Ur-Energy Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Asset Retirement Obligations

Asset Retirement Obligations

12 Months Ended

Dec. 31, 2022

10. Asset Retirement Obligations

Asset retirement obligations (“ARO”) relate to the Lost Creek mine and Shirley Basin and are equal to the current estimated reclamation cost escalated at inflation rates ranging from 0.74% to 2.44% and then discounted at credit adjusted risk-free rates ranging from 0.33% to 9.05%. Current estimated reclamation costs include costs of closure, reclamation, demolition and stabilization of the well fields, processing plants, infrastructure, aquifer restoration, waste dumps, and ongoing post-closure environmental monitoring and maintenance costs. The schedule of payments required to settle the future reclamation extends through 2033.

The present value of the estimated future closure estimate is presented in the following table.

Asset Retirement Obligations	Total

December 31, 2019		30,972

Change in estimated reclamation costs		(1,583	)
Accretion expense		576

December 31, 2020		29,965

Change in estimated reclamation costs		(536	)
Accretion expense		486

December 31, 2021		29,915

Change in estimated reclamation costs		326
Accretion expense		460

December 31, 2022		30,701

The restricted cash discussed in note 5 relates to the surety bonds provided to the governmental agencies for these and other reclamation obligations.