Uranium Energy Corp Initiates Wellfield Development and Construction at Palangana

Uranium Energy Corp

NYSE Amex Equities Exchange Symbol - UEC
June 15, 2010

Uranium Energy Corp Initiates Wellfield Development and Construction at
Palangana

Corpus Christi, TX - June 15, 2010 - Uranium Energy Corp (NYSE-AMEX: UEC,
the 'Company') is pleased to announce that the Company recently commenced
development of the initial wellfield, Production Area One ('PAA-1'), at the
Palangana ISR uranium project located in South Texas. A total of 110
injection and production wells will be drilled, cased and developed within
PAA-1.

The Company anticipates that three months will be required to complete the
initial wellfield. Sequentially, construction of the wellfield piping and
electrical distribution will commence to tie the PAA-1 wellfield to the
fully permitted satellite plant.

At this time the Company has also initiated development and drilling of a
non-hazardous disposal well to be active when the Palangana project
commences operations scheduled for the fourth quarter of this year. The
disposal well will be drilled to approximately 6,300 ft. and is expected to
require 60 days to complete.

Chief Operations Officer, Harry Anthony stated, 'We are delighted that the
construction and development work has now commenced at Palangana. The
development is located on the east flank of the dome near the center of the
property, and is active presently with two production rigs, plus the very
large rig coming in to drill the disposal well on the west side. Having
supervised ISR production here in the 1970's, I can say that it is great to
actively start realizing the very significant potential at Palangana'

Clyde Yancey, Vice President of Exploration, added, 'Concurrently, on the
east side of the property we have two rigs active, performing exploration
and delineation drilling to expand the resource along a new 4.5-mile trend
developed by our Chief Geologist, Andy Kurrus. We expect to be reporting
new drill results from the latest round of exploration activities from this
program very shortly. We will also be retesting the western side of this
area as our geologists have now remapped the faults and trends from
previous drill programs.'

The technical information in this news release has been reported in
accordance with the Canadian regulatory requirements set out in National
Instrument 43-101 and has been reviewed by Clyde L. Yancey, P.G., Vice
President of Exploration for Uranium Energy Corporation, a qualified person
under NI 43-101.

About Uranium Energy Corp

Uranium Energy Corp. (NYSE-AMEX: UEC) is a U.S.-based exploration and
development company with the objective of near-term uranium production in
the U.S. The Company's fully licensed and permitted Hobson processing
facility is central to all of its projects in South Texas, including the
fully-permitted Palangana in-situ recovery project, and the Goliad in-situ
recovery project which is in the final stages of mine permitting for
production. The Company's operations are managed by professionals with a
recognized profile for excellence in their industry, a profile based on
many decades of hands-on experience in the key facets of uranium
exploration, development and mining.

Contact North America: Investor Relations, Uranium Energy Corp.:
Toll Free: (866) 748-1030
Fax: (512) 535-0832
E-mail: info@uraniumenergy.com

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


Notice to U.S. Investors

The mineral resources referred to herein have been estimated in accordance
with the definition standards on mineral resources of the Canadian
Institute of Mining, Metallurgy and Petroleum referred to in NI 43-101 and
are not compliant with U.S. Securities and Exchange Commission (the 'SEC')
Industry Guide 7 guidelines. In addition, measured mineral resources,
indicated mineral resources and inferred mineral resources, while
recognized and required by Canadian regulations, are not defined terms
under SEC Industry Guide 7 and are normally not permitted to be used in
reports and registration statements filed with the SEC. Accordingly, we
have not reported them in the United States.

Investors are cautioned not to assume that any part or all of the mineral
resources in these categories will ever be converted into mineral reserves.
These terms have a great amount of uncertainty as to their existence, and
great uncertainty as to their economic and legal feasibility. In
particular, it should be noted that mineral resources which are not mineral
reserves do not have demonstrated economic viability. It cannot be assumed
that all or any part of measured mineral resources, indicated mineral
resources or inferred mineral resources will ever be upgraded to a higher
category. In accordance with Canadian rules, estimates of inferred mineral
resources cannot form the basis of feasibility or other economic studies.
Investors are cautioned not to assume that any part of the reported
measured mineral resources indicated mineral resources or inferred mineral
resources referred to in this news release and in the Technical Report are
economically or legally mineable.

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, labour 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.


15.06.2010 14:30 Ad hoc announcement, Financial News and Media Release distributed by DGAP. Medienarchiv at www.dgap-medientreff.de and www.dgap.de

Unternehmen: Uranium Energy Corp. - ISIN: US9168961038