that cause actions, events or results not to be as anticipated,
estimated or intended. There can be no assurance that such statements
will prove to be accurate as actual results and future events could
differ materially from those anticipated in such statements.
Accordingly, readers should not place undue reliance on
forward-looking statements contained in this news release and in any
document referred to in this news release. Certain matters discussed
in this news release and oral statements made from time to time by
representatives of the Company may constitute forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995 and the Federal securities laws. Although the
Company believes that the expectations reflected in such
forward-looking statements are based upon reasonable assumptions, it
can give no assurance that its expectations will be achieved.
Forward-looking information is subject to certain risks, trends and
uncertainties that could cause actual results to differ materially
from those projected. Many of these factors are beyond the Company’s
ability to control or predict. Important factors that may cause actual
results to differ materially and that could impact the Company and the
statements contained in this news release can be found in the
Company’s filings with the Securities and Exchange Commission. For
forward-looking statements in this news release, the Company claims
the protection of the safe harbor for forward-looking statements
contained in the Private Securities
Litigation
Reform Act of 1995. The Company assumes no obligation to update or
supplement any forward-looking statements whether as a result of new
information, future events or otherwise. This press release shall not
constitute an offer to sell or the solicitation of an offer to buy
securities.
Forward-Looking Statement Cautions
This news release includes certain “Forward-Looking
Statements” within the meaning of the United States Private
Securities Litigation Reform Act of 1995 and “forward-looking
information” under applicable Canadian securities laws. These
statements reflect the parties’ respective current views with respect
to future events and are inherently subject to significant business,
economic, competitive, political and social uncertainties and
contingencies. Such factors include, the synergies expected from the
Arrangement not being realized; business integration risks;
fluctuations in general macro economic conditions; fluctuations in
securities markets and the market price of UEC Shares; fluctuations in
the spot and forward price of uranium or certain other commodities
(such as natural gas, fuel oil and electricity); fluctuations in the
currency markets (such as the Canadian dollar and the U.S. dollar);
changes in national and local government, legislation, taxation,
controls, regulations and political or economic developments in Canada
and the United States; operating or technical difficulties in
connection with mining or development activities; risks and hazards
associated with the business of mineral exploration, development and
mining (including environmental hazards and industrial accidents);
risks relating to the credit worthiness or financial condition of
suppliers, refiners and other parties with whom the parties do
business; inability to obtain adequate insurance to cover risks and
hazards; and the presence of laws and regulations that may impose
restrictions on mining, availability and increasing costs associated
with mining inputs and labour; the speculative nature of mineral
exploration and development, including the risks of obtaining
necessary licenses, permits and approvals from government authorities;
title to properties; and the factors identified under the caption
“Risk Factors” in UEC’s Form 10K and under the caption “Risk
Factors” in UEX’s Annual Information Form. Although UEC has
attempted to identify important factors that could cause actual
results to differ materially, there may be other factors that cause
results not to be anticipated, estimated or intended. The parties do
not intend, and do not assume any obligation, to update these
forward-looking statements or information to reflect changes in
assumptions or changes in circumstances or any other events affecting
such statements or information, other than as required by applicable
law.]
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