Palangana

Uranium Energy Corp has initiated the development and construction of the wellfield and the disposal well for the first production zone (Production Area 1 or PAA-1) at Palangana.  The Palangana project is fully permitted for production.  It is a prior-producing in-situ recovery (ISR) project located in the South Texas uranium belt approximately 100 miles south of the Company’s fully licensed Hobson processing plant. The plan is to produce and ship uranium-bearing resins from Palangana to Hobson starting in the fourth quarter this year for further processing into yellowcake.

To download the complete NI 43-101 Technical Report on the Palagana Project, please click the link below.

Palagana Project NI 43-101

In this section:

• Project Overview
• Recent Developments

PROJECT OVERVIEW

The La Palangana Uranium Project is an ISR uranium project located in close proximity to the central Hobson Facility.  Effective on December 18, 2009, the company completed the acquisition for 100% ownership interest in the South Texas Mining Venture, L.L.P. (“STMV”), a Texas limited liability partnership, from each of URN Resources Inc. (“URN”), a subsidiary of Uranium One Inc., and Everest Exploration, Inc. (“Everest”). The Palangana project is close to the completion of permitting, and joins our Goliad project as additional near-term production potential and is acting to become the base for long-term growth plan in South Texas . A satellite ion exchange plant at La Palangana will produce and ship uranium bearing resins to the Hobson Facility for further processing.into dried U₃O₈.

The Palangana project is a prior-producing in-situ recovery (ISR) project located in the South Texas uranium belt.  The 2,500-hectare (6,200-acre) property is located approximately 100 miles south of the Hobson facility.  Over 4,000 historic exploration, development and production holes were drilled at the project by Union Carbide Corp (“UCC”), Chevron, and Everest Exploration Inc.  UCC produced uranium at the project in the mid to late 1970’s with ISR technology. Harry Anthony, the Company’s Chief Operating Officer, was a member of UCC’s ISR mining team and oversaw the development and production of this project.  Palangana is a near-term production project and is is now fully permitted for production.

Resource Estimates:

The latest Technical Report was filed on Feb 23rd 2010.The latest 43-101 for Palangana was filed on Feb 23rd 2010.  The Technical Report provides for a Measured and Indicated Resource Estimate for the Company’s Palangana Project of 1,057,000 pounds at an average grade of 0.135% eU3O8. This resource is located in two zones referred to as Production Area #1 (“PA-1”) and Production Area #2 (”PA-2”). An additional 1,154,000 pounds of eU3O8 at an average grade of 0.176% is classified as an Inferred Resource Estimate, and is located in six new exploration zones.  The Resource Estimates completed by SRK Consulting U.S. Inc are based on the results from 2,694 drill holes at the Palangana Project completed by previous operators including Uranium One, Chevron Corporation and Union Carbide Corp (“UCC”).  The Resource Estimates are primarily located east of the Palangana Dome.

Current Permitting Status:

The Palangana is-situ recovery project is now fully permitted.
The project's last permit, the Radioactive Material License, has been issued by the TCEQ.

RECENT DEVELOPMENTS

Aug 30, 2010
Uranium Energy Corp Completes Phase One Of Wellfield Development At Palangana In South Texas

Jun 22, 2010
Uranium Energy Corp Discovers New Exploration Zone and Reports Strong Drill Results at Palangana in South Texas

Jun 15, 2010
Uranium Energy Corp Initiates Wellfield Development and Construction at Palangana

May 4, 2010
Uranium Energy Corp Provides Project and Corporate Update

Mar 15, 2010
Uranium Energy Corp Reports Strong Drilling Results at the Company’s Palangana ISR Project in South Texas

Feb 23, 2010
Uranium Energy Corp Reports Independent NI 43-101 Resource Estimate for the Company’s Palangana ISR Project in South Texas

Jan 20, 2010
Uranium Energy Corp Announces the Company’s Palangana ISR Uranium Project Now Fully Permitted

Jan 11, 2010
Uranium Energy Corp Advances Permitting at Palangana and Goliad ISR Projects

Dec 21, 2009
Uranium Energy Corp Completes Acquisition of South Texas Mining Venture L.L.P. from Uranium One and Everest Exploration

Nov 30, 2009
Uranium Energy Corp Finalizes Agreement to Purchase Texas Assets from Everest Exploration Inc.

Oct 14, 2009
Uranium Energy Corp to Purchase South Texas Mining Venture L.L.P. from Uranium One and Everest Exploration