NYSE Amex Equities Exchange Symbol – UEC

• Over 400 exploration and development holes drilled by Wyoming Minerals
  Corp in the 1970’s
• Positive historic feasibility study prepared by Dravo Engineers in 1980
• All historic and recent data obtained and being evaluated by Company
  geologists

CORPUS CHRISTI, TX, Dec. 6, 2011 /PRNewswire/ – Uranium Energy Corp (NYSE-AMEX:
UEC, the “Company”) is pleased to announce that it has now completed
its acquisition of the Workman Creek uranium project, previously
announced on November 8, 2011, located in Gila County, Arizona (the
“Workman Creek Project”), from Cooper Minerals, Inc. (“Cooper”).

President and CEO Amir Adnani stated, “The Workman Creek Project
represents the Company’s fourth project in pro-business and
mining-friendly Arizona. This acquisition further demonstrates
management’s commitment to expanding and diversifying our project
portfolio at a viable cost for long-term growth.”

The Workman Creek Project

The Workman Creek Project consists of 176 unpatented lode mining claims
covering 3,520 acres. It is located in a remote area of the Dripping
Springs Mining District of Gila County, Arizona, about 30 miles north
of Miami, Arizona and 85 miles northeast of Phoenix, Arizona. The
current claim configuration being acquired by the Company represents
the Workman Creek North and South project areas originally held and
developed by Wyoming Minerals Corp (“WMC”), a subsidiary of
Westinghouse, in the 1970s and 1980s.

In the 1970s, WMC established a significant acreage position in the area
and began a systematic development program. Major work conducted by
WMC including the drilling of over 400 exploration and development
holes, geological mapping, regional and detailed geochemical studies,
petrographic studies, mineralogical paragenetic studies, geophysical
surveys and metallurgical studies, all of which culminated in a
positive feasibility study prepared by Dravo Engineers in 1980.

Based on favorable economics indicated in the Dravo Engineers
feasibility study, detailed designs for open pit and underground mining
were developed, coupled with a conventional acid leach, solvent
extraction and ammonia precipitation process. Metallurgical leaching
studies indicated that uranium recovery was in the neighborhood of
94%. The work by Dravo Engineers was further supported and
complimented by work performed by Mountain States Research and
Development of Tucson, Arizona, and the Colorado School of Mines
Research Institute of Golden, Colorado. However, these historical
studies pre-date NI 43-101 and should not be treated as current. The
Company has not performed the necessary work to verify these historical
studies and the results should not be relied upon. By the early 1980s,
global and market events led WMC to abandon their mineral claims in the
Project.

The Workman Creek Project was staked by Cooper and optioned to Rodinia
Minerals (“Rodinia”) in 2004-05. Rodinia maintained the property until
2010 at which time they let their option expire. Recent work performed
on the Project by both Cooper and Rodinia include radiometric surveys,
geochemical surveys and detailed geologic mapping. All historic and
recent data has been obtained by the Company and is currently being
evaluated by Company geologists.

The uranium mineralization of the Dripping Springs Mining District is
associated with the Upper Member of the Dripping Springs Quartzite of
Precambrian age. The mineralized zones can be best described as
stratabound which have undergone thermal metamorphism, resulting in the
redistribution and concentration the uranium.

Terms of the Agreement

In accordance with the terms of its November 7, 2011 Property
Acquisition Agreement, as amended (the “Agreement”), with Cooper, the
Company has now issued 300,000 restricted common shares of the Company,
at a deemed issuance price of $3.15 per share, and has made payments
totaling $84,640, to Cooper to acquire the Workman Creek Project.

In addition, pursuant to the terms and conditions of certain underlying
property agreements previously entered into by Cooper, the Company has
agreed to provide each of two individuals (collectively, the
“Underlying Vendors”) with a royalty interest in the amount of three
percent (3.0%) of the net smelter revenue received by the Company in
connection with any uranium which is produced and sold from any of the
mineral interests in the Workman Creek Project. The Royalty is subject
to annual advance royalty payments of $100,000 (the “Advance Royalty
Payments”), which Advance Royalty Payments are to be deducted from the
payment of the Royalty. The Company has the right, exercisable at any
time until January 21, 2024, to reduce the Royalty from three percent
(3.0%) to one-and-a-half percent (1.5%) by paying the Underlying
Vendors the aggregate sum of U.S. $1,000,000.00.

The Company has also assumed all rights, interests and obligations of
Cooper arising from an option granted by Cooper to three individuals
(collectively, the “Option-holders”) to acquire a royalty interest in
the amount of one-half percent (0.5%) on the same terms and conditions
as apply to the Royalty, exercisable at any time until January 21, 2024
by the Option-holders paying to the Company the aggregate sum of U.S.
$333,340.

The foregoing description of the Agreement is not complete and is
qualified in its entirety by reference to the Agreement which has been
previously filed.

The technical information in this news release has been prepared in
accordance with the Canadian regulatory requirements set out in NI
43-101 and reviewed by Clyde L. Yancey, P.G., Vice
President-Exploration for the Company, a QP under NI 43-101 standards.

Stock Exchange Information:
NYSE-AMEX: UEC
Frankfurt Stock Exchange Symbol: U6Z
WKN: AØJDRR
ISN: US916896103

Safe Harbor Statement

Except for the statements of historical fact contained herein, the
information presented in this news release constitutes “forward-looking
statements” as such term is used in applicable United States and
Canadian laws. These statements relate to analyses and other
information that are based on forecasts of future results, estimates of
amounts not yet determinable and assumptions of management. Any other
statements that express or involve discussions with respect to
predictions, expectations, beliefs, plans, projections, objectives,
assumptions or future events or performance (often, but not always,
using words or phrases such as “expects” or “does not expect”, “is
expected”, “anticipates” or “does not anticipate”, “plans, “estimates”
or “intends”, or stating that certain actions, events or results “may”,
“could”, “would”, “might” or “will” be taken, occur or be achieved) are
not statements of historical fact and should be viewed as
“forward-looking statements”. Such forward looking statements involve
known and unknown risks, uncertainties and other factors which may
cause the actual results, performance or achievements of the Company to
be materially different from any future results, performance or
achievements expressed or implied by such forward-looking statements.
Such risks and other factors include, among others, the actual results
of exploration activities, variations in the underlying assumptions
associated with the estimation or realization of mineral resources, the
availability of capital to fund programs and the resulting dilution
caused by the raising of capital through the sale of shares, accidents,
labor disputes and other risks of the mining industry including,
without limitation, those associated with the environment, delays in
obtaining governmental approvals, permits or financing or in the
completion of development or construction activities, title disputes or
claims limitations on insurance coverage. Although the Company has
attempted to identify important factors that could cause actual
actions, events or results to differ materially from those described in
forward-looking statements, there may be other factors that cause
actions, events or results not to be as anticipated, estimated or
intended. There can be no assurance that such statements will prove to
be accurate as actual results and future events could differ materially
from those anticipated in such statements. Accordingly, readers should
not place undue reliance on forward-looking statements contained in
this news release and in any document referred to in this news release.

Certain matters discussed in this news release and oral statements made
from time to time by representatives of the Company may constitute
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995 and the Federal securities laws. Although
the Company believes that the expectations reflected in such
forward-looking statements are based upon reasonable assumptions, it
can give no assurance that its expectations will be achieved.
Forward-looking information is subject to certain risks, trends and
uncertainties that could cause actual results to differ materially from
those projected. Many of these factors are beyond the Company’s ability
to control or predict. Important factors that may cause actual results
to differ materially and that could impact the Company and the
statements contained in this news release can be found in the Company’s
filings with the Securities and Exchange Commission. For
forward-looking statements in this news release, the Company claims the
protection of the safe harbor for forward-looking statements contained
in the Private Securities Litigation Reform Act of 1995. The Company
assumes no obligation to update or supplement any forward-looking
statements whether as a result of new information, future events or
otherwise. This press release shall not constitute an offer to sell or
the solicitation of an offer to buy securities.

SOURCE Uranium Energy Corp