Uranium One Announces 10% Increase in Q1 2013 Production to 3.1 Million Pounds; Average Total Cash Costs of $17 per Pound

Uranium One Announces 10% Increase in Q1 2013 Production to 3.1 Million 
Pounds; Average Total Cash Costs of $17 per Pound 
TORONTO, May 13, 2013 /CNW/ - Uranium One Inc. ("Uranium One") today reported 
quarterly revenue of $62.6 million for Q1 2013, including joint venture 
revenue, based on sales of 1.4 million pounds at an average realized sales 
price of $45 per pound and an average total cash cost per pound sold of $17. 
Q1 2013 Highlights 

    --  Total attributable production during Q1 2013 was 3.1 million
        pounds, 10% higher than total attributable production of 2.8
        million pounds during Q1 2012.
    --  The average total cash cost per pound sold was $17 per pound
        for Q1 2013, compared to $14 per pound for Q1 2012.


The following table provides a summary of key               
financial results:

FINANCIAL                                          Q1 2013      Q1 2012

Attributable production (lbs) ((1))              3,018,000    2,572,500

Attributable sales (lbs)( (1))                   1,381,300    1,809,400

Average realized sales price ($ per lb)( (2))           45           53

Average total cash cost per pound sold( )($ per
lb)((2))                                                17           14

Revenues ($ millions) ((3)(4))                         5.2          5.3

Revenues from joint ventures ($ millions)             57.4         90.6

Earnings from mine operations ($ millions)( (3)
(4))                                                   1.9          5.3

Earnings from mine operations, including
earnings from joint ventures ($ millions)( )          19.6         49.3

Net (loss) / earnings  ($ millions)                  (9.5)          4.5

Net (loss) / earnings per share - basic and
diluted ($ per share)                               (0.01)         0.00

Adjusted net (loss) / earnings ($ millions)((2))     (4.3)         15.1

Adjusted net earnings per share - basic ($ per
share)((2))                                         (0.00)         0.02

    --  On January 13, 2013, the Corporation entered into a definitive
        agreement with ARMZ under which the Corporation would be taken
        private pursuant to a Plan of Arrangement.  ARMZ and its
        affiliates currently own 51.4% of the Corporation's outstanding
        common shares; under the agreement, ARMZ will acquire all of
        the remaining publicly held Common Shares for a cash
        consideration of CDN$2.86 per share. The transaction is
        expected to close by the end of Q2 2013.
    --  On March 25, 2013, the Corporation arranged a three year, $1.45
        billion unsecured revolving credit facility with ARMZ. Drawings
        under the facility bear interest at the rate of 3.3% per annum.
        On March 26, 2013, the Corporation drew down the facility.
    --  On April 3, 2013, KPMG LLP was appointed as auditor of the
        Corporation, following the resignation of Deloitte LLP.
    --  On April 5, 2013, the Tanzanian Government issued a Special
        Mining License to Mantra for the Mkuju River Project;
        negotiations with the Tanzanian Government on the terms of a
        mine development agreement and other required Tanzanian
        approvals are continuing.


Total attributable production for 2013 and 2014 is estimated to be 12.5 
million and 13.0 million pounds, respectively.

During 2013, the average cash cost per pound sold is expected to be 
approximately $19 per pound.

The Corporation expects attributable sales to be approximately 12.5 million 
and 13.0 million pounds in 2013 and 2014, respectively.

The Corporation expects to incur attributable capital expenditures in 2013 of 
$98 million for wellfield development and $66 million for plant and equipment, 
totalling $164 million for its assets in Kazakhstan, the United States and 

In 2013, general and administrative expenses, excluding non-cash items, are 
expected to be approximately $40 million and exploration expenses are expected 
to be $8 million.

Q1 2013 Operations and Projects

During Q1 2013, Uranium One achieved attributable production of 3.1 million 
pounds, an increase of 10% over attributable production of 2.8 million pounds 
for the comparable period in 2012.

Operational results for Uranium One's assets during Q1 2013 were:

|            Asset     |   Q1 Attributable|                          |
|                      |  Production      |   Q1 Total Cash Costs    |
|                      |  (lbs U(3)O(8))  |  (per lb sold U(3)O(8))  |
|Akdala                |        470,800   |                 $15      |
|South Inkai           |        796,900   |                 $19      |
|Karatau               |        620,000   |                 $11      |
|Akbastau              |        462,300   |                 $12      |
|Zarechnoye            |        319,800   |                 $26      |
|Kharasan              |        108,100   |                 N/A      |
|Willow Creek          |        240,100   |                 N/A      |
|Honeymoon             |         80,600   |                 N/A      |

Q1 2013 Financial Review

Revenue was $5.2 million in Q1 2013, compared to $5.3 million in Q1 2012.

Joint venture attributable revenue in Q1 2013 was $57.4 million, compared to 
$90.6 million in Q1 2012.

The average total cash cost per pound sold was $17 per pound for Q1 2013, 
compared to $14 per pound for Q1 2012.

Earnings from mine operations were $1.9 million during Q1 2013, compared to 
$5.3million in Q1 2012.

Earnings from mine operations, including earnings from joint ventures, were 
$19.6 million during Q1 2013, a 60% decrease compared to $49.3million in Q1 

Inventory as at March 31, 2013 was 0.8 million pounds for the corporation and 
its subsidiaries, which includes work in progress as well as finished product 
ready to be shipped or in transit. Inventory held by the joint ventures was 
4.5 million pounds as at March 31, 2013.

The net loss for Q1 2013 was $9.5 million or $0.01 per share, compared to net 
earnings of $4.5 million or $0.00 per share for Q1 2012.

The adjusted net loss for Q1 2013 was $4.3 million or $0.00 per share, 
compared to adjusted net earnings of $15.1 million or $0.02 per share for Q1 

Consolidated cash and cash equivalents including restricted cash were $1,869.3 
million as at March 31, 2013 compared to $442.0 million at December 31, 
2012. Working capital was $578.2 million at March 31, 2013.

The following table provides a reconciliation of adjusted net earnings to the 
consolidated financial statements:

                                                3 MONTHS ENDED
AMOUNTS)                                      MAR 31, 2013        MAR 
                                            $ MILLIONS   31, 2012 
                                                       $ MILLIONS 
Net (loss) / earnings                                (9.5)        4.5 
Care and maintenance costs                             0.3        0.5 
Corporate development expenditure                      5.1        1.9 
Restructuring costs                                    2.1          - 
Ruble bond hedge accounting adjustments              (2.3)        8.2 
Adjusted net earnings                                (4.3)       15.1 
Adjusted net earnings per share - basic ($)         (0.00)       0.02
and diluted 
Weighted average number of shares                    957.2      957.2
(millions) - basic and
The financial statements, as well as the accompanying management's discussion 
and analysis were prepared in accordance with International Financial 
Reporting Standards (IFRS) and are available for review at www.uranium1.com 
and should be read in conjunction with this news release. All figures are in 
U.S. dollars unless otherwise indicated. All references to pounds sold or 
pounds produced are to pounds of U(3)O(8). 
About Uranium One 
Uranium One is one of the world's largest uranium producers with a globally 
diversified portfolio of assets located in Kazakhstan, the United States, 
Australia and Tanzania. 
Notes to key financial results: 
((1)) Attributable production and sales are from assets owned and joint 

      venture interests in commercial production during the period.

((2)) The Corporation has included the following non-IFRS performance
      measures: average realized sales price per pound, cash cost per
      pound sold, adjusted net earnings and adjusted net earnings per
      share. In the uranium mining industry, these are common
      performance measures but do not have any standardized meaning,
      and are non- IFRS measures. The Corporation believes that, in
      addition to conventional measures prepared in accordance with
      IFRS, the Corporation and certain investors use this information
      to evaluate the Corporation's performance and ability to generate
      cash flow. The additional information provided herein should not
      be considered in isolation or as a substitute for measures of
      performance prepared in accordance with IFRS. See "Non-IFRS
      Measures" in the MD&A.

((3)) Comparative information has been restated with the adoption of
      IFRS 11 - Joint arrangements on January 1, 2013.

((4)) Includes profits / losses for joint venture production delivered
      into contracts held by the Corporation, and excludes revenues
      from joint ventures.

Cautionary Statement

No stock exchange, securities commission or other regulatory authority has 
approved or disapproved the information contained herein.

Investors are advised to refer to independent technical reports containing 
detailed information with respect to the material properties of Uranium One. 
These technical reports are available under the profiles of Uranium One Inc. 
at www.sedar.com. Those technical reports provide the date of each resource or 
reserve estimate, details of the key assumptions, methods and parameters used 
in the estimates, details of quality and grade or quality of each resource or 
reserve and a general discussion of the extent to which the estimate may be 
materially affected by any known environmental, permitting, legal, taxation, 
socio-political, marketing, or other relevant issues. The technical reports 
also provide information with respect to data verification in the estimation.

Forward-looking statements: This press release contains certain 
forward-looking statements. Forward-looking statements include but are not 
limited to those with respect to the price of uranium, the estimation of 
mineral resources and reserves, the realization of mineral reserve estimates, 
the timing and amount of estimated future production, costs of production, 
capital expenditures, costs and timing of the development of new deposits, 
success of exploration activities, permitting time lines, currency 
fluctuations, requirements for additional capital, government regulation of 
mining operations, environmental risks, unanticipated reclamation expenses, 
the timing and potential effects of proposed transactions, title disputes or 
claims and limitations on insurance coverage and the timing and possible 
outcome of pending litigation. In certain cases, forward-looking statements 
can be identified by the use of words such as "plans", "expects" or "does not 
expect", "is expected", "budget", "scheduled", "estimates", "forecasts", 
"intends", "anticipates" or "does not anticipate", or "believes" or variations 
of such words and phrases, or state that certain actions, events or results 
"may", "could", "would", "might" or "will" be taken, occur or be achieved. 
Forward-looking statements involve known and unknown risks, uncertainties and 
other factors which may cause the actual results, performance or achievements 
of Uranium One to be materially different from any future results, performance 
or achievements expressed or implied by the forward-looking statements. Such 
risks and uncertainties include, among others, the completion of the 
transactions described in this press release, the future steady state 
production and cash costs of Uranium One, the actual results of current 
exploration activities, conclusions of economic evaluations, changes in 
project parameters as plans continue to be refined, possible variations in 
grade and ore densities or recovery rates, failure of plant, equipment or 
processes to operate as anticipated, accidents, labour disputes or other risks 
of the mining industry, delays in obtaining government approvals or financing 
or in completion of development or construction activities, risks relating to 
the integration of acquisitions and the realization of synergies relating 
thereto, to international operations, to prices of uranium as well as those 
factors referred to in the section entitled "Risk Factors" in Uranium One's 
Annual Information Form for the year ended December 31, 2012, which is 
available on SEDAR at www.sedar.com, and which should be reviewed in 
conjunction with this document. Although Uranium One has attempted to identify 
important factors that could cause actual actions, events or results to differ 
materially from those described in forward-looking statements, there may be 
other factors that cause actions, events or results not to be as anticipated, 
estimated or intended. There can be no assurance that forward-looking 
statements will prove to be accurate, as actual results and future events 
could differ materially from those anticipated in such statements.

Accordingly, readers should not place undue reliance on forward-looking 
statements. Uranium One expressly disclaims any intention or obligation to 
update or revise any forward-looking statements, whether as a result of new 
information, future events or otherwise, except in accordance with applicable 
securities laws.

For further information about Uranium One, please visit www.uranium1.com.

Chris Sattler Chief Executive Officer Tel: +1 647 788 8500

Anton Jivov Vice President Corporate Affairs Tel: +1 647 788 8461

SOURCE: Uranium One Inc.

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CO: Uranium One Inc.
ST: Ontario

-0- May/13/2013 21:56 GMT

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