The following management's discussion and analysis of the Company's financial
condition and results of operations (the "MD&A") contain forward-looking
statements that involve risks, uncertainties and assumptions including, among
others, statements regarding our capital needs, business plans and expectations.
In evaluating these statements you should consider various factors, including
the risks, uncertainties and assumptions set forth in reports and other
documents we have filed with or furnished to the SEC and, including, without
limitation, this Form 10-Q Quarterly Report for the six months ended January 31,
2022, and our Form 10-K Annual Report for the fiscal year ended July 31, 2021,
including the consolidated financial statements and related notes contained
therein. These factors, or any one of them, may cause our actual results or
actions in the future to differ materially from any forward-looking statement
made in this Quarterly Report. Refer to "Cautionary Note Regarding
Forward-looking Statements" as disclosed in our Form 10-K Annual Report for the
fiscal year ended July 31, 2021, and Item 1A, Risk Factors, under Part II -
Other Information, of this Quarterly Report.



Introduction



This MD&A is focused on material changes in our financial condition from July
31, 2021, our most recently completed year end, to January 31, 2022, and our
results of operations for the three and six months ended January 31, 2022, and
should be read in conjunction with Item 7, Management's Discussion and Analysis
of Financial Condition and Results of Operations, as contained in our Form 10-K
Annual Report for Fiscal 2021.



Business



We are predominantly engaged in uranium mining and related activities, including
exploration, pre-extraction, extraction and processing, on uranium projects
located in the United States and Paraguay, as more fully described in our Form
10-K Annual Report for Fiscal 2021.



We utilize in-situ recovery ("ISR") mining where possible which we believe, when
compared to conventional open pit or underground mining, requires lower capital
and operating expenditures with a shorter lead time to extraction and a reduced
impact on the environment. We have one uranium mine located in the State of
Texas, the Palangana Mine, which utilizes ISR mining and commenced extraction of
U3O8, or yellowcake, in November 2010. We have one uranium processing facility
located in the State of Texas, the Hobson Processing Facility, which processes
material from the Palangana Mine into drums of U3O8, for shipping to a
third-party storage and sales facility. As of January 31, 2022, we had no
uranium supply or off-take agreements in place.



Our fully-licensed and 100%-owned Hobson Processing Facility forms the basis for
our regional operating strategy in the State of Texas, specifically the South
Texas Uranium Belt where we utilize ISR mining. We utilize a "hub-and-spoke"
strategy whereby the Hobson Processing Facility acts as the central processing
site (the "hub") for the Palangana Mine and future satellite uranium mining
activities, such as our Burke Hollow and Goliad Projects, located within the
South Texas Uranium Belt (the "spokes"). The Hobson Processing Facility has a
physical capacity to process uranium-loaded resins of up to a total of two
million pounds of U3O8 annually and is licensed to process up to one million
pounds of U3O8 annually.


We acquired the fully permitted Reno Creek Project in August 2017 and expanded our operations to the strategic Powder River Basin in Wyoming.





On December 17, 2021, we completed the acquisition of all the issued and
outstanding shares of U1A (now UEC Wyoming Corp.) for total cash consideration
of $128,494,545. The UEC Wyoming Portfolio primarily consists of 12 projects
located in Wyoming, six of which are located in the Powder River Basin with four
fully permitted, and six of which are located in the Great Divide Basin. The UEC
Wyoming Portfolio also consists of dozens of under-explored, mineralized
brownfield projects, backed by detailed databases of historic uranium
exploration and development programs, thus greatly enhancing the potential for
resource expansion. The U1A Acquisition creates a Wyoming hub-and-spoke
operation for UEC, anchored by UEC Wyoming's Irigaray Processing Facility, which
is one of the largest central processing facilities in the United States with a
licensed capacity of 2.5 million pounds U3O8 per year. Refer to Note 3:
Acquisition of Uranium One Americas, Inc. of the Condensed Consolidated
Financial Statements for the three and six months ended January 31, 2022.



We also hold certain mineral rights in various stages of development in the
States of Arizona, Colorado, New Mexico, Texas and Wyoming, in Canada and in the
Republic of Paraguay, many of which are located in historically successful
mining areas and have been the subject of past exploration and pre-extraction
activities by other mining companies. We do not expect, however, to utilize ISR
mining for all of the uranium mineral rights in which case we would expect to
rely on conventional open pit and/or underground mining techniques.



                                       28
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Since we completed the acquisition of the Alto Paraná Titanium Project located
in Paraguay in July 2017, we are also involved in titanium mining and related
activities, including exploration, development, extraction and processing of
titanium minerals such as ilmenite.



Our operating and strategic framework is based on expanding our uranium and
titanium extraction activities, which include advancing certain projects with
established mineralized materials towards extraction and establishing additional
mineralized materials on our existing uranium and titanium projects or through
the acquisition of additional projects.



Uranium Market Developments



Over the past few years, global uranium market fundamentals have been improving
as the market transitions from an inventory driven to more of a production
driven market.  The spot market bottomed in November 2016 at about $17.75 per
pound U3O8 and stood at approximately $54.00 per pound at the date of this
Quarterly Report (Ux U3O8 Daily Price).  Production curtailments, mine closures
from several global producers and COVID-19 pandemic related shutdowns have
lowered annual uranium production over the past few years from approximate 141
million pounds in 2019 to about 124 million pounds in 2021. Supply and demand
projections show a structural deficit between production and utility
requirements averaging about 45 million pounds a year over the next 10 years and
increasing thereafter (UxC 2021 Q4 Uranium Market Outlook).  The current gap is
being filled with secondary market sources, including finite inventory that is
projected to decline in coming years. As secondary supplies diminish, new
production will be needed to meet utility demand and will require higher prices
to stimulate new mining activity with market prices still below production costs
for many producers.



On the demand side of the equation, the global nuclear energy industry continues
robust growth, with 62 new reactors connected to the grid since 2013 and another
57 reactors under construction as of January 2022 (PRIS and WNA January 2022
data). In the 2021 edition of the World Energy Outlook, the International Energy
Agency's "Stated Policies Scenario" projected installed nuclear capacity growth
of over 26% from 2020 to 2050 (reaching about 525 GWe). Additional upside market
pressure also appears to be emerging as utilities finally return to a
longer-term contracting cycle to replace expiring contracts, something the
market has not experienced for several years. In a more recent market
development, financial entities and various producers, including our Company,
have been purchasing significant quantities of drummed uranium inventory,
further removing excess supplies that will likely not re-enter the market unless
bundled in longer term contracts at much higher prices.



Response to COVID-19 Pandemic



In response to the COVID-19 pandemic and for the protection of our employees, we
have arranged for our teams at our Vancouver, Corpus Christi and Paraguay
offices to work remotely. In the meantime, we continued to operate our Palangana
Mine and recently acquired Christensen Ranch Mine at a reduced pace to capture
residual uranium only and we continue to advance our ISR projects with
engineering and geologic evaluations that support the Company's extraction
readiness strategy.



Results of Operations



The financial information included in the following discussion and analysis of
financial condition and results of operations during the three and six months
ended January 31, 2022, compared to the same periods in 2021, including the
results of operations of UEC Wyoming since the closing of the U1A Acquisition on
December 17, 2021.


For the three months ended January 31, 2022, we recorded sales and service revenue of $13,190,925 and realized gross profit of $3,942,717. No sales and service revenue were recorded during the three months ended January 31, 2021.





During the three and six months ended January 31, 2022, we recorded net losses
of $5,474,267 ($0.02 per share) and $7,548,093 ($0.03 per share) and losses from
operations of $4,929,854 and $9,801,521, respectively. For the three and six
months ended January 31, 2021, we recorded net losses of $3,461,059 ($0.02 per
share) and $8,424,596 ($0.04 per share) and losses from operations of $3,523,558
and $6,910,188, respectively



                                       29

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During the three and six months ended January 31, 2022, we continued with our
strategic plan for reduced operations at our Palangana Mine and, since the
closing of the U1A Acquisition, we continued reduced operations at the
Christensen Ranch Mine to capture residual pounds of U3O8 only. As a result, no
U3O8 extraction or processing costs were capitalized to inventories during the
three and six months ended January 31, 2022.



During the six months ended January 31, 2022, we entered into agreements to
purchase 700,000 pounds of uranium concentrate inventories under our Physical
Uranium Program and received 600,000 pounds of uranium concentrate inventories
at a total cost of $20,056,595. As at January 31, 2022, the total carrying value
of our inventories was $40,231,990 (July 31, 2021: $29,172,480).



Sales and Service Revenue



During the three months ended January 31, 2022, we recorded sales of $13,146,000
from the sale of 300,000 pounds of uranium concentrate inventory.  In addition,
we recorded revenue from toll processing services of $44,925, which was
generated from processing uranium resins according to a toll processing
agreement that we inherited from the U1A Acquisition.  As a result, we realized
gross profit of $3,942,717, representing a 29.9% gross profit margin. No sales
and service revenues were recorded during the three and six months ended January
31, 2021.



The table below provides a breakdown of sales and service revenue and cost of
sales and services:



                                           Three and Six Months Ended January 31,
                                                                  2022          2021
Sales of purchased uranium inventory    $                   13,146,000         $   -
Revenue from toll processing services                           44,925      

-


Total sales and service revenue         $                   13,190,925      

$ -



Cost of purchased uranium inventory     $                   (9,210,770 )       $   -
Cost of toll processing services                               (37,438 )    

-


Total cost of sales and services        $                   (9,248,208 )       $   -




Operating Costs


Mineral Property Expenditures

Mineral property expenditures primarily consisted of costs relating to permitting, property maintenance, exploration and pre-extraction activities and other non-extraction related activities on our projects.





During the three and six months ended January 31, 2022, mineral property
expenditures totaled $2,109,173 and $3,765,689, respectively, of which $438,784,
and $438,784, respectively, were mineral property expenditures incurred on the
UEC Wyoming Portfolio since December 17, 2021. During the three and six months
ended January 31, 2021, mineral property expenditures totaled $961,257 and
$1,663,018, respectively.



During the three and six months ended January 31, 2022, costs directly related
to maintaining operational readiness and permitting compliance for our Palangana
Mine, our Hobson Processing Facility and our recently acquired Christensen Ranch
Mine and Irigaray Processing Facility totaled $499,887 and $739,913,
respectively. During the three and six months ended January 31, 2021, costs
directly related to maintaining operational readiness and permitting compliance
for our Palangana Mine and Hobson Processing Facility totaled $242,047 and
$440,067, respectively.



During the six months ended January 31, 2022, we continued the 2021 drilling
campaign commenced in March 2021 and drilled 79 exploration holes and 14 cased
wells totaling 44,610 feet at our Burke Hollow Project.



                                       30
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The following table provides mineral property expenditures on our projects for
the periods indicated:



                                               Three Months Ended January 31,           Six Months Ended January 31,
                                                 2022                   2021               2022                2021
Mineral Property Expenditures
Palangana Mine                             $         266,396       $      232,866     $       511,716       $   431,668
Goliad Project                                        31,986               71,267             129,440           117,056
Burke Hollow Project                                 702,155              185,838           1,417,696           315,616
Longhorn Project                                       4,529                2,289               7,450             4,577
Salvo Project                                          4,453                7,673              10,149            15,865
Anderson Project                                      16,114               19,425              32,609            38,891
Workman Creek Project                                  8,168                8,167              16,755            16,365
Slick Rock Project                                    12,994               12,993              26,484            26,129
Reno Creek Project                                   224,333              169,576             424,152           270,066
Allemand Ross Project                                 48,889                    -              48,889                 -
Christensen Ranch Mine                               263,227                    -             263,227                 -
Ludeman Project                                       46,277                    -              46,277                 -
Moore Ranch Project                                   18,547                    -              18,547                 -
Yuty Project                                          12,567                8,334              20,612            14,328
Oviedo Project                                       139,847               98,804             322,594           146,415
Alto Paraná Titanium Project                         143,794               29,463             204,652            45,914
Other Mineral Property Expenditures                  164,897              114,562             264,440           220,128
                                           $       2,109,173       $      961,257     $     3,765,689       $ 1,663,018




General and Administrative



During the three and six months ended January 31, 2022, general and
administrative expenses totaled $3,715,438 and $6,832,149, respectively, which
increased by $1,250,735 and $1,781,757 compared to $2,464,703 and $5,050,392,
respectively, for the three and six months ended January 31, 2021. The increase
primarily resulted from increases in salaries and management fees, expenses
related to corporate development and consulting services, expenses related to
UEC Wyoming operations and recognition of foreign exchange losses.



The following summary provides a discussion of the major expense categories including analyses of the factors that caused significant variances compared to the same period last year:

? for the three and six months ended January 31, 2022, salaries and management

fees totaled $1,033,878 and $1,509,443, respectively, which increased by

$654,111 and $764,173, compared to $379,767 and $745,270, respectively, for

the three and six months ended January 31, 2021, primarily as a result of the

reinstatement of salaries and management fees, which had been reduced during

the initial months of the COVID-19 pandemic in Fiscal 2020 and Fiscal 2021;

? for the three months ended January 31, 2022, office, insurance, filing and

listing fees, investor relations, corporate development and travel expenses

totaled $866,878, which increased by $202,566 compared to $664,312 for the

three months ended January 31, 2021, which was primarily the result of

increased insurance and filing expenses, consulting fees and expenses related

to UEC Wyoming's operations. For the six months ended January 31, 2022,

office, insurance, filing and listing fees, investor relations, corporate

development and travel expenses totaled $2,077,507, which increased by

$706,929, compared to $1,370,578 for the six months ended January 31, 2021,

which was primarily the result of increases in marketing and corporate

development expenses, consulting fees and expenses related to UEC Wyoming's


    operations;



? for the three and six months ended January 31, 2022, we recognized foreign

exchange losses of $379,847 and $351,168, respectively, which increased by

$361,677 and $319,500, compared to $18,170 and $31,668 for the three and six

months ended January 31, 2021, respectively, as a result of foreign currency


    transactions.



? for the three and six months ended January 31, 2022, professional fees totaled

$276,908 and $392,236, respectively, which increased by $92,512 and $85,933,

compared to $184,396 and $306,303, respectively, for the three and six months

ended January 31, 2021. Professional fees are primarily comprised of legal


    services related to certain transactional activities and regulatory
    compliance, in addition to audit and tax services; and




                                       31

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? for the three and six months ended January 31, 2022, stock-based compensation

totaled $1,157,927 and $2,501,795, respectively, which was consistent with

$1,218,058 and $2,596,573 for the three and six months ended January 31, 2021,

respectively. Stock-based compensation expenses included the fair value of

compensation shares at the time of issuance and the amortization of the fair

value of various stock awards granted in prior fiscal years using the graded


    vesting method.




Acquisition-related Costs



During the three months ended January 31, 2022, in connection with the U1A Acquisition, we incurred acquisition-related costs of $2,644,980.

Depreciation, amortization and accretion





During the three and six months ended January 31, 2022, depreciation,
amortization and accretion totaled $402,980 and $501,420, respectively, which
increased by $305,382 and $304,642, compared to $97,598 and $196,778,  for the
three and six months ended January 31, 2021, respectively, primarily due to
depreciation of the plant and equipment acquired as a result of the U1A
Acquisition.



Other Income and Expenses



Interest and Finance Costs



During the three and six months ended January 31, 2022, interest and finance
costs totaled $566,836 and $1,097,714, respectively, which decreased by $262,891
and $622,927, compared to $829,727 and $1,720,641, for the three and six months
ended January 31, 2021, respectively.



For the three and six months ended January 31, 2022, interest paid on long-term
debt totaled $204,444 and $408,889, respectively, which decreased by $163,556
and $368,000, compared to $368,000 and $776,889 for the three and six months
ended January 31, 2021, respectively. For the three and six months ended January
31, 2022, amortization of debt discount totaled $259,198 and $524,769,
respectively, which decreased by $122,630 and $300,926 compared to $381,828 and
$825,695 for the three and six months ended January 31, 2021, respectively.
Decreases in interest on long-term debt and amortization of debt discount were a
result of the decrease in the outstanding principal amount of our long-term debt
to $10,000,000 from $20,000,000 in the three and six months ended January 31,
2021.



For the three and six months ended January 31, 2022, surety bond premiums
totaled $92,175 and $140,912, respectively, which increased by $31,166 and
$50,833, compared to $61,009 and $90,079 , for the three and six months ended
January 31, 2021, respectively. The increase was primarily a result of assumed
surety bond collateral amounts as a result of the U1A Acquisition.



Income from Equity-Accounted Investment





During the three months ended January 31, 2022, we recorded income of $1,732
from our equity-accounted investment, which was comprised of a loss pick up of
$651,996 and a gain on dilution of ownership interest of $653,728. During the
three months ended January 31, 2021, we recorded income of $600,913 as a result
of an income pick up from URC's operations.



During the six months ended January 31, 2022, we recorded income of $2,754,899
from our equity-accounted investment, which was comprised of an income pick up
of $182,717 and a gain on dilution of ownership interest of $2,572,182. During
the six months ended January 31, 2021, we recorded a loss of $102,692 as a
result of a loss pick up from URC's operations.



Realized Gain on Available-for-Sale Security





During the six months ended January 31, 2022, we recorded a gain of $547,152
from the sale of an available-for-sale security. No gain was recorded for the
six months ended January 31, 2021.



                                       32
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Summary of Quarterly Results





                                                                For the Quarters Ended
                                     January 31, 2022       October 31, 2021      July 31, 2021       April 30, 2021
Net loss                           $       (5,474,267 )   $      

(2,073,826 ) $ (1,799,053 ) $ (4,590,161 ) Total comprehensive loss

                   (6,092,177 )           

(1,930,657 ) (2,227,462 ) (4,097,060 ) Basic and diluted loss per share

                (0.02 )                (0.01 )            (0.01 )              (0.02 )
Total assets                              302,217,146            232,718,651        169,541,085          163,575,373



Liquidity and Capital Resources





                              January 31, 2022       July 31, 2021
Cash and cash equivalents   $       22,663,251     $    44,312,780
Current assets                      65,660,442          75,045,362
Current liabilities                  3,926,523          13,269,210
Working capital                     61,733,919          61,776,152




During the six months ended January 31, 2022, we received net proceeds of
$130,643,789 from our ATM Offerings and $2,499,414 from the exercise of stock
options and share purchase warrants. As at January 31, 2022, we had a working
capital of $61,733,919 after $127,342,485 net cash paid for the U1A Acquisition
and $10,000,000 repayment of our long-term debt principal. Subsequent to January
31, 2022, we received further cash proceeds of $16,547,026 under the 2021 ATM
Offerings and sold 200,000 pounds of uranium inventories for total proceeds of
$9,800,000.



As of January 31, 2022, we had uranium inventory purchase commitments of 2.8
million pounds with a total purchase price of $96.9 million, of which $36.6
million will become due in the next 12 months from the date of this Quarterly
Report.



We believe our existing cash resources and, if necessary, cash generated from
the sales of the Company's uranium inventories, will provide sufficient funds to
fulfill our uranium inventory purchase commitments and carry out our planned
operations, including UEC Wyoming's operations, for 12 months from the date of
this Quarterly Report. Our continuation as a going concern beyond 12 months from
the date of this Quarterly Report will be dependent upon our ability to obtain
adequate additional financing, as our operations are capital intensive and
future capital expenditures are expected to be substantial.



Historically we have been reliant primarily on equity financings from the sale of our common stock and on debt financings in order to fund our operations.

We


have also relied, to a limited extent, on cash flows generated from our mining
activities during the years ended July 31, 2015 ("Fiscal 2015), 2013 ("Fiscal
2013) and 2012 ("Fiscal 2012"). During the three months ended January 31, 2022,
we received cash proceeds of $13.1 million from the sale of purchased uranium
inventories under our Physical Uranium Program. However, we have yet to achieve
profitability or develop positive cash flow from operations and we do not expect
to achieve profitability or develop positive cash flow from operations in the
near term.  In the future we may also rely on cash flows generated from the
sales of our uranium concentrate inventories to fund our operations. Our
reliance on equity and debt financings is expected to continue for the
foreseeable future, and their availability whenever such additional financing is
required, will be dependent on many factors beyond our control including, but
not limited to, the market price of uranium, the continuing public support of
nuclear power as a viable source of electrical generation, the volatility in the
global financial markets affecting our stock price and the status of the
worldwide economy, any one of which may cause significant challenges in our
ability to access additional financing, including access to the equity and
credit markets.  We may also be required to seek other forms of financing, such
as asset divestitures or joint venture arrangements, to continue advancing our
uranium projects which would depend entirely on finding a suitable third party
willing to enter into such an arrangement, typically involving an assignment of
a percentage interest in the mineral project.  However, there is no assurance
that we will be successful in securing any form of additional financing when
required and on terms favorable to us.



Our operations are capital intensive and future capital expenditures are
expected to be substantial. We will require significant additional financing to
fund our operations, including continuing with our exploration and
pre-extraction activities and acquiring additional mineral projects. In the
absence of such additional financing, we would not be able to fund our
operations, including continuing with our exploration and pre-extraction
activities, which may result in delays, curtailment or abandonment of any one or
all of our mineral projects.



                                       33

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Our anticipated operations, including exploration and pre-extraction activities,
will be dependent on and may change as a result of our financial position, the
market price of uranium and other considerations, and such changes may include
accelerating the pace or broadening the scope of reducing our operations as
originally announced in September 2013.



Our ability to secure adequate funding for these activities will be impacted by
our operating performance, other uses of cash, the market price of commodities,
the market price of our common stock and other factors which may be beyond our
control. Specific examples of such factors include, but are not limited to:



  ? if the market price of uranium weakens;


  ? if the market price of our common stock weakens;

? if the COVID-19 pandemic worsens or continues over an extended period and

causes further financial market uncertainty; and

? if a nuclear incident, such as the events that occurred at Fukushima in March

2011, is to occur, continuing public support of nuclear power as a viable

source of electrical generation may be adversely affected, which may result in

significant and adverse effects on both the nuclear and uranium industries.






Our long-term success, including the recoverability of the carrying values of
our assets and our ability to acquire additional mineral projects and to
continue with exploration and pre-extraction activities and mining activities on
our existing mineral projects, will depend ultimately on our ability to achieve
and maintain profitability and positive cash flow from our operations by
establishing ore bodies that contain commercially recoverable minerals and to
develop these into profitable mining activities.



Equity Financings



On May 14, 2021, we entered into the May 2021 ATM Offering Agreement with H.C.
Wainwright & Co., LLC and certain co-managers, under which we may, from time to
time, sell shares of our common stock having an aggregate offering price of up
to $100 million through the ATM Managers selected by us.



On November 26, 2021, we filed the 2021 Shelf with respect to the continuation
of the May 2021 ATM Offering Agreement with the ATM Managers under which we may,
if eligible, from time to time, sell shares of our common stock having an
aggregate offering price of up to $100 million through the ATM Managers selected
by us.



During the three and six months ended January 31, 2022, we issued 6,655,295 and
27,399,173 shares, respectively, of the Company's common stock under our May
2021 ATM Offering for net cash proceeds of $28,919,064 and $91,590,187,
respectively.



During the six months ended January 31, 2022, we issued 11,096,363 shares of the Company's common stock under our November 2021 ATM Offering for net cash proceeds of $39,053,602.

Subsequent to January 31, 2022, we issued 4,460,000 shares of the Company's common stock under our November 2021 ATM Offering from February 1, 2022 to March 3, 2022 for net cash proceeds of $16,547,026.





Credit Facility



On December 5, 2018, we entered into the Third Amended and Restated Credit
Agreement with our Lenders, whereby we and the Lenders agreed to certain further
amendments to our Credit Facility, under which initial funding of $10,000,000
was received by the Company upon closing of the Credit Facility on July 30,
2013, and additional funding of $10,000,000 was received by the Company upon
closing of the amended Credit Facility on March 13, 2014. The Credit Facility
was non-revolving with an amended term of 8.5 years since inception maturing on
January 31, 2022, subject to an interest rate of 8% per annum, compounded and
payable on a monthly basis. The Third Amended and Restated Credit Agreement
superseded, in their entirety, our Second Amended and Restated Credit Agreement
dated and effective February 9, 2016, our Amended and Restated Credit Agreement
dated and effective March 13, 2014 and our Credit Agreement dated and effective
July 30, 2013 with our Lenders.



                                       34
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During Fiscal 2021, we made voluntary payments totaling $10,000,000 to certain
Lenders, which decreased the principal balance outstanding to $10,000,000, and
on January 31, 2022, we repaid the remaining principal amount of $10,000,000 to
our remaining Lender, which decreased the outstanding principal balance to $Nil.



During the three months ended January 31, 2022, and pursuant to the terms of the
Third Amended and Restated Credit Agreement, we issued 161,594 shares with a
fair value of $600,000, representing 6.0% of the $10,000,000 principal balance
outstanding at the time, as payment of anniversary fees to our remaining Lender.



Operating Activities



During the six months ended January 31, 2022, net cash used in operating
activities was $17,712,418, of which $10,867,495 was for net cash used in
uranium concentrate inventories and $1,299,063 was for acquisition-related costs
for the U1A Acquisition.  Other significant operating expenditures included
mineral property expenditures, general and administrative expenses and interest
payments as well as cash used in UEC Wyoming's operating activities. During the
six months ended January 31, 2021, net cash used in operating activities was
$5,603,172 for mineral property expenditures, general and administrative
expenses and interest payments.



Financing Activities



During the six months ended January 31, 2022, net cash provided by financing
activities totaled $123,048,680, comprised of net proceeds of $130,643,789 from
the 2021 ATM Offerings and net proceeds of $2,499,414 from the exercise of stock
options and share purchase warrants, offset by the $10,000,000 repayment of
long-term debt principal under our Credit Facility and $94,523 in payments for a
promissory note. During the six months ended January 31, 2021, net cash provided
by financing activities totaled $13,389,086 primarily from net proceeds of
$14,121,656 from a public offering in September 2020, net proceeds of $1,074,337
under our then 2020 ATM Offering, and net proceeds of $223,324 from the exercise
of stock options and share purchase warrants, which were offset by a $2,000,000
voluntary payment to one of our Lenders under our Credit Facility and $30,231 in
payments under the promissory note.



Investing Activities



During the six months ended January 31, 2022, net cash used by investing
activities totaled $113,231,194, comprised of net cash used in the U1A
Acquisition of $113,587,952, cash used in investment in an available-for-sale
security of $9,433,068, cash used for investment in mineral rights and
properties of $39,901, cash used for the purchase of property, plant and
equipment of $84,600 and cash used in investment in other assets of $66,643,
offset by cash proceeds of $9,980,220 from sales of an available-for-sale
security. During the six months ended January 31, 2021, net cash used by
investing activities totaled $4,220,340, primarily for cash used for the
investment in term deposits of $10,000,000, cash used for the purchase of
property, plant and equipment of $140,340, and cash used for investment in
mineral rights and properties of $80,000, offset by cash received from the
redemption of term deposits of $6,000,000.



Stock Options and Warrants



As of January 31, 2022, we had stock options outstanding representing 9,063,956
shares at a weighted-average exercise price of $1.20 per share, and share
purchase warrants outstanding representing 4,322,624 shares at a
weighted-average exercise price of $1.90 per share. As of January 31, 2022,
outstanding stock options and warrants, which are substantially all
in-the-money, represented a total 13,386,580 shares issuable for gross proceeds
of approximately $19.1 million should these stock options and warrants be
exercised in full on a cash basis. The exercise of stock options and warrants is
at the discretion of the respective holders and accordingly, there is no
assurance that any of the stock options or warrants will be exercised in the
future.


Transactions with a Related Party





During the three and six months ended January 31, 2022, we incurred $2,269 and
$4,375 (three and six months ended January 31, 2021: $17,464 and $34,141),
respectively, in general and administrative costs paid to Blender, a company
controlled by Arash Adnani, a direct family member of our President and Chief
Executive Officer, for various services, including information technology,
financial subscriptions, corporate branding, media, website design, maintenance
and hosting, provided by Blender to the Company.



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As at January 31, 2022, the amount owing to Blender was $Nil (July 31, 2021: $843).





Material Commitments



Uranium Purchase Commitments



During the six months ended January 31, 2022, we entered into agreements to purchase 700,000 pounds of uranium concentrate inventories under our Physical Uranium Program.

Our uranium concentrate purchase commitments at the date of this Quarterly Report are as follows:





               Purchase Commitments       Total Purchase
                          in Pounds                Price
Fiscal 2022                 400,000     $     20,780,000
Fiscal 2023               1,505,000           53,134,000
Fiscal 2024                 695,000           25,793,250
Fiscal 2025                 600,000           23,120,000
Fiscal 2026                 100,000            3,620,000
Total                     3,300,000     $    126,447,250




Long-Term Debt Obligations



As at January 31, 2022, we have made all scheduled payments and complied with
all covenants under our Credit Facility. On January 31, 2022, we repaid the
remaining $10 million principal amount to our remaining Lender under the Credit
Facility.


Off-Balance Sheet Arrangements





We do not have any off-balance sheet arrangements that have or are reasonably
likely to have a current or future material effect on our financial condition,
changes in financial condition, revenues or expenses, results of operations,
liquidity, capital expenditures or capital resources.



Critical Accounting Policies



Business Combination



We recognize and measure the assets acquired and liabilities assumed in a
business combination based on their estimated fair values at the acquisition
date, while transaction costs related to business combinations are expensed as
incurred. An income, market or cost valuation method may be utilized to estimate
the fair value of the assets acquired, liabilities assumed, if any, in a
business combination. The income valuation method represents the present value
of future cash flows over the life of the asset using: (i) discrete financial
forecasts, which rely on management's estimates of resource quantities and
exploration potential, costs to produce and develop resources, revenues, and
operating expenses;  (ii) appropriate discount rates; and (iii) expected future
capital requirements . The market valuation method uses prices paid for a
similar asset by other purchasers in the market, normalized for any differences
between the assets . The cost valuation method is based on the replacement cost
of a comparable asset at the time of the acquisition adjusted for depreciation
and economic and functional obsolescence of the asset. If the initial accounting
for the business combination is incomplete by the end of the reporting period in
which the acquisition occurs, an estimate will be recorded. Subsequent to the
acquisition date, and not later than one year from the acquisition date, we will
record any material adjustments to the initial estimate based on new information
obtained that would have existed as of the date of the acquisition. Any
adjustment that arises from information obtained that did not exist as of the
date of the acquisition will be recorded in the period the adjustments arises.



For a complete summary of all of our significant accounting policies refer to
Note 2: Summary of Significant Accounting Policies of the Notes to the
consolidated financial statements as presented under Item 8, Financial
Statements and Supplementary Data, in our Annual Report on Form 10-K for Fiscal
2021.



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Refer to "Critical Accounting Policies" under Item 7, Management's Discussion
and Analysis of Financial Condition and Results of Operations, in our Annual
Report on Form 10-K for Fiscal 2021.



Subsequent Events


Subsequent to January 31, 2022, we issued 4,460,000 shares of the Company's common stock under our November 2021 ATM Offering for net cash proceeds of $16,547,026.

Subsequent to January 31, 2022, we received $1,754,507 as a result of the partial release of surety bond collateral related to the Christensen Ranch Mine and Irigaray Processing Facility.

Subsequent to January 31, 2022, we received 200,000 pounds of uranium concentrate inventories at a total purchase price of $6,000,000 under our Physical Uranium Program.

Subsequent to January 31, 2022, we sold 200,000 pounds of uranium inventories for total proceeds of $9,800,000.

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