LITTLETON, Colo., Oct. 5, 2012 /CNW/ - Ur-Energy Inc. (TSX:URE, NYSE MKT:URG) ("Ur-Energy" or the "Company") is pleased to announce the receipt of the Record of Decision (ROD) from the Bureau of Land Management (BLM) approving the Plan of Operations for the Company's Lost Creek uranium in-situ recovery (ISR) project in Wyoming, USA. The ROD represents the final regulatory step needed by the Company to initiate construction and production operations at the project site.
"With the receipt of the Record of Decision, the activities at our Lost Creek ISR project will rapidly transition to facility construction and mine unit development," said Jeff Klenda, Chairman of the Board of Ur-Energy. "Lost Creek is our Company's premier project. The next several months will be a very exciting period for Ur-Energy as we grow from a company conducting exploration and development activities to emerge as a viable Wyoming-based uranium production company. I anticipate the Lost Creek mine becoming an important contributor to South-Central Wyoming's economic development and employment opportunities for many years to come."
Facility construction will start this month at the Lost Creek Project site. During the next six to nine months, the Company will invest 30 to 40 million dollars in the project, located in Sweetwater County, Wyoming. First production from Lost Creek is forecast for early summer of 2013. The project is currently expected to produce more than seven million pounds of uranium yellowcake (U308) at a designed rate of one million pounds per year.
Through a comprehensive regulatory review process, Ur-Energy has obtained all of the permits and licenses required to produce uranium at the Lost Creek Project site. The US Nuclear Regulatory Commission issued its license in August 2011 . The State of Wyoming Department of Environmental Quality (WDEQ) approved a Permit to Mine in October 2011 . The Company received the necessary permit to install and operate Class I water disposal wells from the WDEQ and the US Environmental Protection Agency. Those agencies also approved an aquifer exemption authorizing the Company to conduct injection activities in the production well fields.
"We appreciate the thoroughness of all the regulatory agencies throughout the permitting process," noted Wayne Heili, President and CEO of Ur-Energy. "The comprehensive nature of the regulatory review process has included multiple opportunities for public input. The efforts of the involved agency staffs have produced a foundation of permits and licenses on which we can build a model uranium recovery operation for the future of the Company. My compliments go out to the regulatory community for their commitment to the values and mission of the agencies they represent. I would also like to extend my appreciation to the multi-talented team at Ur-Energy for their dedicated efforts in achieving the completion of the permitting efforts for this project."