October 2, 2022

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Westwater Resources Announces Sale of North American Uranium Business

6 min read

CENTENNIAL, Colo.–(Enterprise WIRE)–Jan 5, 2021–

Westwater Methods, Inc. (Nasdaq: WWR), a battery graphite improvement business, currently declared the sale of all of its uranium assets positioned in New Mexico and Texas to enCore Electricity Corp. of Vancouver, British Columbia, Canada, a Toronto Undertaking Trade-shown enterprise (TSXV:EU). Overall thought accruing to Westwater from the offer is $1.8 million in enCore shares (2,571,598 shares), representing a 1.5{9e6a73ef7eb6fa22b1de79554ca535a2a0aaa70d898e937e26eb250763832f63} possession of enCore, and two royalties from long term output from the New Mexico uranium attributes. enCore also assumed the asset retirement obligation on all remaining uranium reclamation activities connected with the property in the amount of somewhere around $6. million. All functionality bonds for the Texas uranium properties have been transferred to enCore as of December 31, 2020, as very well as the launch of $742,642 in limited money collateral to Westwater as a final result of the transfer of the effectiveness bonds. Westwater is retaining its uranium passions in the Republic of Turkey, which are matter to an ongoing worldwide arbitration continuing.

Christopher M. Jones, President and Main Government Officer of Westwater explained, “We are happy to position these uranium assets in the fingers of a organization like enCore wherever they can be formulated further as component of a larger, consolidated land placement. With in excess of $50 million in our treasury, Westwater can now commit its full concentration, focus and means on advancing our battery-grade graphite solution small business. At the same time, we be expecting to cost-free-up around $4 million for each yr for the upcoming various years in land payments, reclamation charges and functioning charges linked with the uranium qualities – dollars that can be made use of for our Coosa Graphite Job.”

“The Coosa Graphite Venture in Alabama is completely timed to get edge of the advances in the electrification of our transportation procedure and in the grid electric power storage for renewable strength, both here in the United States and the relaxation of the world. These methods need to have graphite as a significant ingredient – and our progress system places battery-grade graphite in the marketplace in FY2021 and accelerates Westwater’s route to cash circulation in FY2023. Finishing the transformation of the Company from its uranium previous to its graphite foreseeable future is great for business enterprise and provides benefit for our shareholders.”

Pilot Plant Update

Westwater has been conducting built-in pilot operations to obtain battery-grade purified graphite and show that advanced graphite goods can be generated from purified graphite. These pilot functions are envisioned to supply in-depth style parameters for a entire-scale output facility, design of which is expected to start in late 2021, with commissioning and startup anticipated to follow in late 2022. To date, pilot operations have attained the subsequent:

  • Made purified graphite at purities above 99.95{9e6a73ef7eb6fa22b1de79554ca535a2a0aaa70d898e937e26eb250763832f63}, with a large of 99.99{9e6a73ef7eb6fa22b1de79554ca535a2a0aaa70d898e937e26eb250763832f63} carbon – exceeding bare minimum style and design criteria.
  • Shown that Westwater’s system can generate Purified Micronized Graphite (PMG) at pilot scale.
  • Demonstrated that Westwater’s course of action can develop Spheronized Purified Graphite (SPG) at pilot scale.
  • Developed precursor material for Delaminated Expanded Graphite (DEXDG) at pilot scale.
  • Presented crucial inputs for power and reagent intake.
  • Presented vital output info for environmental controls style and design.
  • Identified, optimized and analyzed essential tools that will be scaled-up for total manufacturing.

Areas of the pilot functions are expected to run by way of the 2nd quarter of 2021 and offer vital information to tell the Bankable Feasibility Study, which is expected to be accomplished mid-calendar year 2021, and go on to develop quantities of battery-quality graphite for buyer tests. Glimpse for updates for the duration of the very first and next quarters on this crucial challenge, which is functioning in Germany, New York and Illinois.

About Westwater Assets

Westwater Resources (NASDAQ: WWR) is centered on creating battery-quality graphite to provide eco-friendly energy markets this sort of as electric powered motor vehicles and grid electrical storage for renewable electrical power, in addition to alkaline power mobile and other battery marketplaces. The Company’s battery-grade graphite tasks consist of the Coosa Graphite Venture — the most highly developed, all-natural flake graphite project in the contiguous United States — and the involved Coosa Graphite Mine situated throughout 41,900 acres (~17,000 hectares) in east-central Alabama. Operation of the pilot plant is underway and is scheduled to develop Extremely-PMG™, Extremely-DEXDG™ and Ultra-CSPG™ in portions that facilitate qualification testing at opportunity buyers. For far more facts, go to www.westwaterresources.internet.

Cautionary Assertion

This news release consists of ahead-hunting statements in just the meaning of the Non-public Securities Litigation Reform Act of 1995. Forward-searching statements are issue to dangers, uncertainties and assumptions and are discovered by words and phrases this sort of as “expects,” “estimates,” “projects,” “anticipates,” “believes,” “could,” “scheduled,” and other equivalent words and phrases. All statements addressing activities or developments that WWR expects or anticipates will arise in the long run, which include the graduation of operations at the pilot plant long term creation of battery-grade graphite developments at the Company’s tasks and the Company’s potential liquidity, price-discounts and money calls for are ahead-searching statements. Since they are ahead-on the lookout, they really should be evaluated in gentle of critical danger things and uncertainties. These chance variables and uncertainties include things like, but are not limited to: (a) the Company’s means to correctly assemble and function a pilot plant able of creating battery-quality products in portions and on schedules constant with the Coosa Graphite Job organization system (b) the Company’s ability to elevate further capital in the upcoming such as the means to make the most of existing funding services (c) spot value and prolonged-term contract value of graphite and vanadium (d) hazards involved with our operations and the operations of our associates these as Dorfner Anzaplan, which include the effect of COVID-19 and its possible impacts to the capital markets (e) govt regulation of the graphite field and the vanadium business (f) earth-broad graphite and vanadium source and desire (g) unanticipated geological, processing, regulatory and authorized or other challenges the Organization may possibly come across in the jurisdictions in which the Enterprise operates or intends to work, like in Alabama and Colorado (h) any graphite or vanadium discoveries not staying in high-more than enough concentration to make it financial to extract the minerals (i) at the moment pending or new litigation or arbitration and (j) other risk things which are much more totally explained in the Company’s Annual Report on Sort 10-K, Quarterly Reports on Kind 10-Q, and other filings with the Securities and Trade Fee. Ought to a person or a lot more of these hazards or uncertainties materialize or ought to any of the Company’s underlying assumptions show incorrect, real final results may perhaps fluctuate materially from all those currently predicted. In addition, undue reliance should not be positioned on the Company’s forward-hunting statements. Apart from as demanded by law, the Company disclaims any obligation to update or publicly announce any revisions to any of the forward-seeking statements contained in this news release.

View resource version on businesswire.com:https://www.businesswire.com/information/household/20210105005541/en/

Get in touch with: Westwater Methods Make contact with:

Christopher M. Jones, President & CEO

Cellular phone: 303.531.0480

Jeff Vigil, VP Finance & CFO

Telephone: 303.531.0481

E mail:[email protected]

Investor Relations Speak to:

Porter, LeVay & Rose

Michael Porter

Mobile phone: 212.564.4700

Electronic mail:[email protected]

Sales Get in touch with:

Jay Wago, Vice President, Profits and Internet marketing

Cellular phone: 980.242.1605

E mail:Gross [email protected]

Key phrase: AUSTRALIA TURKEY NORTH The usa CANADA EUROPE UNITED STATES AFRICA AUSTRALIA/OCEANIA COLORADO NEW MEXICO TEXAS

Sector Key word: Chemical substances/PLASTICS OTHER Electrical power MINING/MINERALS Producing Different Strength Organic Resources Electrical power

Resource: Westwater Resources

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PUB: 01/05/2021 08:00 AM/DISC: 01/05/2021 08:01 AM

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