The Transaction Value is a weighted average price of recent natural uranium sales transactions.

The calculation is based on prices paid in:
a) Transactions closed within the previous three-month period for which delivery is scheduled within one year of the transaction date;
b) At least 10 transactions;
c) Transactions involving a sum total of at least 2 million pounds equivalent U3O8.

The Conversion Value is TradeTech’s judgment of the price at which spot and near-term transactions for significant quantities of conversion services could be concluded as of the last day of the month.

The UF6 Value is TradeTech’s judgment of the price at which spot and near-term transactions for significant quantities of natural uranium hexafluoride could be concluded as of the last day of the month.

The SWU Value is our judgment of the price at which spot and near-term transactions for significant quantities of enrichment services could be concluded as of the last day of the month.

The Daily Uranium Spot Price Indicator is TradeTech’s judgment of the price at which spot and near-term transactions for significant quantities of natural uranium concentrates could be concluded as of the end of the week day.

The Weekly Uranium Spot Price Indicator is TradeTech’s judgment of the price at which spot transactions for significant quantities of natural uranium concentrates could be concluded as of the end of each Friday.

The Mid-Term Price Indicators are TradeTech’s judgment of the base price at which transactions for mid-term or intermediate delivery of natural uranium concentrates, conversion services, or enrichment services could be concluded as of the last day of the month, for transactions in which the price at the time of delivery would be fixed or an escalation of the base price from a previous point in time.

The Long-Term Price Indicators for U3O8, Conversion, or SWU are TradeTech’s judgment of the base price at which transactions for long-term delivery of that product or service could be concluded as of the last day of the month, for transactions in which the price at the time of delivery would be an escalation of the base price from a previous point in time.

The Production Cost Indicator (PCI) is a value reflecting TradeTech's proprietary judgment of the weighted average life-of-mine cost needed to support additional uranium production required to sustain the global nuclear fuel industry. The monthly PCI conforms to production that is deliverable into TradeTech’s Prime Contracting Period.

Derivations and Comments

• All Market Values are expressed in terms of US$.

• All Market Values are based on:
    - Data from recently completed transactions.
    - Data from pending transactions.
    - Firm bids to buy or borrow, and firm offers to sell or lend.
    - Prices purchasers or rates borrowers have expressed a willingness to pay, but for which we are not aware of firm bids to buy or borrow and prices sellers or rates lenders have expressed a willingness to accept, but for which we are not aware of firm offers to sell or lend.
    - The PCI is predicated on TradeTech’s proprietary assessment of a project’s Fully Allocated Production Cost over the planned Life-of-Mine (i.e. LoM C3).
    - The Prime Contracting Period currently begins two years out and covers four years.

• In calculating the Transaction Value, we do not account for the price of uranium delivered in connection with contracts which call for “market price” mechanisms. This exclusion applies particularly to contracts in which delivery prices are expressed as a function of future Exchange Values or any other indeterminate variable. Also excluded from the calculation are any other transactions in which the delivery price is defined in such a way that it cannot currently be determined.

• The sample time for the Transaction Value is extended for up to six months, if necessary to satisfy the minima for the number of transactions (10) and quantity of material (2 million pounds equivalent U3O8). The sample time is extended beyond six months only as necessary to include a minimum of five transactions and 1 million pounds equivalent U3O8. Any required currency conversions to US dollars are made on the basis of conversion rates in effect on or near the transaction date.

• The Mid-Term U3O8 Price Indicator applies in cases where deliveries begin immediately beyond the 3-month spot delivery window and occur within two years from that point, as either stand alone agreements or as part of longer-term contracts.

• The Restricted SWU Value applies to all services delivered in the United States and European Union.

• The Unrestricted SWU Value applies to all enrichment services delivered outside the United States and European Union.

* Unrestricted/Restricted Market Values were first applied in The Nuclear Review No. 301 (September 1993 issue). The designation of Unrestricted/Restricted Market Values for uranium products was dropped in The Nuclear Review No. 398 (October 2001 issue), since the Unrestricted Market distinction had become irrelevant with the cessation of US and European Union restrictions against all but Russian-origin uranium. The designation of Unrestricted/Restricted Market Values for enrichment products was dropped in The Nuclear Review No. 510 (February 2011 issue), because supplies of SWU, whether for the restricted or unrestricted market, have become small over the past year, the market has come to exhibit no price differential between offers for unrestricted and restricted enrichment (SWU) demand.