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Uranium Resources, Inc. Reports $8.2 Million in Cash for Third Quarter 2009.

Article Excerpt
Company focused on cash preservation, restoration activities, maintenance of strategic assets, community relations in New Mexico, and opportunities to employ core competencies and strategic relationships to drive growth

LEWISVILLE, Texas -- Uranium Resources, Inc. (NASDAQ: URRE) (URI), announced today its financial results for the 2009 third quarter, which ended September 30, 2009. Due to the decline in uranium prices, the Company began winding down its production operations in the latter half of 2008 and finished production from its last two operating wells at Kingsville Dome in June 2009. Revenue for the 2009 third quarter of $1.4 million was for 29,800 pounds of uranium sold in the quarter that was produced in the prior quarter. Revenue in the third quarter of 2008 was $4.0 million. The net loss for the third quarter of 2009 was $2.5 million, or $0.04 per diluted share, compared with a net loss of $14.1 million, or $0.25 per diluted share, in the 2008 quarter. Last year's third quarter loss included a $10.9 million impairment charge based on the determination that the carrying value of the Company's uranium properties exceeded their fair market value.

Preservation of Capital and Defining Direction

Cash at the end of the 2009 third quarter was $8.2 million compared with $9.3 million at the end of the trailing second quarter and $12.0 million at the end of 2008.

Don Ewigleben, President and Chief Executive Officer of Uranium Resources, commented, "Since joining URI, I have evaluated our operations, resource base and management team and believe that there are additional ways in which we can improve efficiencies to reduce costs while maintaining the Company's potential for growth. For the balance of 2009 and 2010, we currently are projecting an average use of approximately $500,000 of cash per month. Importantly, we are delving into all aspects of the costs of our business to include property leases and holding costs. We will expend funds where needed, but there could be opportunities to tighten up our portfolio. We will continue the restoration operations in Texas...

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