Expanded Delivery Quantity Of U3O8 Over Six Year Period

LITTLETON, CO - Ur-Energy Inc. has expanded the quantity to be delivered into the sales agreement announced by the Company on August 8, 2022. The agreement which called for the annual delivery of 200,000 pounds of U3O8 over a six-year period, has been amended to increase the annual delivery by 100,000 pounds of U3O8 beginning in 2024 at the same pricing levels.

The Company's total sales quantity now under contract will be 600,000 pounds U3O8 per year beginning in 2024, plus or minus a small, optional flex. Having secured these sales commitments, Ur-Energy has made the decision to immediately ramp up production at its operating Lost Creek uranium mine to levels sufficient to deliver into these current contracts.

The Company will target an initial annual production rate of 600,000 pounds U3O8, which represents 50% of Lost Creek's licensed wellfield production capacity of 1.2 million pounds. This production level will provide an economy of scale and a stable, long-term revenue stream to the Company while leaving ample room for growth and additional sales into new contracts or the spot market. Because of the advanced construction and drilling efforts the Company has already made in preparation for ramp up, we expect to commence production in Q1 2023 and reach the initial annual production rate in Q4 2023.

John Cash, the Company's CEO, stated, "Western nuclear companies continue to support production from Lost Creek by signing new and expanded contracts. We will continue our efforts to layer in additional contracts with strong profit margins with the goal of maximizing production at Lost Creek and further reducing our proven low cost of production.

"The growth in our contract book gives us the confidence to ramp production at Lost Creek to 600,000 pounds per year. Our entire team has been working toward this goal for several years and we are excited to bring our low cost, flagship property back into meaningful production. In addition to our Lost Creek mine, our Shirley Basin Project has all major permits and licenses required to construct and operate a one million pound per year production facility. To further prepare for construction and operations at Shirley Basin, we plan to install the monitor wells for the first Shirley Basin mine unit in Spring 2023.

"Our current contract book fills just over 25% of our annual licensed wellfield capacity of 2.2 million pounds and only 14% of our annual licensed processing capacity of 4.2 million pounds. This leaves us considerable room to increase production, open satellite operations, toll process material for other companies, and sell into a rising market."