DGAP-News: Uranium Energy Corp Receives Additional Non-Dilutive $10M, Extends Loan Facility to July 2016 and Provides Operations

DGAP-News: Uranium Energy Corp Receives Additional Non-Dilutive $10M, Extends 
Loan Facility to July 2016 and Provides Operations Update

DGAP-News: Uranium Energy Corp. / Key word(s): Miscellaneous
Uranium Energy Corp Receives Additional Non-Dilutive $10M, Extends
Loan Facility to July 2016 and Provides Operations Update

14.03.2014 / 17:00


Uranium Energy Corp Receives Additional Non-Dilutive $10M, Extends Loan
Facility to July 2016 and Provides Operations Update

  - Maturity of existing credit facility extended by two years to further
    strengthen the Company's working capital position and financial

  - Substantial liquidity injection that is non-dilutive to shareholders
    through a drawdown of an additional $10M to advance the Company's
    hub-and-spoke production platform in South Texas;

  - Continued support from two of the most respected investors in the
    natural resource sector; and

  - Developments to continue at the Palangana, Goliad and Burke Hollow ISR
    Projects and increased extraction to come online with a sustained
    improvement in uranium prices, which is expected in 2014 on the back of
    reactor restarts in Japan.

March 14, 2014, Corpus Christi, Texas - Uranium Energy Corp (NYSE MKT: UEC,
the "Company" or "UEC") is pleased to announce that the Company, Sprott
Resource Lending Partnership and CEF Capital Markets Limited (the
"Lenders") have agreed to extend the previously announced $20,000,000
senior secured credit facility (the "Credit Facility") by deferring
required principal payments by two years and extending the Credit Facility
by two years to now a full four years (together, the "Credit Facility

The Company has drawn down a further $10,000,000, bringing the total
principal amount outstanding under the Credit Facility Extension to

Amir Adnani, President and CEO, stated, "The $10 million drawdown combined
with the Credit Facility Extension have significantly strengthened UEC's
financial position in a manner which is non-dilutive to our shareholders. 
We will be utilizing this injection of growth capital to continue advancing
our Texas hub-and-spoke production platform."

CEF's Chairman and CEO, Warren Gilman stated, "Our investment in UEC is
based on the uniqueness and quality of their assets as well as the strength
of its management team.  We are pleased to continue our support of the
Company as it positions itself as the leading uranium producer in the U.S."

Narinder Nagra, President of Sprott Resource Lending Corp., added, "We
anticipate improving conditions in the uranium market driven by the
continued growth of nuclear power globally and strong supply-demand
fundamentals for uranium over the medium to long-term. We support UEC's
goal of becoming an important and strategic producer in the U.S., which
despite being the world's largest consumer of nuclear power, is presently
heavily dependent on imported uranium supply to fuel its nuclear reactors."

Uranium Market and Operations Update

The long-term fundamentals for both nuclear power and the uranium price are
very strong however this strength is not currently reflected in uranium
prices.  The current spot price of uranium is below the average economic
cost to produce uranium from currently operating mines globally, and is
well below the average economic cost to develop new production.

The current uranium price environment has reduced both existing production
and the pipeline of uranium development projects globally resulting in even
greater uranium supply shortfalls in the future, which in turn will lead to
greater upward pressure on the uranium price.

As a result of the aforementioned status of the uranium market, the
Company's near-term growth strategy of its hub-and-spoke production
platform will focus on permitting, resource expansion and pre-extraction
activities at its satellite projects.  Concurrently, operations will
continue at the Hobson Processing Plant and the Palangana ISR Mine,
maintaining our core operating team and personnel.  This strategy will
position UEC to scale its operations relatively quickly as the uranium
price strengthens, enabling the Company to realize additional cash flows
and higher rates of return.

The Goliad ISR Project is one of the key components of the Company's
hub-and-spoke production platform and preserving the full resource base
until an improvement in uranium prices is anticipated to improve the
project's financial returns and create greater shareholder value.  Hence,
while all long-lead items have been ordered and received, the final
completion of the wellfield, deep disposal well and ion-exchange plant will
be in accord with the uranium price environment which is expected to
improve in 2014 on the back of reactor restarts in Japan.

The Burke Hollow ISR Project advances on multiple fronts including an
accelerated production permitting program and ongoing resource exploration
and delineation as recently disclosed in a press release dated February 27,

UEC is positioned as a low-cost producer in the US uranium mining industry
with the Hobson Plant having a physical capacity of two million pounds per
year and a pipeline of permitted and extraction-ready projects to come
online at sustainably higher uranium prices.

Credit Facility Extension

In addition to the existing terms of the Credit Facility, an annual fee of
4.5%, payable in common shares of the Company (the "Extension Annual Fee
Share Payment"), , on the outstanding principal balance on such date, if
any, plus $50,000 cash (the "Extension Annual Fee Cash Payment") is payable
by the Company to the Lenders on each of July 31, 2015 and July 31, 2016
(each an "Extension Annual Fee Payment Date") should any principal be
outstanding at such time.  The Extension Annual Fee Share Payment is to be
payable (if at all) in such number of common shares of the Company
determined on the basis of a 10% discount to the five-trading-day
volume-weighted average closing price of the Company's common shares on the
NYSE MKT immediately prior to the applicable date.

In connection with the Credit Facility Extension, the Company is required
to issue a total of 100,000 common shares in the Company to the Lenders as
an extension fee and extend the term of the existing bonus warrants
previously issued to the Lenders by two years.  No Extension Annual Fee
Share Payment or Extension Annual Fee Cash Payment shall be payable on an
Extension Annual Fee Payment Date should the Loan be repaid in full prior
to such date.

The securities referred to in this news release have not been registered
under the U.S. Securities Act of 1933, as amended, and may not be offered
or sold in the United States absent registration or an applicable exemption
from registration requirements.

About Sprott Resource Lending Corp.

Sprott Resource Lending Corp. is a natural resource lender focused on
providing financing to mining and oil and gas companies. In July 2013,
Sprott Inc. completed the acquisition of Sprott Resource Lending Corp.
which now operates as a subsidiary of Sprott Inc.

About CEF (Capital Markets) Limited

CEF (Capital Markets) Limited is owned by CEF Holdings Limited which is
owned 50% by Cheung Kong (Holdings) Limited and 50% by the Canadian
Imperial Bank of Commerce ("CIBC"). Cheung Kong (Holdings) Limited is the
publicly-listed flagship company of the Cheung Kong Group of companies, the
Hong Kong based multi-national conglomerate with a combined market cap of
the Group in excess of $100 billion as of February 28, 2013. CIBC is a
leading North American financial institution with operations around the
world. CEF is an investor in significant resource assets on a global basis.

About Uranium Energy Corp
Uranium Energy Corp is a U.S.-based uranium mining and exploration company.
The Company's fully licensed and permitted Hobson processing facility is
central to all of its projects in South Texas, including the operating
Palangana in-situ recovery mine and the Goliad in-situ recovery project
which is currently in construction.  The Company's operations are managed
by professionals with a recognized profile for excellence in their
industry, a profile based on many decades of hands-on experience in the key
facets of uranium exploration, development and mining.

Contact North America: Investor Relations, Uranium Energy Corp:
Toll Free: (866) 748-1030
Fax: (361) 888-5041
E-mail: info@uraniumenergy.com 

Stock Exchange Information:
Frankfurt Stock Exchange Symbol: U6Z
ISN: US916896103

Safe Harbor Statement

Certain information contained in this news release constitutes
"forward-looking statements" as such term is used in applicable United
States and Canadian laws.  Generally, these forward-looking statements can
be identified by the use of forward-looking terminology such as "expects"
or "does not expect", "is expected", "anticipates" or "does not
anticipate", "plans", "estimates", "intends" or "believes", or that certain
actions, events or results "may", "could", "would", "might" or "will be
taken", "occur", or "be achieved".

Forward-looking statements are based on the opinions and estimates of
management as of the date such statements are made, and are subject to
known and unknown risks, uncertainties and other factors that may cause the
actual results, performance or achievements of UEC to be materially
different from those expressed or implied by such forward-looking
statements.  Many of these factors are beyond UEC's ability to control or
predict.  Important factors that may cause actual results to differ
materially and that could impact UEC and the statements contained in this
news release can be found in UEC's filings with the SEC.  Such risks and
other factors include, among others, variations in the underlying
assumptions associated with the estimation or realization of
mineralization, the availability of financing on acceptable terms,
accidents, labor disputes, acts of God and other risks of the mining
industry including, without limitation, risk of liability under
environmental protection legislation, delays in obtaining governmental
approvals or permits, title disputes or claims limitations on insurance
coverage.  UEC believes that the expectations reflected in the
forward-looking statements included in this news release are reasonable;
however, no assurance can be given that these expectations will prove to be
correct, and such forward-looking statements should not be unduly relied

For forward-looking statements in this news release, UEC claims the
protection of the safe harbor for forward-looking statements contained in
the Private Securities Litigation Reform Act of 1995.  UEC assumes no
obligation to update or supplement any forward-looking statements whether
as a result of new info

End of Corporate News


14.03.2014 Dissemination of a Corporate News, transmitted by DGAP - a
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