NOTE

: MINERAL RIGHTS AND PROPERTIES

Mineral Rights

January 31, 2020,

we had mineral rights in the States of Arizona, Colorado, New Mexico, Wyoming and Texas, in Canada and in the Republic of Paraguay. These mineral rights were acquired through staking, purchase or lease agreements and are subject to varying royalty interests, some of which are indexed to the sale price of uranium and titanium. At

January 31, 2020,

annual maintenance payments of approximately

$2.7

million will be required to maintain these mineral rights.

Mineral rights and property acquisition costs consisted of the following:

	January 31, 2020			July 31, 2019
Mineral Rights and Properties
Palangana Mine	$	6,027,784		$	6,027,784
Goliad Project		8,689,127			8,689,127
Burke Hollow Project		1,495,750			1,495,750
Longhorn Project		116,870			116,870
Salvo Project		14,905			14,905
Anderson Project		3,470,373			3,470,373
Workman Creek Project		749,854			699,854
Los Cuatros Project		257,250			257,250
Slick Rock Project		30,000			-
Reno Creek Project		31,527,870			31,527,870
Diabase Project		546,938			546,938
Yuty Project		11,947,144			11,947,144
Oviedo Project		1,133,412			1,133,412
Alto Paraná Titanium Project		1,433,030			1,433,030
Other Property Acquisitions		91,080			91,080
		67,531,387			67,451,387
Accumulated Depletion		(3,929,884	)		(3,929,884	)
		63,601,503			63,521,503

Databases		2,410,038			2,410,038
Accumulated Amortization		(2,409,686	)		(2,409,188	)
		352			850

Land Use Agreements		48,770			404,310
Accumulated Amortization		(44,020	)		(389,768	)
		4,750			14,542
	$	63,606,605		$	63,536,895

We have

not

established proven or probable reserves, as defined by the SEC under Industry Guide

for any of our mineral projects. We have established the existence of mineralized materials for certain mineral projects, including our Palangana Mine. Since we commenced uranium extraction at the Palangana Mine without having established proven or probable reserves, there

may

be greater inherent uncertainty as to whether or

not

any mineralized material can be economically extracted as originally planned and anticipated.

During the

six

months ended

January 31, 2020

and

2019,

we continued with reduced operations at the Palangana Mine to capture residual uranium only. As a result,

depletion for the Palangana Mine was recorded on our Condensed Consolidated Financial Statements for the

three

and

six

months ended

January 31, 2020

and

2019.

Mineral property expenditures incurred by major projects were as follows:

	Three Months Ended January 31,				Six Months Ended January 31,
	2020		2019		2020		2019
Mineral Property Expenditures
Palangana Mine	$	528,699	$	246,592	$	848,726	$	526,624
Goliad Project		36,843		19,056		96,807		37,878
Burke Hollow Project		220,812		166,469		869,673		275,014
Longhorn Project		2,289		10,157		12,446		25,533
Salvo Project		6,702		6,702		13,970		13,510
Anderson Project		13,433		15,056		29,486		37,270
Workman Creek Project		8,168		7,673		16,365		15,364
Slick Rock Project		13,271		12,206		26,405		29,430
Reno Creek Project		144,181		147,418		292,224		295,294
Yuty Project		16,718		62,600		30,914		86,003
Oviedo Project		123,117		40,758		229,055		61,483
Alto Paraná Titanium Project		110,085		34,429		166,333		60,262
Other Mineral Property Expenditures		99,005		130,101		214,370		301,795
	$	1,323,323	$	899,217	$	2,846,774	$	1,765,460