• Moscow
  • Denver
  • Toronto
  • Almaty
  • Adelaide
  • Dar es Salaam

Uranium One

Mkuju River Project

Mkuju River is a uranium development project located in southern Tanzania, about 470 km southwest of Dar es Salaam.  The Mkuju River project is owned by Mantra Tanzania Limited, a wholly owned subsidiary of Mantra Resources Pty Ltd. (formerly Mantra Resources Ltd.), an Australian registered corporation in which Uranium One has a minority interest. The remaining shares in this company are owned by Uranium One Holding N.V..

Uranium One is the operator of the Mkuju River Project, and has committed to provide funding for the project through a loan agreement with Mantra guaranteed by Uranium One Holding N.V..

Operations

Current activity at the Mkuju River Project is focused on licensing and permitting.  An application for a special mining license has been submitted to the Tanzanian authorities.  At its 36th session in St. Petersburg from June 24 to July 6, 2012, the UNESCO World Heritage Committee approved an application by the Tanzanian Government for a minor adjustment to the boundary of the Selous Game Reserve removing the Mkuju River Project and an adjacent buffer zone from the Selous Game Reserve World Heritage Site.

In the meantime, additional exploration work on the project is being conducted in the area of the expected special mining license, and a definitive feasibility study relating to the project is being prepared.

Mineral Resources and Mineral Reserves

The following table sets out the mineral resource and mineral reserve estimates for the Mkuju River project as of June 30, 2013.

MKUJU RIVER PROJECT

(as of June 30, 2013)

Ore

(000s tonnes)

Grade

(% U)

Tonnes U

Grade (%U3O8)

U3O8

(M lbs)

Resources

100%

100%

13.9%

100%

13.9%

Measured

113,923

0.028

31,579

4,393

0.033

82.10

11.42

Indicated

72,922

0.022

16,348

2,274

0.026

42.50

5.91

Measured and Indicated

186,845

0.026

47,927

6,667

0.030

124.60

17.33

Inferred

54,549

0.019

10,562

1,469

0.023

27.46

3.82

Notes:

(1)   Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.  Inferred Mineral Resources have a great amount of uncertainty as to their existence and as to their economic feasibility.  Under no circumstances can it be assumed that all or any part of an Inferred Mineral Resource will ever be upgraded to a higher Mineral Resource category or converted to Mineral Reserves.

(2)   All Mineral Resources and Mineral Reserves are reported in accordance with CIM Standards. Unless otherwise stated, foreach project the Mineral Reserves stated above are included in the total estimate of Mineral Resources as stated above.All figures are rounded to reflect appropriate levels of confidence. Columns may not add up correctly due to rounding.

(3)   The second column for “Tonnes U” and “U3O8” represents the portion of total Mineral Reserves and/or Mineral Resources notionally attributable to Uranium One’s equity interest in the joint venture through which the property is owned in the percentage indicated in this column.

(4) Mineral Resources based on a cut‐off grade of 100 ppm U3O8, to reflect the anticipated operational cut‐off for potential alternative process routes.