Ur-Energy Inc. Announces High Radon Anomalies at Screech Property, NT.

DENVER -- Ur-Energy (TSX:URE)is pleased to announce positive results from a radon survey carried out over the Screech Lake Property during the 2005 summer field season.

The Screech Lake area is located in the southwestern Thelon Basin NWT and was the site of several uranium exploration programs completed by Urangesellschaft Canada Ltd. (UG) during the period 1976 to 1981. Their efforts focused on the measurement of highly anomalous amounts of radon, as well as other products of radioactive decay, that were found to be concentrated in the waters of Screech Lake and surrounding area. The sources of the radon are fissures emitting radioactive waters into the lake bottom and springs emanating ground water and gas bubbles, located around the southwest shore of Screech Lake.

URE completed radon surveys collecting over 400 ground readings and 26 radon-in-water readings. The survey measured anomalous radon gas emanating from soils and lake waters from Screech and other lakes and streams in the immediate area. In particular, URE detected very high concentrations of radon in water samples from groundwater springs emanating gas bubbles along the southwest shore of Screech Lake. Dr. Paul Kotrappa, a recognized authority on radon-monitoring and President of Rad Elec Inc. of Frederick, MD (www.radelec.com) has independently verified all URE radon calculations and test results.

The radon anomalies outlined by UG in the 1970s were confirmed and expanded by the URE survey results. A better-defined pattern of the radon anomalous values was defined through greater sampling density and measurement accuracy of the instrumentation. The anomaly pattern outlined is believed to be reflecting bedrock faults in the Screech Lake area, where an older east-west structure is interpreted to be offset by younger northwest-trending faults. Corroborating evidence for this pattern of faulting comes from the recently completed ground geophysical surveys over the Screech Lake area.

Other significant characteristics of the Screech Lake anomaly include a high uranium/thorium ratio as measured by UG from the lake bottom springs, and highly anomalous amounts of radiogenic helium as measured by UG in soils. In addition, drilling by UG at the west end of Screech Lake determined that there is no permafrost, in contrast to the appreciable thickness of permafrost elsewhere across the Thelon basin.

The accumulated evidence at Screech Lake indicates anomalous uranium concentrations either perched within the Thelon sandstones or along the basement unconformity, or both, at Screech Lake.

URE intends to expand and further refine the radon anomalies in 2006, as well to explore two other promising targets on the property. Additional ground geophysical surveys are planned for the spring, 2006. Results of this work will provide the basis for an exploratory drilling program to evaluate the uranium potential on the property.

Qualified Persons for Ur-Energy Inc., as defined by National Instrument 43-101, are J. D. Charlton, P. Geol. Senior Consulting Geologist and Paul W. Pitman, P. Geo. V.P. Exploration, Canada.

Ur-Energy is a dynamic junior mining company engaged in the identification, acquisition and exploration of uranium properties in Canada and in the United States. Shares of the Corporation trade on the Toronto Stock Exchange under the symbol URE. Ur-Energy has its registered corporate office in Ottawa, Canada.The Company's website is at www.ur-energy.com

This release contains forward-looking statements regarding capital and processing cost estimates, production rates, amounts, timetables and methods, mining methods, metallurgical recovery rates, government permitting timetables and strategic plans and are based on current expectations that involve a number of business risks and uncertainties. Factors that could cause actual results to differ materially from any forward looking statement include, but are not limited to, failure to establish estimated resources and reserves, the grade and recovery of ore which is mined varying from estimates, capital and other costs varying significantly from estimates, production rates, methods and amounts varying from estimates, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, inflation, changes in exchange rates, fluctuations in commodity prices, delays in development and other factor). Forward-looking statements are subject to significant risks and uncertainties, and other factors that could cause actual results to differ materially from expected results. Readers should not place undue reliance on forward looking statements. The forward-looking statements contained herein are made as of the date hereof and we assume no responsibility to update them or revise them to reflect new events or circumstances.

UR-ENERGY INC. (TSX:URE)