toward production of clean energy commodities: uranium ... · 2 qp for technical disclosure – all...

www.u3o8corp.com

July, 2017

Uranium

Nuclear Energy Power Storage Rare Earths

Toward production of clean energy

commodities:

uranium & battery metals

A Green Resources Company

Vanadium, Nickel

& Phosphate

Yttrium &

Neodymium TSX: UWE | OTCQB: UWEFF | SSE: UWECL

2

QP for Technical Disclosure – All scientific and technical disclosure contained herein has been prepared and approved by Dr. Richard Spencer, U3O8 Corp’s President and CEO and a “qualified person” within the meaning of NI 43-101.

Certain statements contained herein constitute forward-looking statements (“FLS”) that involve substantial known and unknown risks and uncertainties. These FLS

are subject to numerous risks and uncertainties, certain of which are beyond the control of U3O8 Corp., including, but not limited to, the impact of general economic

conditions, industry conditions, geopolitical risks, volatility of commodity prices, assumptions used in resource estimates, economic analysis and financial

projections, risks associated with the uncertainty of exploration results and estimates and that the resource potential will be achieved on exploration projects, timing

and outcome of the preliminary economic assessment (“PEA”) and that a mine will be achieved on the Laguna Salada Project or the Berlin Deposit, that a joint

venture will be formed with the Chubut provincial resource company, that the frac sand property will be developed as anticipated and silica potential is realized,

currency fluctuations, the uncertainty of obtaining additional financing and exploration risk, and dependence upon regulatory approvals. Readers are cautioned that

the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such,

undue reliance should not be placed on FLS. These FLS are made as of the date hereof and U3O8 Corp. assumes no obligation to update or revise them to reflect

new events or circumstances. Industry and peer information has been drawn from publicly available sources and have not been independently verified by U3O8

Corp. Comparisons of U3O8 Corp’s resource and exploration targets with other uranium deposits are conceptual in nature, and have not been independently

verified by U3O8 Corp. and information regarding these peer deposits are drawn from publicly available information.

Kurupung Project, Guyana – resource of 8.4Mlb indicated at 0.09% U3O8 and 7.7Mlb inferred at 0.08% U3O8. See June 26, 2012 – “Technical Review and Mineral Resource Estimates of the Aricheng C and Aricheng West Structures, Kurupung Uranium Project, Mazaruni District, Guyana for U3O8 Corp.” and January 14, 2009 – “A Technical Review of the Aricheng North and Aricheng South Uranium Deposits in Western Guyana for U3O8 Corp. and Prometheus Resources (Guyana) Inc.” Scout drilling suggests that the Kurupung may contain an additional exploration target of 6-11Mt at a grade of 0.08% to 0.10% U3O8 (~14-19Mlb) – see press releases dated June 10, 2008, October 15, 2009, November 18, 2009, March 16, 2010, April 20, 2011 and June 8, 2011.

Laguna Salada Project, Argentina – resources of 6.3Mlb indicated at 60ppm U3O8 and 3.8Mlb inferred at 85ppm U3O8; and 57Mlb indicated at 550ppm V2O5 and 27Mlb at 590ppm V2O5. See May 20, 2011 – “Laguna Salada Project, Chubut Province, Argentina, NI 43-101 Technical Report on Laguna Salada: Initial Resource Estimate”. Based on exploration results on other mineralized areas, there is an additional exploration target of 56-113Mt at a grade of 50ppm to 60ppm U3O8 (~10-15Mlb) – see press releases dated December, 4, 2013 and November 12, 2013. For the Laguna Salada PEA, see the September 18, 2014 – “Preliminary Economic Assessment of Laguna Salada Uranium-Vanadium Deposit, Chubut Province, Argentina”.

Berlin Project, Colombia – resources of 1.5Mlb indicated at 0.11% U3O8 and 19.9Mlb inferred at 0.11% U3O8 ; plus a phosphate inferred resource of 0.8Mt at 9.3% P2O5 and vanadium inferred resource of 97mlb at 0.50% V2O5 defined on only the southern 3km of the 10.5km mineralized trend at Berlin. See March 2, 2012 – “Berlin Project, Colombia – National Instrument NI 43-101 Report”. Based on exploration on other mineralized areas, there is an additional exploration target of 20-27Mt at a grade of 0.09% to 0.11% U3O8 (~50-55Mlb) on the remaining 7.5km of the trend – see press release dated September 20, 2012. For the Berlin PEA see the January 31, 2013 – “Berlin Project, Colombia - Preliminary Economic Assessment, NI 43-101 Report”.

PEAs are preliminary in nature as they include inferred mineral resources that are considered too speculative geologically for economic consideration that would enable them to be classified as mineral reserves. Mineral resources are not mineral reserves and have not demonstrated economic viability. There is no certainty that the results of the PEAs will be realized. Potential quantity and grades are conceptual in nature. There has been insufficient exploration to define a mineral resource on the above exploration targets, and it is uncertain if further exploration will increase the mineral resources on the company’s projects in Guyana, Argentina and Colombia. Information on U3O8 Corp., its projects and technical reports in compliance with NI 43-101 are available on the company’s web site at www.u3o8corp.com.

Forward-Looking Statements & Disclaimer A Green Resources Company

TSX: UWE | OTCQB: UWEFF | SSE: UWECL

http://www.u3o8corp.com/









3

U3O8 Corp:

Commodities for clean energy


Off-grid /

Micro-grid

Traditional Large

Nuclear Reactors

Small

Modular

Reactors

Regional

Electricity/Transmission

Grid

Nickel,

Vanadium,

Phosphate,

Cobalt

Cities Towns / Industrial

Complexes

1. Uranium To fuel nuclear power plants

2. Battery

Commodities

3. Rare Earths High-efficiency generators & motors


U3O8 Corp. Core Components & Estimate of % Revenue that would be derived from each

4

Note - PEA estimates are preliminary in nature, as is the revenue projected to be derived from each commodity. The PEAs

include resources that are not reserves that do not have demonstrated economic viability. There is no certainty of the results

of the PEA being realized - see slide 2


U3O8 Corp

Project Uranium Battery

Commodities

Rare Earth

Elements

Other

Metals Total

Laguna Salada,

Argentina 86% Vanadium 14% 100%

Berlin,

Colombia 35%

Vanadium 9%

7% 3% 100% Nickel 15%

Phosphate 31%

Sub-total 55%

U3O8 Corp has a 39% holding in South American Silica


U3O8 Corp. Uranium Resource: 48 million pounds

5


Note – Projected cash costs are based on PEAs that are preliminary in nature as they include resource

estimates that are not mineral reserves and do not have demonstrated economic viability – see slide 2

Guyana Colombia

Argentina

Estimated Cash

Cost of Uranium

Production

Estimated

Capital

Cost

Priority

BERLIN, Colombia

Resource Type Million

pounds

Indicated 1.5 US$0/pound of

uranium net of by-

products

US$441

million 2

Inferred 19.9

LAGUNA SALADA, Argentina

Indicated 6.3 US$22/pound of

uranium, net of by-

product vanadium

US$136

million 1

Inferred 3.8

KURUPUNG, Guyana

Indicated 8.3 Rough estimate:

US$45/pound

Not yet

estimated 3

Inferred 7.9


Nuclear in Argentina Will generate 9% of electricity when

Embalse reactor is back on stream

6


Reactor Atucha I Embalse Atucha II Atucha III “No 5”

Date of Commercial

Operation 1974 1984 2015

Construction

starts 2017

Construction

starts 2019

Capacity (MWe net) 335 600635 692 800 1,150

Type Siemens Candu-6 Siemens Candu-6 Hualong One

Life extensions 10-years to

2027

30-years to 2048

6% output increase

Construction contract signed

May, 2017

Large Nuclear Power Plants: 2 operating reactors, one being refurbished

Small Reactors:

5 Research reactors operating in Argentina

5 Research reactors built by Argentine reactor construction company INVAP elsewhere

in the world

CAREM Small Modular Reactor:

• 25MW prototype under construction, 100MW & 200MW units designed


0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

Ele

ctr

icit

y P

rod

uc

ed

(G

Wh

)

Recorded & Forecast Electricity Generation from Nuclear in Argentina

Refurbished Embalse reactor

expected to come back on-line

in mid-2018. Expected to

contribute to full-year’s

capacity starting 2019.

Nuclear Energy in Argentina:

7 7


Source of data: CNEA, IAEA

Refurbished Embalse reactor

expected to come back on-line

in mid-2018. Forecast to

contribute to full-year’s

capacity starting 2019.


Nuclear in Argentina – the opportunity

8


Reactor Design Reactor

Construction Enrichment &

Fuel-Rod

Manufacture

Spent Fuel

Storage

CNEA/INVAP INVAP

Uranium

Production

DIOXITEC &

CONUAR NA-SA1

CNEA2

INVAP to build medical isotope facility in

USA for Coqui Pharma

Spent fuel in dry storage in

concrete casks - CNEA

Nuclear fuel rod

cluster

1 Short-term storage at nuclear power

plants operated by NA-SA;

2 Long-term storage in dry casks by CNEA.

Nuclear energy industry overseen by ARN (Nuclear Regulatory Authority)

Australia’s only nuclear

reactor – the OPAL research

facility

Laguna Salada

Deposit –

U3O8 Corp.

Cerro Solo

Deposit – State

through CNEA


Laguna Salada Simple mining - real-time environmental restoration

9

Migrating Trench Advances

Mined area

restored to

original landscape

Excavation up to

3m/10’ deep


Gravel – averages 8m thick

Gravel that’s been mined,

washed & replaced

Removing the Gravel Cover

Mining Uranium-Vanadium – bearing gravel

Gravel – averages 8m thick

Impermeable shale


Laguna Salada Operational Simplicity

10

Simple, continuous

Gravel is

sieved

Semi-desert

Washed

Gravel is replaced, recontoured

& replanted with indigenous shrubs

removed prior to mining

Transplantation trials 9% of the gravel is fine

silt that is processed.

Metallurgical test

work aiming to

concentrate the

uranium in a smaller %

of fine material

Residual silt

Uranium &

Vanadium

15cm

6 inches

Mining Be

ne

ficia

tion

Extraction Washing soda, baking soda

En

vir

on

me

nt

No blasting, no crushing



Laguna Salada Project: Resource growth potential

U3O8’s Concession

Block Outlined in

Green

10Mlb

Current NI

43-101

uranium

resource

>25Mlb potential in

gravel plain

(grey area)

10Mlb NI 43-101 Uranium

Resource

20-25Mlb potential in in La

Susana, La Rosada discoveries

>25Mlb - potential in rest of

land package

> 55Mlb potential 20km

11

Concessions under JV option

agreement are outlined in black


Location of

exploration

results reported

in Jan, 2017 20-25Mlb potential in La

Susana, La

Rosada(1)

discoveries &

anomalous

radon area


$0

$5

$10

$15

$20

$25

$30

$35

$40

$45

0 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000

Cash

co

st o

f pro

du

ctio

n o

f Ura

niu

m

(US

$ p

er p

ou

nd

)

Uranium Grade (ppm U3O8)

Laguna Salada Deposit: Estimated Cash Cost of Production with Grade of Fine Component of Gravel

Average life of mine cash cost of production US$21.62/lb of U3O8

Laguna Salada Project: Higher Grades lead to lower Production Cost Estimates

12


Year 1

Year 10

Objective of current exploration to

find higher-grade uranium-vanadium


$0

$20

$40

$60

$80

$100

$120

$140

$160

Uranium Spot Market

13 13

Ura

niu

m P

ric

e U

3O

8 (U

S$

/lb

) A Green Resources Company

Source: of data Ux Consulting Company LLC, Cantor Fitzgerald

• Spot price risen >20% off

11-year low;

• Can control estimated

production cost through:

• Finding higher-

grade resources;

• Lowering opex; &

• Lowering capex.

Spot & Long-term Uranium Price (US$/lb)

Fukushima


Uranium Market Summary

14

Source: Eight Capital

Global Uranium Demand Scenarios vs. Global Total Supply

Primary Supply

Projected Demand

Scenarios

Proposed Laguna Salada production

Mlb

s/y

ea

r U

3O

8

14


Projected Demand

Scenarios

Secondary

Supply

Demand starts to outstrip supply in 2020/2021


Laguna Salada Deposit Timeline & budget to mine decision

15

BUDGET TOWARDS

POTENTIAL PRODUCTION (US$)

Resource expansion &

upgrade to Measured &

Indicated

$3.0M

Metallurgy & pilot plant $1.5M

Social, environmental &

permitting $1.0M

Feasibility study (FS) $1.5M

Budget to Construction

Decision $7.0M

CAPEX (in 2014 US$)

CAPEX after forex

adjustment (in 2015 US$)

$136M

/

$117M

Next Steps:

1. Trial mining & pilot plant test work to produce yellowcake as proof of concept;

2. Reduce production cost estimates by finding additional higher grade gravel and

optimizing metallurgy.

Recommended work program, timing & budget based on PEA that is preliminary in nature.

Includes resources that are not reserves & do not have demonstrated economic viability.

No certainty of the PEA being realized – see slide 2

Conceptual Timeline Year 1 Year 2 Year 3

Resource expansion & upgrade

Environmental (EIA)

Metallurgy & pilot plant

Mining & Environ. permit

Permit to produce yellowcake

Feasibility study (FS)

Construction


• Projected 2 years to construction decision

• Projected 1 year for construction


Battery Commodities

16


Note – Projected cash costs are based on PEAs that are preliminary in nature as

they include resource estimates that are not mineral reserves and do not have

demonstrated economic viability – see slide 2

Colombia

Argentina

BERLIN, Colombia

NI 43-101

Resource

category

Vanadium Nickel Phosphate

Million

pounds Million pounds

Million

Tonnes

Indicated 6 3.1 0.05

Inferred 91 42.1 0.8

LAGUNA SALADA, Argentina

NI 43-101

Resource

Vanadium

(Mlb)

Indicated 57

Inferred 27


17

Lithium Ion Battery Commodities

A Green Resources Company K

g o

f m

eta

l p

er

kW

h o

f en

erg

y s

tora

ge c

ap

acit

y

Source of data: batteryuniversity.com

0.00

1.00

2.00

3.00

4.00

5.00

6.00

NCA

0.00

1.00

2.00

3.00

4.00

5.00

6.00

LFP

Manganese Lithium

LMO

Metal content per kWh in various Lithium-Ion batteries (kg/kWh)

Li-ion Battery Type Chemistry Abrev.

Lithium Iron

Phosphate LiFePO4 LFP

Lithium Vanadium

Phosphate Li3V2(PO4)3 LVP

Lithium Manganese

Oxide LiMn2O4 LMO

Lithium Cobalt

Oxide LiCoO2 LCO

Lithium Nickel

Cobalt Aluminium

Oxide

LiNiCoAlO2 NCA

Lithium Nickel

Managanese Cobalt

Oxide

LiNiMnCoO2 NMC

LVP

Cobalt Lithium

LCO

NMC


0

100

200

300

400

500

600

Lead Acid NiCad Nickel Metal Hydride

Lithium Titanite

Lithium Iron Phosphate

Lithium Manganese

Oxide

NMC Lithium Cobalt Oxide

NCA Lithium Vanadium Phosphate

Sp

ec

ific

En

erg

y (

Wh

/kg

)

18



Source of data: batteryuniversity.com

Comparison of Specific Energy or Capacity of Battery Types

Lithium-Ion Batteries

Nissan Leaf,

GM,

Chevy Volt,

BMW i3

BYD e-

buses

Tesla,

Panasonic

Subaru G4e,

BYD

Car

battery


0

25

50

75

100

125

150

2013 2014 2015 2016 2017 2018 2019 2020 2021

Gig

aw

att

Ho

urs

(G

Wh

)

19



From Dundee Capital Markets (June 13, 2016) from data from

Benchmark Mineral Intelligence & Avicienne, Albrecht, 2016

Demand Estimate vs Supply Ramp-up from Megafactories

Current Supply

LG Chem

Foxcom

Tesla-Panasonic

BYD

Boston Power


20

Battery Commodities Vanadium Redox Flow Batteries (“VRB”)

V5+

V4+

V3+

V2+

5+

4+ 3+

2+

Vanadium

occurs

naturally in 4

different

charge states

Vanadium Redox Batteries – long duration lower power output


Flow Batteries

Energy-Centric Power-Centric

200,000

10,000

VRB

LFP

47

250

Vanadium Redox …

NCA NCA Lithium Ion

battery has 5X

greater energy

storage capacity

VRB: >20X

charge/discharge

cycles of Lithium

Ion battery


Rate

d O

utp

ut

Battery Duration

Lithium Ion Lead Acid

21

Battery Commodities Vanadium Redox Batteries – Industrial e-Storage


600kW & 2.2MWh

DC AC

UniEnergy System

Cost Guidance

• US$500/kWh (UniEnergy Technologies)

= US$0.10/kWh over 15,000 cycles;

• US$300/kWh with recycled Vanadium

(Imery)

= US$0.07/kWh over 15,000 cycles

• Footprint: 20MW/acre or 50MW/hectare

• UET system cost estimate: US$0.05c/kWh

Features:

• Industrial capacity – off-grid, microgrid- or grid-

stabilization (can’t be miniturized);

• Can be charged & discharged indefinately – tested to

200,000 cycles (max for Lithium Ion batteries is 7,000

cycles);

• Excellent safety (non-flamable);

• Operates over a wide temperature range (-40° to +50°C);

• Plug & play containerized systems;

• 20-year design life on most systems;

• 100% recyclable at very little cost – the electrolyte

maintains its intrinsic value;

• VRBs expected to account for ~30% of battery storage

capacity – other battery types likely to constitute 70%;

• Vanadium = ~42% of cost

• Largest installed VRB in USA is 2MW/8MWh:

• Could power 1,000 homes for 8 hours;

• Largest battery in world is a VRB being installed in

China: 200MW/800MWh


22

Battery Commodities Vanadium Market

A Green Resources Company V

an

ad

ium

(to

nn

es)

Source of data:

Camelot Ferroalloys

Inc, Vanitec

Vanadium market slipping into deficit

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Vanadium required for Li-Ion Batteries

Vanadium required for Redox Flow Batteries

Steel, Chemicals

Supply

Vanadium demand for batteries


23

Battery Commodities Vanadium Market


Vanadium Pentoxide (V2O5) Price

Pri

ce (

US

$/l

b)

Source of data: www.assetmacro.com

AssetMacro

$0.00

$1.00

$2.00

$3.00

$4.00

$5.00

$6.00

$7.00

$8.00

2010 2011 2012 2013 2014 2015 2016 2017 2018

Up 100%


Strategically Located in Uruguay, Brazil, Argentina

San Jorge

Shale

In

Shale

Nascent Need for Local Frac Sand

Supply

• Oil & gas production from the Vaca

Muerta is just starting

• Foreign oil majors investing >$9B so far

to develop the giant Vaca Muerta shale

in Argentina

• Frac sand / proppant market expected to

be 800,000 tonnes per year in 2017.

Current local production only 6,000t per

year

• Almost all of Argentina’s frac sand

imported from Brazil, China & USA

Our properties near key shale basins

& infrastructure (road, rail & ports)

Favoured

route to the

Vaca Muerta Rail

Brazil Properties

Uruguay Properties

Argentine

Properties

Vaca Muerta

San Antonio

Port

Comodoro

Port

Rio

Grande

Port

24 TSX: UWE | OTCQB: UWEFF | SSE: UWECL

-$40 -$25 $3

$31 $59 $56

$85

$142

$198

$255

-$100

-$50

$0

$50

$100

$150

$200

$250

$300

$350

$35 $40 $50 $60 $70

Berlin Deposit, Colombia

Laguna Salada Project, Argentina

25

=$229M =$314M

Corporate Valuation After-tax net present value of projects

After-tax Net Present Value of U3O8 Corp.’s projects

(NPV at 7.5% Discount Rate (US$ Million) )

=$145M

NPVs based on PEAs – see cautionary statements on slide 2

Current Market

capitalization of

U3O8 Corp.

=$60M

Aft

er-

Tax N

et

Pre

sen

t V

alu

e a

t 7.5

%

dis

co

un

t ra

te (

US

$M

)

Combined NPV of

Projects (7.5%

discount rate)

Uranium Price (US$/lb)



-$42 -$29 -$4

$22 $47

-$4

$19

$66

$112

$159

-$100

-$50

$0

$50

$100

$150

$200

$250

$35 $40 $50 $60 $70

Berlin Deposit, Colombia

Laguna Salada Project, Argentina

26

=$134M =$206M

Corporate Valuation After-tax net present value of projects

After-tax Net Present Value of U3O8 Corp.’s projects

(NPV at 10% Discount Rate (US$ Million) )

=$62M

NPVs based on PEAs – see cautionary statements on slide 2

Current Market

capitalization of

U3O8 Corp.

Aft

er-

Tax N

et

Pre

sen

t V

alu

e a

t 10%

dis

co

un

t ra

te (

US

$M

)

Combined NPV of

Projects (10%

discount rate)

Uranium Price (US$/lb)



$0.00

$0.50

$1.00

$1.50

$2.00

$2.50

Den

iso

n

Fis

sio

n

To

ro E

nerg

y

Vim

y E

nerg

y

Meg

a

NexG

en

Berk

ele

y

Azarg

a

Ura

niu

m R

es.

UE

X

Kiv

alliq

Weste

rn

Lara

mid

e

U3O

8 C

orp

Pele

Mtn

Ban

nerm

an

Pla

teau

Go

vie

x

Fo

rsys

US

$/l

b

Enterprise Value per Pound of Uranium Resources

0

50

100

150

200

250

Go

vie

x

Ban

nerm

an

NexG

en

Pla

teau

Fo

rsys

Den

iso

n

Lara

mid

e

Fis

sio

n

Weste

rn

Berk

ele

y

UE

X

Vim

y E

nerg

y

Pele

Mtn

U3O

8 C

orp

Ura

niu

m R

es.

Kiv

alliq

En

Co

re

Azarg

a

Meg

a

Ura

niu

m R

es

ou

rce

(M

lbs

)

NI 43-101 Compliant Resources

27

Corporate Valuation Comparison with peers

• U3O8 Corp. is undervalued relative to peers – has low enterprise value

• U3O8 Corp. value per pound of resources is low relative to its peers – still trading as if

political risk has not improved dramatically in Argentina

Source Data: Dundee Corp. & Cantor Fitzgerald



Director Experience & Key Areas of Expertise Role on the Board

Dr. Keith

Barron

• Founded Aurelian Resources & discovered the 13 million ounce (“Moz”) Fruta del Norte

(FDN) gold deposit in Ecuador. FDN was sold to Kinross Gold for $1.3B

• Recipient of PDAC’s Thayer Lindsley International Discovery Award – 2008

• Northern Miner’s Mining Man of the Year – 2008

• Founder of U3O8 Corp.

• Minefinder

• Entrepenuer

• Major shareholder

Mr. David

Constable

• Was VP- Investor Relations (IR) with Australia’s Normandy Mining until it was acquired

by Newmont;

• VP-IR at FNX during the discovery in Sudbury that took the company from junior

explorer to a producer with a multi-billion dollar market cap;

• Served on the board of Aquiline Resources until it was sold to Pan American Silver;

• Holds a ICD.D designation from Institute of Canadian Directors

• Chairman

• Corporate governance

Mr. David

Franklin

• Co-founder & MD of WoodsWater Capital LP, a resource-focused private equity firm

• Formerly CEO of Sprott Private Wealth;

• Was market strategist at Sprott where he co-wrote the widely-followed monthly note

“Markets at a Glace” with Eric Sprott;

• Investment banking

• Corporate strategy

Mr. Pablo

Marcet

• Member of Board of Directors of Barrick Gold;

• Participated in start-up of the giant Escondida copper mine in Chile;

• As president of Northern Orion, oversaw project development of the Agua Rica gold-

copper deposit & its subsequent sale to Yamana Gold for $1.6B;

• Was president of Waymar Resources, which merged with Orosur Mining that operates a

gold mine in Uraguay

• Entrepeneur

• Mine developer

• LatAm perspective – has

first-hand knowledge - lives

in Argentina

Mr. David

Marsh

• Extensively experienced metallurgist – was instrumental in Paladin Energy’s alklaine

leach plant at Langer Heinrich and acid leach uranium plant at Kayelekera;

• Expertise in metal extraction from multi-commodity deposits;

• Technical expertise

• Corporate strategy

Dr. Richard

Spencer See “Management” slide

• Minefinder

• Deep LatAm experience

U3O8 Corp. Board

28



Name Experience & Key Areas of Expertise Management

Role

Dr. Richard

Spencer

Led the exploration teams that:

• Discovered the 3.3 million ounce Quimsacocha / Loma Larga gold deposit in Ecuador (+23Moz silver);

• Increased gold reserves at Las Cristinas in Venezuela by 65% from 10Moz to 17Moz;

• Grass roots discoveries of copper porphyries in Ecuador – resources are:

23 billion pounds of copper + 4 Moz gold in Mirador, Panantza & San Carlos porphyries

President &

CEO

Mr. John

Ross

• As CFO of IAMGOLD Corp., was the first to introduce the gold “money policy” – converted the

company’s cash to gold at an average price of US$287/oz as an ultracontrarian when the majors were

still hedged and when the Bank of England was selling the country’s gold CFO

Dr. Hugo

Bastias

• Instrumental in the discovery of the 7.5Moz Veladero gold deposit – now a Barrick mine in Argentina;

• Instrumental in U3O8 Corp.’s uranium discoveries in Colombia & Argentina.

Executive VP

– based in

Argentina

Mr. Elpidio

Reis

• M.Sc in Mineral Exploration from Queens University, Ontario & an MBA

• Business Development Director of Rio Tinto – Brazil (1988-2001);

• Was General Manager of Braziron Ltd;

• Instrumental in the development of the 10Moz Morro do Ouro mine – developing processing

techniques for very low grade ore.

Chief Operating

Officer

– based in

Brazil

Mr. Gabriel

Bastias

• Completed MSc in Mineral Exploration at Queens University, Ontario

• Led the team that discovered U3O8 Corp.’s Laguna Salada uranium-vanadium project in Argentina.

VP Exploration

– based in

Argentina

U3O8 Corp. Management

29



30

U3O8 Corp. Capital Structure

Share Capital

Market cap (at $0.025)

$8.6M

52wk range: $0.02 - $0.05

Average daily volume (3-mth): 390,000

Basic shares o/s 345M

Options o/s 15M

Warrants o/s 98M

Fully diluted 458M

U3O8 Corp. Shareholder Base

8%

Insiders


Largest Shareholders: Dr Keith Barron – founder & director;

Delaware Street Capital;

JMM Partners;

Alpha North Asset Management.

84% Other

Shareholders

9%

Institutional

7% Insiders


31

Laguna Salada, Argentina ~3 years to potential production

Berlin Project, Colombia ~4 to 5 years to potential production

Corporate Strategy: Sequential Project Development

Immediate goal – double uranium

resource to 20Mlb & upgrade to

Measured & Indicated

$3.0M

Metallurgy & pilot plant $1.5M

Social, environmental & permitting $1.0M

Feasibility study $1.5M

TOTAL to reach mine decision in 2 yrs $7.0M

Capex

Capex (forex-adjusted)

$136M

$117M

Development strategy: Project is

sufficiently simple for U3O8 Corp. to put into

production or JV with producer & keep

minority stake to receive cash flow

Development strategies:

• JV with producer & keep minority stake

• Streaming agreements or royalties on by-

products (phosphate, vanadium, nickel, rare

earths)

Met tests & refine flowsheet $1.0M

Double resource to 50Mlb target &

show 70-75Mlb potential $23M

Resource upgrade, environmental,

permitting, feasibility study $20M

TOTAL to reach mine decision $44M

Capex $441M

Recommended work & budgets based on PEAs that are preliminary in nature. Resources are not reserves & do not have demonstrated economic viability. No

certainty of the PEAs being realized . Conceptual cumulative targets based on mineral resources & exploration results: Colombia – potential 32-34Mt at 0.09% to

0.11% U3O8 (~70-75Mlb) & Argentina – potential150-225Mt at 50ppm to 60ppm U3O8 (~20-25Mlb). Potential quantity & grades are conceptual in nature. There

has been insufficient exploration to define mineral resources on the targets. It is uncertain if further exploration will increase the mineral resources on the

company’s projects.– see slide 2.



Richard Spencer, President & CEO

[email protected]

(416) 868-1491

www.u3o8corp.com

32

APPENDIX FOLLOWS




Uranium Market Drivers Unprecedented Nuclear Reactor Build

33

Projected Supply

China 43%

449 518

Reactors by 2024

Operable Reactors

today, up from 439

at Dec 2015

Operable Under

construction

On

Order Total

Life extension

of existing

reactors

Closures

planned in

the short-

term

Pre-Fukushima 443 62 156 661

July 2017 449 62 176 687 159 28

Source: Word Nuclear Association, World Nuclear

News, Dundee Securities, Timeless Uranium 33



Uranium Market Drivers Chinese & Indian Nuclear – long-term growth

34

0

20

40

60

80

100

120

140

160

1969

1981

1986

1992

1994

1998

2000

2002

2004

2006

2008

2010

2012

2014

2016

2018

2020

2022

2024

2026

2028

2030

2032

Nu

cle

ar

En

erg

y O

utp

ut

(GW

)

China’s nuclear

build is

exponential

USA’s nuclear output: ~100GW

• China- world’s 2nd largest economy;

• Air polution non-carbon power sources;

• Water polution symbiosis between nuclear

& water purification / desalination.

• India - world’s 7th largest economy;

• 7% average GDP growth rate in last 20 years;

• 1/3 of popluation doesn’t have electricity;

• 2/3 electricity provided by coal;

• Per capita electricity use to double by 2020.

Chinese actual & planned nuclear

energy output (GW)

0

50

100

150

200

250

300

1969

1984

1992

1998

2001

2004

2007

2010

2013

2016

2019

2022

2025

2028

2031

2034

2037

2040

2043

2046

2049 N

uc

lea

r E

ne

rgy C

ap

ac

ity (

GW

)

India’s nuclear energy plan

shows that India’s build is

also exponential,

comparable with China’s

Indian actual & planned nuclear

energy output (GW)



Laguna Salada Project, Argentina: Project status & pathway to production

35

Landmark agreement with Provincial govt

Discovery

Initial (10Mlb) NI43-101 uranium resource

Increase resource to 20-25Mlbs

Trial Mining Pilot processing plant

Feasibility Study

Construction decision

PEA – focus on projected cash cost

Next

Steps

$22/lb Low cash cost

of production



Laguna Salada Deposit Overview

36

Argentina’s only NI 43-101 uranium

resource on which a PEA has been

completed

Simple Geology

Simple Mining

Simple Processing

In-country uranium-enrichment

facility

Continuous real-time

environmental restoration

Clear resource-growth potential

10Mlb uranium resource,

Vanadium by-product,

10 year mine life

Flat-lying in soft gravel

Exploration has defined extensions

to the deposit

Free-digging “migrating trench”

Screening to remove pebbles &

concentrate uranium – followed by

standard alkaline leach

Shrubs moved from leading edge of

the trench replanted on trailing edge

Pilcaniyeu located ~450km from

Laguna Salada



PEA shows potential for low-cost, near-term production

37

Increasing resource size & production rate has been modelled and shows a very significant improvement to

the project’s economics. (This analysis was done internally by U3O8 Corp. and can’t be shown because it

has not been verified by an external NI43-101 - compliant study.)

Cash cost of production, capex, mine life & payback period

Mine life 10 years

Life of Mine average uranium cash cost of production1 $21.62/lb

Average uranium cash cost of production over 2½ year payback1 $16.14/lb

Total capital (incl. sustaining & 20% contingency) $136M

1 Projected uranium cash cost, net of vanadium credit & incl. 3% NSR to the Provincial

Government.. Laguna Salada PEA – see cautionary statements on slide 2

Laguna Salada Project

PEA Highlights

PEA Highlights (base case, in US$ at US$60/lb U3O8)

Annual production Uranium Vanadium

0.6Mlb 0.96Mlb

Revenue $223M $53M

Principal Financial Metrics Pre-Tax After-Tax

NPV discount rate 7.5% 10% 7.5% 10%

NPV (incl royalties due to State) $55M $43M $31M $22M

IRR 24% 18%



Laguna Salada Deposit PEA Summary

1st independent PEA completed on a uranium deposit in Argentina;

Study completed by Tenova (Bateman) >100 years of experience;

Resource:

10Mlbs uranium (6.4Mlbs recoverable);

84Mlbs vanadium (10Mlbs recoverable);

Projected average annual production 0.6Mlb uranium over 10 year mine life:

Argentina requires 0.4Mlbs per year to operate its three reactors – currently

imports 100% of its fuel requirement potential for off-take agreement;

1Mlb/annum vanadium production;

Focus of the PEA was cash-cost of production:

US$21.62/lb average over the life of the mine;

US$16.14/lb during the 2½ year payback period;

Demonstrates potential for production cost that is competitive with in situ

leach and Athabasca Basin deposits.

Capex: $136M incl 20% contingency. US$ strength against currencies in which

plant equipment was quoted could reduce Capex by ~15%.

38

1 Projected uranium cash cost, net of vanadium credit & includes a 3% NSR to the Provincial Government. The PEA is preliminary in nature.

Includes resources that are not reserves & do not have demonstrated economic viability. No certainty of the PEA being realized. – see slide 2



Berlin Project, Colombia: Project status & pathway to production

Highest-value project in U3O8 Corp’s portfolio with one of the lowest

projected uranium extraction costs in the industry

39

Built on discovery by Cogema (Areva)

Initial (21Mlb) NI43-101 uranium resource

Having confirmed low potential production cost in PEA

Increase resource to 50Mlb threshold

Pilot processing plant

Feasibility Study

Construction decision

PEA – focus on projected cash cost

Next

Step Test alternative extraction techniques



40

Berlin: Introduction

Berlin:

A uranium-bearing phosphate layer in

sedimentary rocks - contains a rare mix of

nickel, vanadium, rare earths and other metals;

The current 21 million pound uranium

resource is from 3km of a 10.5km uranium-

phosphate – bearing trend there is room for

resource growth to 70-75 million pounds of

uranium;

Extensive metallurgical test work has shown

that this mix of commodities can be cost-

effectively extracted from the rock;

Good infrastructure:

• located 12km from a hydroelectric plant;

• 60km from the Magdalena river that is

navigable by barge to the Caribbean Sea;

• 60km from principal paved highway and a

railway that it being refurbished;

Local community is supportive of the project;

Mining would be by underground methods and

the uranium-phosphate rock would be processed

on site to remove the contained metals.

COLOMBIA



Berlin Deposit Cross Section

41

Sandstone

Mineralized layer

Shale

Mineralization in 3m thick

layer;

Remarkable continuity;

Underground mining

operation;

Minimal mine

footprint;

Waste would be

replaced in backfill of

underground

excavations;

Cut and fill mining in

the steep areas

combined with room

and pillar in the flat

areas.

West East

41



42

Berlin Project, Colombia Multi-commodity Resource

Current resources defined in compliance with NI 43-101 (0.04% U3O8 cut-off grade)

on southern 3km of a 10.5km mineralized trend

Tonnes

(million)

Uranium Phosphate Vanadium Yttrium

Grade (Mlb) Grade (Mt) Grade (Mlb) Grade (t)

0.6 0.11% 1.5 8.4% 0.05 0.4% 6.0 461ppm 294

8.1 0.11% 19.9 9.4% 0.8 0.5% 91.0 500ppm 4,066

Tonnes

(million)

Neodymium Nickel Molybdenum Rhenium

Grade (t) Grade (Mlb) Grade (Mlb) Grade (t)

0.6 110ppm 70 0.2% 3.1 570ppm 0.8 6ppm 4

8.1 100ppm 813 0.2% 42.1 620ppm 11.0 7ppm 55

Tonnes

(million)

Zinc Silver

Grade (Mlbs) Grade (Moz)

0.6 0.30% 4.4 2.8ppm 0.1

8.1 0.30% 45 3.4ppm% 0.9

Current

resource in

southern 3km of

10.5km trend

A Green Resources Company D

rilled

Are

a

4km

3

.5k

m

3km

Tre

nc

he

d A

rea

10.5

km

Min

era

lized

Tre

nd


43

Berlin Project PEA: commodities produced,

% of revenue generated by each commodity

1 PEA estimates are preliminary in nature. Includes resources that are not reserves & do not have demonstrated economic

viability. No certainty of the PEA being realized. INTERNAL DISCUSSION PURPOSES – see slide 2

Uranium: Nuclear energy

Vanadium: Steel alloys, batteries

Main uses of commodities:

Phosphate: Fertilizer, batteries

Yttrium: Lazers, electronics, monitors

Neodymium: Magnets, high-efficiency motors

Nickel: Stainless steel, batteries, fertilizer

Base metals: Steel alloys, fertilizer, Zn-Ce

flow batteries, galvanizing, alloys

Uranium 35%

Phosphate 31%

Nickel 15%

Vanadium 9%

Yttrium 6%

Neodymium 1%

Moly, Zinc 3%

Metals & Phosphate extracted in a single metallurgical process

– iron sulphate leach – was the principal process used at Elliot Lake



44

Berlin Project’s Other Commodities:

“Clean Energy & Agriculture Commodities”

Battery Commodities: Nickel,

Vanadium, Phosphate

Phosphate for fertilizer

Berlin contains 3

micronutrients used in

speciality fertilizers

Ni

Zn

Mo

Rare Earth Elements: • Neodymium for

supermagnets in motors &

generators;

• Yttrium for red phosphors

in screens an lazer

technology



45

Potential to be a large, very low-cost uranium producer

Projected Base Case – PEA Highlights (US$60/lb U3O8), reported in US$

Annual uranium production 1.2Mlb

Mine life 15 years

Cumulative free cash flow $982M

Pay-back period 4.6 years

Initial capex $360M

Sustaining capital $40M

Contingency $41M

Total capex (incl. 10% contingency) $441M

Berlin Deposit: PEA Highlights

1. Projections based on Berlin PEA – see cautionary statements on slide 2

Principal Financial Metrics Pre-Tax After-Tax

NPV discount rate 7.5% 10% 7.5% 10%

NPV (incl royalties due to State) $338M $223M $198M $112M

IRR 19% 15%

$1.8Billion of by-product revenues would cover the $1.6Billion

operating cost (cost of mining & extraction)1



46

3km

3.5km

N

Berlin Project Drilling has shown Resource Growth Potential

1Target based on mineral resources & exploration

results for potential 32-34Mt at 0.09% to 0.11%

U3O8 (~70-75Mlb) Potential quantity & grades are

conceptual in nature. There has been insufficient

exploration to define a mineral resource on these

targets & it is uncertain if further exploration will

increase the current deposit – see slide 2.

Green unit contains uranium &

other minerals

4km

25-30Mlb resource

potential

already

identified by

drilling

>25Mlb

potential

identified

by

trenching

21Mlb NI 43-101

Uranium Resource

25-30Mlb potential

exploration-drilled area

>25Mlb – northern area –

potential indicated by

trenching

> 70-75Mlb potential

21Mlb

Current

NI 43-101

uranium

resource

10.5

km

Min

era

lized

Tre

nd



Berlin Deposit Potential to Improve Project’s Economics

47

Potential to reduce operating (Opex) and capital costs (Capex):

Test work on the effectiveness of alternative techniques for the

extraction of metals and phosphate (eg. Use of membrane systems

to separate the metals);

Potential to increase revenue:

Removal of carbonate to reduce reagent consumption (lower

operating costs);

Current PEA only considers revenue stream from two Rare Earth

Elements (Neodymium & Yttrium). Include other REEs such as

Dysprosium & Europium in revenue stream;

Reduce electricity cost by capturing excess heat generated by the

processing plant.

Increase the uranium resource – the target is 70-75Mlbs1. Economics of

the deposit are strongly geared to deposit size.

47


1Target based on mineral resources & exploration results for potential 32-34Mt at 0.09% to 0.11% U3O8 (~70-75Mlb)

Potential quantity & grades are conceptual in nature. There has been insufficient exploration to define a mineral

resource on these targets & it is uncertain if further exploration will increase the current deposit – see slide 2.


toward production of clean energy commodities: uranium ... · 2 qp for technical disclosure – all...

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