Note 5 - Mineral Rights and Properties

9 Months Ended

Apr. 30, 2022

Notes to Financial Statements

Mineral Industries Disclosures [Text Block]

NOTE 5:            MINERAL RIGHTS AND PROPERTIES

Mineral Rights

As at April 30, 2022, 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. As of April 30, 2022, annual maintenance payments of approximately $4.3 million will be required to maintain these mineral rights.

As at April 30, 2022, the carrying value of our mineral rights and properties, including the recently acquired UEC Wyoming Portfolio, were as follows:

	April 30, 2022			July 31, 2021
Mineral Rights and Properties
Palangana Mine	$	6,027,784		$	6,027,784
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			3,470,373
Workman Creek Project		949,854			899,854
Los Cuatros Project		257,250			257,250
Slick Rock Project		90,000			60,000
Reno Creek Project		31,527,870			31,527,870
UEC Wyoming Portfolio		110,413,823			-
Diabase Project		982,358			546,938
Yuty Project		11,947,144			11,947,144
Oviedo Project		1,133,412			1,133,412
Alto Paraná Titanium Project		1,933,030			1,433,030
Other Property Acquisitions		91,080			91,080
		179,140,630			67,711,387
Accumulated Depletion		(3,929,884	)		(3,929,884	)
		175,210,746			63,781,503
Databases and Land Use Agreements		2,458,808			2,458,808
Accumulated Amortization		(2,457,433	)		(2,456,308	)
		1,375			2,500
	$	175,212,121		$	63,784,003

We have not established proven or probable reserves, as defined by the SEC, for any of our mineral projects. We have established the existence of mineralized materials for certain mineral projects. Since we commenced uranium extraction at our ISR Mines 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.

During the nine months ended April 30, 2022, we entered into property purchase agreements, whereby we acquired 10 mineral claims as additions to our existing Diabase Project (the “Diabase Additions”) located on the southern rim of the Athabasca Basin uranium district in Saskatchewan, Canada. In connection with the Diabase Additions, we paid total consideration of $435,420, which consisted of 111,864 shares with a fair value of $425,519 and transaction costs of $9,901. As a result of these claims being added to our existing Diabase Project, the carrying value of our Diabase Project increased to $982,358 ( July 31, 2021: $546,938).

During the three months ended April 30, 2022, the Company exercised its option to acquire one-half percent (0.5%) of the net smelter returns royalty payable on its Alto Parana Project for total consideration of $500,000 pursuant to the terms of a Net Smelter Returns Royalty Agreement under a Share Purchase and Option Agreement as entered between UEC and CIC Resources Inc. in March 2016. The consideration of $500,000 paid for this option exercise was capitalized to mineral right and properties and added to the carrying value of the Alto Parana Project.

During the three and nine months ended April 30, 2022 and 2021, we continued with reduced operations at our ISR Mines to capture residual uranium only. As a result, no depletion for the ISR Mines was recorded on our condensed consolidated financial statements for the three and nine months ended April 30, 2022 and 2021.

During the three and nine months ended April 30, 2022, we incurred mineral property expenditures of $895,797 and $1,334,580, respectively, for the UEC Wyoming Portfolio since the closing date of the U1A Acquisition.

Mineral property expenditures for the three and nine months ended April 30, 2022 are as follows:

	Three Months Ended April 30,				Nine Months Ended April 30,
	2022		2021		2022		2021
Mineral Property Expenditures
Palangana Mine	$	299,727	$	216,791	$	811,443	$	648,459
Burke Hollow Project		938,789		626,695		2,356,485		942,311
Goliad Project		42,230		51,437		171,670		168,493
Longhorn Project		15,381		2,289		22,831		6,866
Salvo Project		4,452		7,672		14,601		23,537
Anderson Project		27,335		19,469		59,944		58,360
Workman Creek Project		8,167		8,168		24,922		24,533
Slick Rock Project		12,993		12,994		39,477		39,123
Reno Creek Project		258,606		215,725		682,758		485,791
Allemand Ross Project		90,387		-		139,276		-
Christensen Ranch Mine		513,663		-		776,890		-
Ludeman Project		78,680		-		124,957		-
Moore Ranch Project		55,982		-		74,529		-
Yuty Project		33,349		7,129		53,961		21,457
Oviedo Project		145,853		109,676		468,447		256,091
Alto Paraná Titanium Project		76,925		88,796		281,577		134,710
Other Mineral Property Expenditures		309,999		111,913		574,439		332,041
	$	2,912,518	$	1,478,754	$	6,678,207	$	3,141,772