Note 1 - Nature of Operations

12 Months Ended

Jul. 31, 2019

Notes to Financial Statements

Nature of Operations [Text Block]

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”) are engaged in uranium mining and related activities, including exploration, pre-extraction, extraction and processing of uranium and titanium concentrates, on projects located in the United States, Canada and 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”

),

2013

(“Fiscal

2013”

) and

2012

(“Fiscal

2012”

), we are yet to achieve profitability and have had a history of operating losses resulting in an accumulated deficit balance since inception. 

No

revenue from sales of uranium concentrates was realized for the fiscal years ended

July 31, 2019 (

“Fiscal

2019

),

2017

(“Fiscal

2017”

),

2016

(“Fiscal

2016”

) and

2014

(“Fiscal

2014”

) or for any periods prior to Fiscal

2012.

  Historically, we have been reliant primarily on equity financings from the sale of our common stock and on debt financing in order to fund our operations, and this reliance is expected to continue for the foreseeable future.

At

July 31, 2019,

we had cash and cash equivalents and term deposits of

$17.9

million and a working capital of

$16.6

million. With reduction of our cash burn rate from that incurred in Fiscal

2019

by curtailing expenditures on discretionary and non-core activities and paying certain management, consulting and service provider fees by issuance of shares of the Company in lieu of cash, our existing cash resources are expected to provide sufficient funds to carry out the planned operations for

12

months from the date that our consolidated financial statements are issued.  Our continuation as a going concern for a period beyond those

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.