1. By: Frank Filas, P.E. Environmental Manager Energy Fuels Resources Corporation 44 Union Blvd., Suite 600 Lakewood, Colorado 80228 Uranium Development in Colorado and Potential Water Impacts 1

2. 2 Uravan Mineral Belt Morrison Formation Uranium and Vanadium Deposits

3. 3 In-Place Uranium/Vanadium Resource Salt Wash Sandstone – Morrison Formation

4. Mining Dry Mine:7 gallons per ton of ore mined (200 tpd mine consumes 350,000 gallons per year) Wet Mine:Discharge of 10 to 100 gpm of treated mine water (Pump, treat and discharge 5 to 50 million gallons per year) Milling Piñon Ridge Mill:415 gallons per ton of ore milled (500 tpd mill consumes 73 million gallons of water per year) Impacts from Water Consumption 4

5. Mining Site run-off and mine water discharge may contain elevated concentrations of metals and radionuclides; especially uranium, radium-226, arsenic and selenium Mining may result in groundwater impacts; however, groundwater is typically of poor quality prior to mining Milling Mill process and waste solutions have low pH levels and very elevated concentrations of radionuclides and metals. A release of these solutions could impact surface and groundwater systems. Potential Water Quality Impacts 5

6. Mine Operation Surface facilities are sited to avoid drainages, streams, wetlands and other water features Mine water treated prior to discharge to meet State standards Off-site water diverted around the mine site On-site precipitation and run-off is collected in a sedimentation basin Ore pad is typically lined and designed as a zero-discharge facility Mine Closure All mines in Colorado are fully bonded for reclamation Surface facilities are demolished, regraded, topsoiled and seeded Underground workings are sealed in accordance with best management practices to prevent intermingling of aquifers o Dry mine practices o Wet mine practices Water Quality Protection Measures at Mines 6

7. 7 Whirlwind Mine Near Gateway, Colorado

8. 8 Mill Operation Current mill siting standards require a remote location away from rivers, streams and shallow aquifers Mills are designed as zero-discharge facilities Processing tanks, equipment and piping are designed with secondary containment and leak detection Wastewater impoundments have multiple liner systems and leak collection and recovery systems All precipitation and run-off on mill sites is contained and used on-site or treated and discharged Mill Closure All mills are fully bonded for site closure and reclamation All contaminated materials are placed in a tailings cell and covered with a soil cover designed to resist erosion Funding for long-term care and maintenance is provided to the DOE by the mill operator Water Quality Protection Measures at Mills

9. 9 Typical Liner System

10. 10 Piñon Ridge Mill

11. 11 Reclaimed Uravan Mill

12. 12 Uranium mining will have limited impact on water consumption and use Uranium milling will have a larger impact on water consumption and use but also will provide substantial quantities of uranium and vanadium for power generation and industrial use Mining impacts to surface and groundwater are minimized through modern mine and reclamation design practices Milling impacts to surface and groundwater are minimized through proper siting, secondary containment measures, and comprehensive closure and reclamation Summary