uec20190430_10q.htm

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

[X]	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended April 30, 2019

[ ]	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _____ to _____

Commission File Number: 001-33706

URANIUM ENERGY CORP.

(Exact name of registrant as specified in its charter)

Nevada		98-0399476
State or other jurisdiction of incorporation of organization)		(I.R.S. Employer Identification No.)


1030 West Georgia Street, Suite 1830, Vancouver, B.C., Canada		V6E 2Y3
(Address of principal executive offices)		(Zip Code)

	(604) 682-9775
	(Registrant’s telephone number, including area code)

	N/A
	(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock	UEC	NYSE American

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer”, “accelerated filer”, “smaller reporting company”, and “emerging growth company” in Rule 12b-2 of the Exchange Act.

☐ Large accelerated filer	☒ Accelerated filer

☐ Non-accelerated filer	☐ Smaller reporting company

	☐ Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes ☐ No ☒

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date: 180,684,526 shares of common stock outstanding as of June 6, 2019.

URANIUM ENERGY CORP.

TABLE OF CONTENTS

PART I – FINANCIAL INFORMATION		3
Item 1.	Financial Statements	3
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	26
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	35
Item 4.	Controls and Procedures	35
PART II – OTHER INFORMATION		36
Item 1.	Legal Proceedings	36
Item 1A.	Risk Factors	37
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	47
Item 3.	Defaults Upon Senior Securities	47
Item 4.	Mine Safety Disclosures	47
Item 5.	Other Information	47
Item 6.	Exhibits	48
SIGNATURES		49

PART I – FINANCIAL INFORMATION

Item 1. Financial Statements

URANIUM ENERGY CORP.

CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE NINE MONTHS ENDED APRIL 30, 2019

(Unaudited)

URANIUM ENERGY COPR.

CONSOLIDATED BALANCE SHEETS

(Unaudited)

	Note(s)		April 30, 2019			July 31, 2018

CURRENT ASSETS
Cash and cash equivalents		6	$	6,093,098		$	6,926,523
Short-term investments				14,858,126			-
Inventories				211,662			211,662
Prepaid expenses and deposits		3		1,609,769			1,023,183
Other current assets				197,042			179,360
				22,969,697			8,340,728

MINERAL RIGHTS AND PROPERTIES		4		63,753,971			71,122,576
PROPERTY, PLANT AND EQUIPMENT		5		7,121,828			7,101,552
RESTRICTED CASH		6		1,812,843			1,789,899
EQUITY-ACCOUNTED INVESTMENT		7		9,058,803			693,502
OTHER LONG-TERM ASSETS				338,770			563,052
			$	105,055,912		$	89,611,309


CURRENT LIABILITIES
Accounts payable and accrued liabilities			$	1,445,201		$	2,314,763
Due to a related party		8		48,545			807
Current portion of long-term debt		9		-			10,000,000
				1,493,746			12,315,570

LONG-TERM DEBT		9		19,185,645			9,534,974
ASSET RETIREMENT OBLIGATIONS		10		4,192,304			4,020,282
DEFERRED TAX LIABILITIES				551,652			564,923
				25,423,347			26,435,749

STOCKHOLDERS' EQUITY
Capital stock
Common stock $0.001 par value: 750,000,000 shares authorized, 180,562,286 shares issued and outstanding (July 31, 2018 - 161,175,764)		11		180,562			161,176
Additional paid-in capital				335,440,377			308,062,379
Accumulated deficit				(255,866,652	)		(245,151,636	)
Accumulated other comprehensive income		1		(121,722	)		103,641
				79,632,565			63,175,560
			$	105,055,912		$	89,611,309

COMMITMENTS AND CONTINGENCIES		16

The accompanying notes are an integral part of these condensed consolidated financial statements.

URANIUM ENERGY CORP.

CONSOLIDATED STATEMENTS OF LOSS AND COMPREHENSIVE LOSS

(Unaudited)

			Three Months Ended April 30,						Nine Months Ended April 30,
	Note(s)		2019			2018			2019			2018

COSTS AND EXPENSES
Mineral property expenditures		4	$	1,453,358		$	981,493		$	3,218,818		$	3,638,408
General and administrative		8,12		1,952,616			2,407,571			6,395,014			7,526,698
Depreciation, amortization and accretion		4,5,10		86,387			88,294			259,970			268,066
				3,492,361			3,477,358			9,873,802			11,433,172
LOSS FROM OPERATIONS				(3,492,361	)		(3,477,358	)		(9,873,802	)		(11,433,172	)

OTHER INCOME (EXPENSES)
Interest income				136,173			38,467			311,155			188,335
Interest expenses and finance costs		9		(815,258	)		(710,000	)		(2,383,916	)		(2,206,585	)
(Loss) income from equity-accounted investment		7		(872,851	)		(10,134	)		(590,819	)		91,099
Other income				17,837			1,649			114,092			37,483
Gain (loss) on disposition of assets		4		7,598			(1,222	)		1,591,362			(1,696	)
				(1,526,501	)		(681,240	)		(958,126	)		(1,891,364	)
LOSS BEFORE INCOME TAXES				(5,018,862	)		(4,158,598	)		(10,831,928	)		(13,324,536	)

DEFERRED TAX BENEFITS				1,305			11,952			13,271			268,237
NET LOSS FOR THE PERIOD				(5,017,557	)		(4,146,646	)		(10,818,657	)		(13,056,299	)

OTHER COMPREHENSIVE (LOSS) INCOME, NET OF INCOME TAXES				(159,954	)		252			(121,722	)		388
TOTAL COMPREHENSIVE LOSS FOR THE PERIOD			$	(5,177,511	)	$	(4,146,394	)	$	(10,940,379	)	$	(13,055,911	)

NET LOSS PER SHARE, BASIC AND DILUTED		13	$	(0.03	)	$	(0.03	)	$	(0.06	)	$	(0.08	)

WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING, BASIC AND DILUTED				179,348,614			157,704,601			174,213,254			155,996,660

The accompanying notes are an integral part of these condensed consolidated financial statements.

URANIUM ENERGY CORP.

CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

			Nine Months Ended April 30,
	Note(s)		2019			2018
CASH PROVIDED BY (USED IN):

OPERATING ACTIVITIES
Net loss for the period			$	(10,818,657	)	$	(13,056,299	)
Adjustments to reconcile net loss to cash flows in operating activities
Stock-based compensation		12		2,143,598			2,133,359
Depreciation, amortization and accretion		4,5,10		259,970			268,066
Amortization of long-term debt discount		9		1,050,671			883,333
(Gain) loss on disposition of assets		4		(1,591,362	)		1,696
Deferred tax benefits				(13,271	)		(268,237	)
Loss (income) from equity-accounted investment		7		590,819			(91,099	)
Realized loss on available-for-sale securities				799			-
Reimbursable Expenses for Reno Creek Acquisition				-			483,829
Changes in operating assets and liabilities
Prepaid expenses and deposits				(408,301	)		(265,985	)
Other current assets				(18,481	)		445
Accounts payable and accrued liabilities				(869,562	)		(477,222	)
Due to a related party		8		47,738			167
NET CASH FLOWS USED IN OPERATING ACTIVITIES				(9,626,039	)		(10,387,947	)

FINANCING ACTIVITIES
Proceeds from share issuance, net of issuance costs		11		23,843,995			328,300
NET CASH FLOWS PROVIDED BY FINANCING ACTIVITIES				23,843,995			328,300

INVESTING ACTIVITIES
Net cash and restricted cash received from asset acquisition				-			289,038
Investment in mineral rights and properties				(105,000	)		(309,120	)
Purchase of property, plant and equipment				(77,809	)		(11,242	)
Increase in other long-term assets				-			(188,400	)
Purchase of short-term investments				(29,858,126	)		(21,771,253	)
Redemption of short-term investments				15,000,000			30,771,253
Proceeds from disposition of assets				12,498			-
NET CASH (USED IN) PROVIDED BY INVESTING ACTIVITIES				(15,028,437	)		8,780,276

NET CASH FLOWS				(810,481	)		(1,279,371	)
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, BEGINNING OF PERIOD				8,716,422			14,282,001
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, END OF PERIOD		6	$	7,905,941		$	13,002,630

SUPPLEMENTAL CASH FLOW INFORMATION		15

The accompanying notes are an integral part of these condensed consolidated financial statements.

URANIUM ENERGY CORP.

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY

(Unaudited)

	Common Stock				Additional Paid-in			Share Issuance		Accumulated				Accumulated Other Comprehensive		Stockholders'
	Shares		Amount		Capital			Obligation		Deficit				Income (Loss)		Equity
Balance, July 31, 2018		161,175,764	$	161,176	$	308,062,379		$	-	$	(245,151,636	)	$	103,641			63,175,560
Common stock
Issued for equity financing, net of issuance costs		12,613,049		12,613		15,978,349			-		-			-			15,990,962
Issued upon exercise of stock options		118,985		119		72,244			-		-			-			72,363
Issued upon exercise of warrants		3,999,881		4,000		4,818,357			-		-			-			4,822,357
Issued in exchange of warrants pursuant to Securities Exchange Agreement		750,000		750		976,813			-		-			-			977,563
Issued for credit facility		1,180,328		1,180		1,398,820			-		-			-			1,400,000
Stock-based compensation
Common stock issued for consulting services		165,404		163		226,376			-		-			-			226,539
Common stock issued under Stock Incentive Plan		558,875		561		784,556			-		-			-			785,117
Amortization of stock option expenses		-		-		1,141,733			-		-			-			1,141,733
Warrants
Issued for equity financing		-		-		2,978,250			-		-			-			2,978,250
Exchanged for common stock pursuant to Securities Exchange Agreement		-		-		(4,950,000	)		-		-			-			(4,950,000	)
Difference from Securities Exchange Agreement		-		-		3,952,500			-		-			-			3,952,500
Net loss for the period		-		-		-			-		(10,818,657	)		-			(10,818,657	)
Reclassification upon adoption of ASU No. 2016-01		-		-		-			-		103,641			(103,641	)		-
Other comprehensive loss		-		-		-			-		-			(121,722	)		(121,722	)
Balance, April 30, 2019		180,562,286	$	180,562	$	335,440,377		$	-	$	(255,866,652	)	$	(121,722	)	$	79,632,565

The accompanying notes are an integral part of these condensed consolidated financial statements.

URANIUM ENERGY CORP.

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY

(Unaudited)

	Common Stock				Additional Paid-in		Share Issuance			Accumulated				Accumulated Other Comprehensive		Stockholders'
	Shares		Amount		Capital		Obligation			Deficit				Loss		Equity
Balance, July 31, 2017		139,815,124	$	139,815	$	272,697,152	$	638,142		$	(227,325,002	)	$	(14,702	)	$	46,135,405
Common stock
Issued upon exercise of stock options		908,178		909		327,391		-			-			-			328,300
Issued for credit facility		641,574		641		899,359		-			-			-			900,000
Issued for Reno Creek Acquisition		14,852,450		14,853		20,317,764		-			-			-			20,332,617
Issued for Reimbursable Expenses for Reno Creek Acquisition		353,160		353		483,476		-			-			-			483,829
Issued for Diabase Acquisition		164,767		165		232,156		-			-			-			232,321
Issued for mineral property		46,134		46		61,774		-			-			-			61,820
Issued for settlement of liabilities		469,358		470		698,491		-			-			-			698,961
Stock-based compensation
Common stock issued for consulting services		208,889		208		322,657		-			-			-			322,865
Common stock issued under Stock Incentive Plan		1,023,247		1,023		1,366,763		(638,142	)		-			-			729,644
Amortization of stock option expenses		-		-		1,052,833		-			-			-			1,052,833
Warrants
Issued in connection with Reno Creek Acquisition		-		-		5,088,928		-			-			-			5,088,928
Net loss for the period		-		-		-		-			(13,056,299	)		-			(13,056,299	)
Other comprehensive income		-		-		-		-			-			388			388
Balance, April 30, 2018		158,482,881	$	158,483	$	303,548,744	$	-		$	(240,381,301	)	$	(14,314	)	$	63,311,612

The accompanying notes are an integral part of these condensed consolidated financial statements

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

NOTE 1: NATURE OF OPERATIONS

Uranium Energy Corp. was incorporated in the State of Nevada on May 16, 2003. Uranium Energy Corp. and its subsidiary companies and a controlled partnership (collectively, the “Company” or “we”) are engaged in uranium and titanium mining and related activities, including exploration, pre-extraction, extraction and processing of uranium concentrates and titanium minerals, on projects located in the United States, Canada and the Republic of Paraguay.

Although planned principal operations have commenced from which significant revenues from sales of uranium concentrates were realized for the fiscal years ended July 31, 2015 (“Fiscal 2015”), July 31, 2013 (“Fiscal 2013”) and July 31, 2012 (“Fiscal 2012”), we have yet to achieve profitability and have had a history of operating losses resulting in an accumulated deficit balance since inception. No revenue from uranium sales was realized for the nine months ended April 30, 2019, or for the fiscal years ended July 31, 2018 (“Fiscal 2018”), July 31, 2017 (“Fiscal 2017”), July 31, 2016 (“Fiscal 2016”) or July 31, 2014 (“Fiscal 2014”). Historically, we have been reliant primarily on equity financings from the sale of our common stock and, during Fiscal 2014 and Fiscal 2013, on debt financing in order to fund our operations, and this reliance is expected to continue for the foreseeable future.

During the nine months ended April 30, 2019, we completed a public offering of 12,613,049 units at a price of $1.60 per unit for gross proceeds of $20.2 million, and received cash proceeds of $4.9 million from the exercise of stock options and warrants, which substantially increased our cash and cash equivalent and improved our working capital position. At April 30, 2019, we had working capital of $21.5 million including cash and cash equivalents of $6.1 million and short-term investments of $14.9 million. On December 5, 2018, we entered into a third amended and restated credit agreement (the “Third Amended and Restated Credit Agreement”), whereby we and our lenders agreed to certain further amendments to our $20 million senior secured credit facility (the “Credit Facility”), the maturity date was extended from January 1, 2020 to January 31, 2022, and the prior monthly principal payments were deferred until the new maturity date of January 31, 2022. As a result, the $15.0 million principal amounts reported as current-portion of long-term debt at October 31, 2018 was removed from our capital resource requirement for the then next 12 months. As a consequence, our existing cash resources as at April 30, 2019 are expected to provide sufficient funds to carry our planned operations for the next 12 months from the date that our condensed consolidated financial statements are issued. Our continuation as a going concern for a period beyond 12 months will be dependent upon our ability to obtain adequate additional financing, as our operations are capital intensive and future capital expenditures are expected to be substantial. Our continued operations, including the recoverability of the carrying values of our assets, are dependent ultimately on our ability to achieve and maintain profitability and positive cash flow from our operations.

NOTE 2: BASIS OF PRESENTATION

The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with United States (“U.S.”) generally accepted accounting principles (“U.S. GAAP”) for interim financial information and are presented in U.S. dollars. Accordingly, they do not include all of the information and footnotes required under U.S. GAAP for complete financial statements. These unaudited interim condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements included in our Annual Report on Form 10-K for Fiscal 2018. In the opinion of management, all adjustments of a normal recurring nature and considered necessary for a fair presentation have been made. Operating results for the nine months ended April 30, 2019, are not necessarily indicative of the results that may be expected for the fiscal year ending July 31, 2019 (“Fiscal 2019”).

Exploration Stage

We have established the existence of mineralized materials for certain uranium projects, including for our Palangana Mine. We have not established proven or probable reserves, as defined by the United States Securities and Exchange Commission (the “SEC”) under Industry Guide 7, through the completion of a “final” or “bankable” feasibility study for any of our uranium projects, including the Palangana Mine. Furthermore, we have no plans to establish proven or probable reserves for any of our uranium projects for which we plan on utilizing in-situ recovery (“ISR”) mining, such as the Palangana Mine. As a result, and despite the fact that we commenced extraction of mineralized materials at the Palangana Mine in November 2010, we remain in the Exploration Stage as defined under Industry Guide 7, and will continue to remain in the Exploration Stage until such time proven or probable reserves have been established.

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

Since we commenced the extraction of mineralized materials at the Palangana Mine without having established proven or probable reserves, any mineralized materials established or extracted from the Palangana Mine should not in any way be associated with having established or produced from proven or probable reserves.

In accordance with U.S. GAAP, expenditures relating to the acquisition of mineral rights are initially capitalized as incurred while exploration and pre-extraction expenditures are expensed as incurred until such time we exit the Exploration Stage by establishing proven or probable reserves. Expenditures relating to exploration activities such as drilling programs to establish mineralized materials are expensed as incurred. Expenditures relating to pre-extraction activities such as the construction of mine wellfields, ion exchange facilities and disposal wells are expensed as incurred until such time proven or probable reserves are established for that project, after which expenditures relating to mine development activities for that particular project are capitalized as incurred.

Companies in the Production Stage as defined under Industry Guide 7, having established proven and probable reserves and exited the Exploration Stage, typically capitalize expenditures relating to ongoing development activities, with corresponding depletion calculated over proven and probable reserves using the units-of-production method and allocated to future reporting periods to inventory and, as that inventory is sold, to cost of goods sold. We are in the Exploration Stage which has resulted in us reporting larger losses than if we had been in the Production Stage due to the expensing, rather than capitalizing, of expenditures relating to ongoing mill and mine development activities. Additionally, there would be no corresponding amortization allocated to future reporting periods of our Company since those costs would have been expensed previously, resulting in both lower inventory costs and cost of goods sold and results of operations with higher gross profits and lower losses than if we had been in the Production Stage. Any capitalized costs, such as expenditures relating to the acquisition of mineral rights, are depleted over the estimated extraction life using the straight-line method. As a result, our consolidated financial statements may not be directly comparable to the financial statements of companies in the Production Stage.

Recently Adopted Accounting Standards

In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2014-09, as amended by ASU No. 2016-12, “Revenue from Contracts with Customers” (“Topic 606”), which requires revenue to be recognized based on the amount an entity is expected to be entitled to for promised goods or services provided to customers. The standard also requires expanded disclosures regarding contracts with customers. The guidance in this standard supersedes the revenue recognition requirements in Topic 605, “Revenue Recognition”, and most industry-specific guidance. Adoption of the standard may be applied retrospectively to each prior period presented (the full retrospective method) or retrospectively with the cumulative effect recognized as of the date of initial application (the modified retrospective method). The standard is effective for fiscal periods beginning after December 15, 2017 and early adoption is not permitted. Accordingly, we have adopted this standard effective August 1, 2018 and have elected to apply the modified retrospective method.

We have performed an assessment of the impact of implementation of ASU No. 2014-09, and concluded it will not change the timing of revenue recognition or amounts of revenue recognized compared to how we recognize revenue under our current policies. Our revenue was generated from the sale of uranium concentrates to customers. These sales contain a single delivery element and revenue is recognized at a single point in time when ownership, risk and rewards transfer to the buyer.

In January 2016, the FASB issued ASU No. 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities” (“Topic 825”), which requires entities to measure equity investments that do not result in consolidation and are not accounted for under the equity method at fair value and recognize any changes in fair value in net income. This new guidance also updates certain disclosure requirements for these investments. The guidance is effective for fiscal years beginning after December 15, 2017, and interim periods within those years. Upon adoption, the cumulative effect adjustment should be recorded at the beginning of the fiscal year in which the guidance is adopted. We adopted this standard effective August 1, 2018. Upon adoption, we reclassified $103,641 unrealized gains and losses, net of taxes, related to investments in marketable securities by our Company or through our equity-accounted investee, from accumulated other comprehensive income to accumulative deficit in our consolidated balance sheets.

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

In November 2016, the FASB issued ASU 2016-18, “Restricted Cash”, which requires the statement of cash flows present the change in restricted cash and restricted cash equivalents during the period. The guidance is effective for fiscal years beginning after December 15, 2017, and interim periods within those years. We retrospectively adopted this standard effective August 1, 2018. Upon adoption, we included a reconciliation of cash and cash equivalents and restricted cash (previously “reclamation deposits”) reported within our consolidated balance sheets to the total shown in the consolidated statements of cash flows. Adoption of this guidance had no other impact on our consolidated financial statements or disclosures.

In June 2018, the FASB issued ASU No. 2018-07, “Improvement to Nonemployee Share-Based Payment Accounting”, with amendments to expand the scope of Accounting Standard Codification (“ASC”), Topic 718, “Compensation – Stock Compensation” (“Topic 718”), to include share-based payment transactions for acquiring goods and services from nonemployees, which were previously covered under ASC 505, “Equity-Based Payments to Non-Employees”. According to ASU No. 2018-07, nonemployee share-based payment awards within the scope of Topic 718 are measured at grant-date fair value of the equity instruments that an entity is obligated to issue when the good has been delivered or the service has been rendered and any other conditions necessary to earn the right to benefit from the instruments have been satisfied. The amendments in ASU No. 2018-07 are effective for public business entities for fiscal years beginning after December 15, 2018, including interim periods within that fiscal year. Early adoption is permitted, but no earlier than an entity’s adoption date of Topic 606. We have early adopted this standard effective August 1, 2018, along with the adoption of Topic 606, and early adoption of this standard has not had a significant impact on our condensed consolidated financial statements.

NOTE 3: PREPAID EXPENSES AND DEPOSITS

At April 30, 2019, prepaid expenses and deposits consisted of the following:

	April 30, 2019		July 31, 2018
Prepaid Property Renewal Fees	$	869,394	$	566,977
Prepaid Insurance		210,085		210,155
Prepaid Listing and Subscriptions		66,288		48,435
Prepaid License Fees		74,211		17,039
Prepaid Surety Bond Premium		57,065		39,192
Deposits and Expense Advances		109,610		87,630
Other Prepaid Expenses		223,116		53,755
	$	1,609,769	$	1,023,183

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

NOTE 4: MINERAL RIGHTS AND PROPERTIES

Mineral Rights

At April 30, 2019, we had mineral rights in the States of Arizona, Colorado, New Mexico, Wyoming and Texas, in Canada and in the Republic of Paraguay. These mineral rights were acquired through staking, purchase or lease agreements and are subject to varying royalty interests, some of which are indexed to the sale price of uranium and titanium. At April 30, 2019, annual maintenance payments of approximately $2,516,000 will be required to maintain these mineral rights.

Mineral rights and property acquisition costs consisted of the following:

	April 30, 2019			July 31, 2018
Mineral Rights and Properties
Palangana Mine	$	6,285,898		$	6,285,898
Goliad Project		8,689,127			8,689,127
Burke Hollow Project		1,495,750			1,495,750
Longhorn Project		116,870			116,870
Salvo Project		14,905			14,905
Anderson Project		3,470,373			9,154,268
Workman Creek Project		649,854			1,657,500
Los Cuatros Project		257,250			257,250
Slick Rock Project		-			646,650
Reno Creek Project		31,527,870			31,527,870
Diabase Project		546,938			546,938
Yuty Project		11,947,144			11,947,144
Oviedo Project		1,133,412			1,133,412
Alto Paraná Titanium Project		1,433,030			1,433,030
Other Property Acquisitions		91,080			91,080
		67,659,501			74,997,692
Accumulated Depletion		(3,929,884	)		(3,929,884	)
		63,729,617			71,067,808

Databases		2,410,038			2,410,038
Accumulated Amortization		(2,408,939	)		(2,405,192	)
		1,099			4,846

Land Use Agreements		404,310			404,310
Accumulated Amortization		(381,055	)		(354,388	)
		23,255			49,922
	$	63,753,971		$	71,122,576

We have not established proven or probable reserves, as defined by the SEC under Industry Guide 7, for any of our mineral projects. We have established the existence of mineralized materials for certain mineral projects, including the Palangana Mine. Since we commenced uranium extraction at the Palangana Mine without having established proven or probable reserves, there may be greater inherent uncertainty as to whether or not any mineralized material can be economically extracted as originally planned and anticipated.

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

During the nine months ended April 30, 2019, we completed a royalty purchase agreement (the "Royalty Purchase Agreement") with Uranium Royalty Corp. (“URC”), a private entity investing in the uranium sector, in connection with the purchase by URC from our Company of a one percent (1%) net smelter return royalty (collectively, the "Royalties") for uranium only, on each of our Slick Rock, Workman Creek and Anderson projects. On December 4, 2018, we closed the Royalty Purchase Agreement and received 12,000,000 common shares of URC (the “Consideration Shares”) with a fair value of $9,077,842.

The fair value of the Consideration Shares, net of transaction costs of $55,787, was allocated to the respective underlying projects based on their identified mineral resources as follows:

Fair value of Consideration Shares	$	9,077,842
Transaction costs		55,787
Net consideration	$	9,022,055

Net consideration allocation to:	Allocation %			Net Consideration Allocation
Anderson Project		63	%	$	5,683,895
Workman Creek Project		12	%		1,082,646
Slick Rock Project		25	%		2,255,514
		100	%	$	9,022,055

The net consideration allocation amounts have reduced the carrying value of the Anderson Project by $5,683,895, the Workman Creek Project by $1,082,646 and the Slick Rock Project by $676,650. The net consideration of $2,255,514 allocated to the Slick Rock Project exceeded its carrying value of $676,650 by $1,578,864, which was recorded as a gain on disposition of asset and included in the condensed consolidated statement of operations for the nine months ended April 30, 2019.

During the nine months ended April 30, 2019 and 2018, we continued with reduced operations at the Palangana Mine to capture residual uranium only. As a result, no depletion for the Palangana Mine was recorded on our condensed consolidated financial statements for the three and nine months ended April 30, 2019 and 2018, respectively.

Mineral property expenditures incurred by major projects were as follows:

	Three Months Ended April 30,				Nine Months Ended April 30,
	2019		2018		2019		2018
Mineral Property Expenditures
Palangana Mine	$	248,687	$	264,447	$	775,311	$	740,977
Goliad Project		34,071		28,658		71,949		71,373
Burke Hollow Project		605,025		152,307		880,039		570,099
Longhorn Project		10,157		5,760		35,691		11,832
Salvo Project		6,702		6,702		20,211		20,338
Anderson Project		15,097		15,211		52,367		45,241
Workman Creek Project		7,673		7,673		23,037		23,627
Slick Rock Project		12,206		12,206		41,637		40,012
Reno Creek Project		178,722		158,546		474,015		1,126,918
Yuty Project		8,297		114,481		94,299		339,677
Oviedo Project		105,724		17,982		167,207		99,224
Alto Paraná Titanium Project		78,325		33,312		138,588		147,744
Other Mineral Property Expenditures		142,672		164,208		444,467		401,346
	$	1,453,358	$	981,493	$	3,218,818	$	3,638,408

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

During the three and nine months ended April 30, 2018, and in connection with the acquisition of the Reno Creek Project, we issued 353,160 shares as settlement of certain reimbursable expenses totalling $483,829, which was included in the mineral property expenditures on our condensed consolidated statements of operations for the nine months ended April 30, 2018.

NOTE 5: PROPERTY, PLANT AND EQUIPMENT

Property, plant and equipment consisted of the following:

	April 30, 2019							July 31, 2018
	Cost		Accumulated Depreciation			Net Book Value		Cost		Accumulated Depreciation			Net Book Value
Hobson Processing Facility	$	6,819,088	$	(773,933	)	$	6,045,155	$	6,819,088	$	(773,933	)	$	6,045,155
Mining Equipment		2,467,557		(2,396,991	)		70,566		2,438,681		(2,412,277	)		26,404
Logging Equipment and Vehicles		1,851,883		(1,742,816	)		109,067		1,971,742		(1,850,306	)		121,436
Computer Equipment		589,051		(559,229	)		29,822		607,342		(577,584	)		29,758
Furniture and Fixtures		170,701		(169,238	)		1,463		170,701		(168,814	)		1,887
Land and Buildings		889,606		(23,851	)		865,755		889,606		(12,694	)		876,912
	$	12,787,886	$	(5,666,058	)	$	7,121,828	$	12,897,160	$	(5,795,608	)	$	7,101,552

During the nine months ended April 30, 2019 and 2018, no uranium concentrate was processed at our Hobson Processing Facility due to the reduced operations at our Palangana Mine. As a result, no depreciation for the Hobson Processing Facility was recorded on our consolidated financial statements for the three and nine months ended April 30, 2019 and 2018, respectively.

NOTE 6: RESTRICTED CASH

Restricted cash (previously “reclamation deposits”) includes cash and cash equivalents as collateral for various bonds posted in favor of applicable state regulatory agencies in Arizona, Texas and Wyoming, for estimated reclamation costs associated with our Palangana Mine, Hobson Processing Facility and Reno Creek Project. Restricted cash will be released upon completion of reclamation of a mineral property or restructuring of a surety and collateral arrangement.

	April 30, 2019		July 31, 2018
Restricted cash, beginning of period	$	1,789,899	$	1,706,028
Reclamation deposit received from asset acquisition		-		73,973
Refund of reclamation deposit		-		(819	)
Interest received		22,944		10,717
Restricted cash, end of period	$	1,812,843	$	1,789,899

Cash, cash equivalents and restricted cash are included in the following accounts at April 30, 2019 and 2018:

	April 30, 2019		April 30, 2018
Cash and cash equivalents	$	6,093,098	$	11,223,448
Restricted cash		1,812,843		1,779,182
Total cash, cash equivalents and restricted cash	$	7,905,941	$	13,002,630

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

NOTE 7: EQUITY-ACCOUNTED INVESTMENT

On December 4, 2018, we closed the Royalty Purchase Agreement and received 12,000,000 Consideration Shares of URC with a fair value of $9,077,842. Refer to Note 4: Mineral Rights and Properties. As a result, we own 14,000,000 shares of URC, representing a 33.7% interest in URC as at April 30, 2019. In addition, certain of our officers collectively own an interest in URC and one of our officers is a member of the board of directors of URC. As a consequence, our ability to exercise significant influence over URC’s operating and financing policies continued to exist during the three and nine months ended April 30, 2019.

During the nine months ended April 30, 2019, the change in carrying value of the investment in URC is summarized as follows:

Balance, July 31, 2018	$	693,502
Share consideration received from sale of royalty interests		9,077,842
Share of loss from URC		(979,188	)
Gain on ownership interest dilution		388,369
Foreign currency translation		(121,722	)
Balance, April 30, 2019	$	9,058,803

NOTE 8: RELATED PARTY TRANSACTIONS

During the three months ended April 30, 2019 and 2018, we incurred $39,365 and $36,210 (nine months ended April 30, 2019 and 2018: $117,086 and $112,850), respectively, in general and administrative costs paid to Blender Media Inc. (“Blender”), a company controlled by Arash Adnani, a direct family member of our President and Chief Executive Officer, for various services including information technology, corporate branding, media, website design, maintenance and hosting, provided to the Company.

During the nine months ended April 30, 2018, we issued 104,706 shares to Blender with a fair value of $141,678 as settlement of the equivalent amounts owed to Blender.

At April 30, 2019, the amount owing to Blender was $48,545 (July 31, 2018: $807).

NOTE 9: LONG-TERM DEBT

On December 5, 2018, we entered into the Third Amended and Restated Credit Agreement with each of Sprott Resource Lending Partnership, as agent, and our remaining lenders and participants (collectively, the “Lenders”), whereby we and the Lenders agreed to certain further amendments to the $20,000,000 Credit Facility.

The key terms of the Third Amended and Restated Credit Agreement are summarized as follows:

●

extension of the maturity date from January 1, 2020 to January 31, 2022;

●

deferral of the prior monthly principal payments until the new maturity date of January 31, 2022;

●

issuance of third extension fee shares equal to 7% of the principal balance outstanding or $1,400,000 paid to the Lenders by way of the issuance of 1,180,328 shares of the Company; and

●

payment of anniversary fees to the Lenders on each of November 30, 2019, 2020 and 2021, of 7%, 6.5% and 6%, respectively, of the principal balance then outstanding, if any, payable at the option of the Company in cash or shares of the Company with a price per share calculated at a 10% discount to the five trading-day volume-weighted average price of the Company’s shares immediately prior to the applicable date.

Under the terms of the Third Amended and Restated Credit Agreement, the Credit Facility remains non-revolving with an amended term of 8.5 years maturing on January 31, 2022, subject to an interest a rate of 8% per annum, compounded and payable on a monthly basis. An underlying effective interest rate of 16.67% has been calculated under the assumption that the Company will carry the full principal balance of $20,000,000 to its contractual maturity on January 31, 2022 without exercising the prepayment feature; and therefore, the anniversary fee payments of $1,400,000, $1,300,000 and $1,200,000, which are calculated on the principal balance, will become due on each of November 30, 2019, 2020 and 2021, respectively.

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

The Third Amended and Restated Credit Agreement supersedes, in their entirety, the Second Amended and Restated Credit Agreement dated and effective February 9, 2016, the Amended and Restated Credit Agreement dated and effective March 13, 2014 and the Credit Agreement dated and effective July 30, 2013 with our Lenders.

As at April 30, 2019, our long-term debt consisted of the following:

	April 30, 2019			July 31, 2018
Principal amount	$	20,000,000		$	20,000,000
Unamortized discount		(814,355	)		(465,026	)
Long-term debt, net of unamortized discount		19,185,645			19,534,974
Current portion		-			10,000,000
Long-term debt, net of current portion	$	19,185,645		$	9,534,974

For the three and nine months ended April 30, 2019, the amortization of debt discount totaled $384,551 and $1,050,671 (three and nine months ended April 30, 2018: $277,502 and $883,333), respectively, which was recorded as interest expense and included in our condensed consolidated statements of operations and comprehensive loss.

NOTE 10: ASSET RETIREMENT OBLIGATIONS

The asset retirement obligations (the “ARO”) relate to future remediation and decommissioning activities at our Palangana Mine, Hobson Processing Facility, Reno Creek Project and Alto Paraná Titanium Project.

Balance, July 31, 2018	$	4,020,282
Accretion		172,022
Balance, April 30, 2019	$	4,192,304

The estimated amounts and timing of cash flows and assumptions used for ARO estimates are as follows:

April 30, 2019

July 31, 2018

Undiscounted amount of estimated cash flows

7,275,504

7,275,504

Payable in years

5.0

5.0

Inflation rate

1.37%

2.14%

1.37%

2.14%

Discount rate

5.48%

6.40%

5.48%

6.40%

The undiscounted amounts of estimated cash flows for the next five fiscal years and beyond are as follows:

Fiscal 2019	$	-
Fiscal 2020		-
Fiscal 2021		-
Fiscal 2022		-
Fiscal 2023		148,391
Remaining balance		7,127,113
	$	7,275,504

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

NOTE 11: CAPITAL STOCK

Equity Financing

On October 3, 2018, we completed a public offering of 12,613,049 units at a price of $1.60 per unit for gross proceeds of $20,180,878 (the “October 2018 Offering”). Each unit was comprised of one share of the Company and one-half of one share purchase warrant. Each whole warrant entitles its holder to acquire one share at an exercise price of $2.05 per share, exercisable immediately upon issuance and expiring 30 months from the date of issuance. In connection with the October 2018 Offering, we also issued compensation share purchase warrants to agents as part of share issuance costs to purchase 756,782 shares of our Company, exercisable at an exercise price of $2.05 per share and expiring 30 months from the date of issuance.

The shares were valued at the Company’s closing price of $1.54 per share at October 3, 2018. The share purchase warrants were valued using the Black-Scholes option pricing model with the following assumptions:

Expected Risk Free Interest Rate	2.90	%
Expected Annual Volatility	63.30	%
Expected Contractual Life in Years	2.50
Expected Annual Dividend Yield	0.00	%

The net proceeds from the October 2018 Offering were allocated to the fair values of the shares and share purchase warrants as presented below:

Fair Value of Shares	$	19,424,095
Fair Value of Share Purchase Warrants		3,094,693
Total Fair Value Before Allocation to Net Proceeds	$	22,518,788

Gross Proceeds	$	20,180,878
Share Issuance Costs - Cash		(1,211,667	)
Net Cash Proceeds Received	$	18,969,211

Relative Fair Value Allocation to:
Shares	$	16,362,327
Share Purchase Warrants		2,606,884
	$	18,969,211

Share Transactions

During the three months ended April 30, 2019, we entered into a Securities Exchange Agreement (the “Securities Exchange Agreement”) with each of Pacific Road Resources Reno Creek Cayco 1 Ltd. (“Cayco 1”), Pacific Road Resources Reno Creek Cayco 2 Ltd. (“Cayco 2”), Pacific Road Resources Reno Creek Cayco 3 Ltd. (“Cayco 3”), Pacific Road Resources Reno Creek Cayco 4 Ltd. (“Cayco 4”) and Reno Creek Unit Trust (“RCUT”, and together with Cayco 1, Cayco 2, Cayco 3 and Cayco 4, the “Pacific Road Parties”), whereby the Pacific Roads Parties exchanged their collective 11,000,000 outstanding common stock purchase warrants of the Company (the “Warrants”) for an aggregate of 750,000 common shares of the Company (each, a “Share”), with a fair value of $1.33 per Share (collectively, the “Securities Exchange”). The Warrants, with an exercise price of $2.30 and expiry date of August 9, 2022, were valued at $0.45 per share using the Barrier Option Pricing Model at the date of issuance on August 9, 2017 in connection with the acquisition of the Reno Creek Project. The difference between the carrying value of the Warrants of $4,950,000 and fair value of the shares of $997,500 was recorded as additional paid in capital and has had no impact on the Company’s condensed consolidated Statement of operations and comprehensive loss.

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

A summary of the share transactions for the nine months ended April 30, 2019 is as follows:

Period / Description	Common		Value per Share				Issuance
Period / Description	Shares Issued		Low		High		Value
Balance, July 31, 2018		161,175,764
Equity Financing		12,613,049	$	1.60	$	1.60	$	20,180,878
Credit Facility		1,180,328		1.19		1.19		1,400,000
Exchange of Warrants		750,000		1.33		1.33		997,500
Consulting Services		165,404		1.23		1.77		226,539
Warrants Exercised		3,999,881		1.20		1.35		4,822,357
Options Exercised⁽¹⁾		118,985		0.45		1.32		123,221
Shares Issued Under Stock Incentive Plan		558,875		1.25		1.72		785,117
Balance, April 30, 2019		180,562,286

(1)

151,500 stock options were exercised on a forfeiture basis, resulting in 52,735 net shares being issued.

Share Purchase Warrants

A continuity schedule of outstanding share purchase warrants is as follows:

	Number of Warrants			Weighted Average Exercise Price
Balance, July 31, 2018		30,923,489		$	1.97
Issued		7,063,253			2.05
Exercised		(3,999,881	)		1.21
Expired		(3,542,951	)		2.13
Cancelled		(11,000,000	)		2.30
Balance, April 30, 2019		19,443,910		$	1.94

A summary of share purchase warrants outstanding and exercisable at April 30, 2019 is as follows:

Weighted Average Exercise Price		Number of Warrants Outstanding		Expiry Date	Weighted Average Remaining Contractual Life (Years)
$	1.35		2,450,000	January 30, 2020		0.75
	1.64		50,000	May 21, 2023		4.06
	2.00		9,571,929	January 20, 2020		0.73
	2.05		7,063,253	April 3, 2021		1.93
	2.30		308,728	August 9, 2022		3.28
$	1.94		19,443,910			1.21

During the nine months ended April 30, 2019, we received cash proceeds totaling $4,822,357 from the exercise of 3,999,881 share purchase warrants at a weighted average exercise price of $1.21 per share.

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

NOTE 12: STOCK-BASED COMPENSATION

At April 30, 2019, we had one stock option plan, the 2018 Stock Incentive Plan, which superseded and replaced our prior equity compensation plan, being our 2017 Stock Incentive Plan (collectively, the “Stock Incentive Plan”).

Stock Options

During the nine months ended April 30, 2019, we granted stock options under the Stock Incentive Plan to certain employees to purchase a total of 130,000 shares of the Company exercisable at $1.25 to $1.44 per share with a term of five years.

These stock options are subject to a 24-month vesting provision whereby at the end of the first three and six months after the grant date, 12.5% of the total stock options become exercisable, and whereby at the end of each of 12, 18 and 24 months after the grant date, 25% of the total stock options become exercisable.

A summary of stock options granted by the Company during the nine months ended April 30, 2019, including corresponding grant date fair values and assumptions using the Black Scholes option pricing model is as follows:

Date	Options Granted		Exercise Price		Term (Years)		Fair Value		Expected Life (Years)		Risk-Free Interest Rate			Dividend Yield			Expected Volatility
January 3, 2019		40,000	$	1.25		5.00	$	24,164		3.70		2.34	%		0.00	%		63.70	%
April 11, 2019		90,000		1.44		5.00		58,047		3.70		2.29	%		0.00	%		58.06	%
Total		130,000					$	82,211

A continuity schedule of outstanding stock options for the underlying shares for the nine months ended April 30, 2019 is as follows:

	Number of Stock Options			Weighted Average Exercise Price
Balance, July 31, 2018		14,911,625		$	1.41
Granted		130,000			1.38
Exercised		(217,750	)		1.11
Forfeited		(87,500	)		1.42
Balance, April 30, 2019		14,736,375		$	1.41

During the nine months ended April 30, 2019, we issued 118,985 shares upon exercise of stock options, of which 66,250 stock options were exercised in cash for proceeds of $72,363, and 151,500 stock options were exercised on a forfeiture basis resulting in 52,735 net shares issued. The intrinsic value of these exercised options totaled $124,405.

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

A continuity schedule of outstanding unvested stock options at April 30, 2019, and the changes during the periods, is as follows:

	Number of Unvested Stock Options			Weighted Average Grant-Date Fair Value
Balance, July 31, 2018		3,479,500		$	0.68
Granted		130,000			0.63
Vested		(1,554,250	)		0.68
Forfeited		(75,000	)		0.67
Balance, April 30, 2019		1,980,250		$	0.67

At April 30, 2019, the aggregate intrinsic value under the provisions of ASC 718 of all outstanding stock options was estimated at $2,066,559 (vested: $2,008,016 and unvested: $58,543).

At April 30, 2019, unrecognized stock-based compensation expense related to the unvested portion of stock options totaled $545,992 to be recognized over the next 0.83 year.

A summary of stock options outstanding and exercisable at April 30, 2019 is as follows:

			Options Outstanding						Options Exercisable
Range of Exercise Prices			Outstanding at April 30, 2019		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (Years)		Exercisable at April 30, 2019		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (Years)
$0.93	to	$1.41		11,384,875	$	1.23		1.33		10,942,625	$	1.23		1.25
$1.42	to	$3.86		3,351,500		2.04		3.23		1,813,500		2.48		2.36
				14,736,375	$	1.41		1.76		12,756,125	$	1.40		1.40

Stock-Based Compensation

A summary of stock-based compensation expense is as follows:

	Three Months Ended April 30,				Nine Months Ended April 30,
	2019		2018		2019		2018
Stock-Based Compensation for Consultants
Common stock issued for consulting services	$	155,813	$	168,107	$	516,423	$	606,885
Amortization of stock option expenses		37,336		43,463		122,056		385,082
		193,149		211,570		638,479		991,967
Stock-Based Compensation for Management
Common stock issued to management		33,126		34,265		104,109		103,509
Amortization of stock option expenses		70,395		45,926		427,099		226,907
		103,521		80,191		531,208		330,416
Stock-Based Compensation for Employees
Common stock issued to employees		132,638		120,711		381,333		497,747
Amortization of stock option expenses		125,424		106,113		592,578		440,844
		258,062		226,824		973,911		938,591

Settlement of share issuance obligation		-		-		-		(127,615	)
	$	554,732	$	518,585	$	2,143,598	$	2,133,359

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

NOTE 13: LOSS PER SHARE

The following table reconciles the weighted average number of shares used in the calculation of the basic and diluted loss per share:

	Three Months Ended April 30,						Nine Months Ended April 30,
	2019			2018			2019			2018
Numerator
Net Loss for the Period	$	(5,017,557	)	$	(4,146,646	)	$	(10,818,657	)	$	(13,056,299	)

Denominator
Basic Weighted Average Number of Shares		179,348,614			157,704,601			174,213,254			155,996,660
Dilutive Stock Options and Warrants		-			-			-			-
Diluted Weighted Average Number of Shares		179,348,614			157,704,601			174,213,254			155,996,660

Net Loss per Share, Basic and Diluted	$	(0.03	)	$	(0.03	)	$	(0.06	)	$	(0.08	)

For the three and nine months ended April 30, 2019 and 2018, all outstanding stock options and share purchase warrants were excluded from the calculation of the diluted loss per share since we reported net losses for those periods and their effects would be anti-dilutive.

NOTE 14: SEGMENTED INFORMATION

We currently operate in one reportable segment which is focused on uranium mining and related activities, including exploration, pre-extraction, extraction and processing of uranium concentrates.

At April 30, 2019, our long-term assets located in the United States totaled $57,597,112 or 70% of our total long-term assets of $82,086,215.

The table below provides a breakdown of the long-term assets by geographic segments:

April 30, 2019

Balance Sheet Items

United States

Texas

Arizona

Wyoming

Other States

Canada

Paraguay

Total

Mineral Rights and Properties

12,700,030

4,377,477

31,527,870

88,071

546,938

14,513,585

63,753,971

Property, Plant and Equipment

6,405,816

346,235

16,813

352,964

7,121,828

Restricted Cash

1,723,870

15,000

73,973

1,812,843

Equity-Accounted Investment

9,058,803

Other Long-Term Assets

242,042

96,728

338,770

Total Long-Term Assets

21,071,758

4,392,477

32,044,806

88,071

9,622,554

14,866,549

82,086,215

	July 31, 2018
Balance Sheet Items	United States
	Texas		Arizona		Wyoming		Other States			Canada		Paraguay		Total
Mineral Rights and Properties	$	12,729,697	$	11,069,018	$	31,527,870	$	735,468	$	546,938	$	14,513,585	$	71,122,576
Property, Plant and Equipment		6,362,608		-		357,392		-		25,889		355,663		7,101,552
Restricted Cash		1,700,926		15,000		73,973		-		-		-		1,789,899
Equity-Accounted Investment		-		-		-		-		693,502		-		693,502
Other Long-Term Assets		416,519		-		146,533		-		-		-		563,052
Total Long-Term Assets	$	21,209,750	$	11,084,018	$	32,105,768	$	735,468	$	1,266,329	$	14,869,248	$	81,270,581

URANIUM ENERGY CORP.
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
April 30, 2019
(Unaudited)

The tables below provide a breakdown of our operating results by geographic segments for the three and nine months ended April 30, 2019 and 2018. All intercompany transactions have been eliminated.

Three Months Ended April 30, 2019

Statement of Operations

United States

Texas

Arizona

Wyoming

Other States

Canada

Paraguay

Total

Costs and Expenses:

Mineral property expenditures

1,042,836