U3O8 Corp. plans to continue to build value through:

• Showing resource growth potential - the preliminary economic assessment ("PEA") completed on the Laguna Salada Project in Argentina shows that the deposit would be one of the world's lowest cost uranium producers and that the project's economics would be further enhanced on a larger resource. The PEA yielded a net present value ("NPV") of US$55 million (at a 7.5% discount rate and US$60 per pound uranium price), although U3O8 Corp's market capitalization is currently around $8 million. Doubling the deposit size and production rate would increase the NPV to an estimated US$184 million. To this end, exploration has been undertaken in the larger Laguna Salada district, results of which are expected to be reported in Q1 2015;

• Attracting strategic partners - based on a signed letter of intent, we are working to establish a local partnership to extend the exploration on the Laguna Salada Project. This partnership could expand the potential resource at Laguna Salada and better position the project for accelerated advancement subject to meeting certain conditions. Laguna Salada is also attracting interest from prospective strategic investors who are looking to secure future uranium supply and could potentially fund the project to production;

• Attracting investors in the region and accessing new capital in Latin America - on January 7, 2015, U3O8 Corp's shares started trading on the Santiago Stock Exchange ("SSE") in Chile through a secondary listing. This listing makes it easier for local investors to buy U3O8 Corp's shares and will expand our South American reach onto MILA - Latin America's largest trading platform comprising the Chilean, Colombian, Peruvian and Mexican stock exchanges - and could foster local buy-in for our projects and open up alternative financing opportunities for the company; and

• Developing the region's leading frac sand play - through South American Silica ("SAS"), a strong land portfolio has been amassed near key shale basins, such as the giant Vaca Muerta in Argentina, with access to road, rail and deepwater ports to reach both domestic and overseas markets. Through a local partner, SAS' first project is advancing towards potential production in 2015. Next steps are to also define initial resources towards proving up the potential of other frac sand projects in Brazil, Uruguay and Argentina. The size potential and quality of SAS' frac sand targets is attracting the attention of frac sand producers who are essential to funding the development of these projects.

Market Outlook for Uranium and Frac Sand1

Uranium is one of the only commodities whose price is firming in the current resource market: the spot price has risen about 25% to over US$35 per pound ("lb") from its June 2014 low, while the long-term price has risen 13% to US$49/lb in that same period. The recent price increase in the commodity suggests that utilities are moving to lock-in supply to shore up their dwindling stockpiles and underscores the prospects for U3O8 Corp. to be potentially among a handful of companies that could be in production as world supply is forecast to enter a sustained and growing shortfall from 2019.

The prospects for the frac sand market also remain promising, especially with the growing demand for domestically produced frac sand that will be needed to develop Argentina's giant Vaca Muerta Shale Basin. Agreements to invest over US$3.9 billion were signed in December 2014 alone on the Vaca Muerta including deals with Shell, France's Total Austral, Malaysia's Petronas and Brazil's Petrobras, showing that these oil majors are taking a longer-term view amid current low oil prices. With nine of the 12 OPEC countries needing oil prices over US$70 per barrel in order to balance their budgets, higher cost crude production would be expected to be cut before significant cuts are made by oil from shale producers. The average production cost of shale oil in the USA is US$50 per barrel, while Chevron has reported production costs of US$58 from its shale oil operation in the Vaca Muerta. While oil companies may drill fewer wells this year, shale production is becoming more efficient. Some of these efficiencies are due to the use of larger amounts of frac sand in each well, to the extent that US Silica estimates that frac sand usage will continue to expand in 2015 in spite of the recent weakness in oil prices. With almost all of Argentina's frac sand currently imported; there is also an immediate need for local supply, which would contribute to lowering production costs.

(1)Sources: Raymond James, UXC Consulting, Trade Tech, Globe and Mail, Upstreamonline.com, TCE Today, Wall Street Journal, www.vacamuertanews.com.ar