Exploration declined in the United States for the third straight year. During 1981, 107 companies spent $144.8 million on uranium exploration, which included 14.1 million ft of surface drilling. This drilling was mainly done in the vicinity of the major producing areas. During the year, a significant discovery was announced in northwestern Nebraska, which increased activity throughout the Great Plains. Production of uranium concentrate also declined in 1981 when 19,240 short tons of U 3 O 8 were produced. Uranium produced from nonconventional sources increased slightly in 1981. Domestic uranium reserves, decreased during 1981, mainly because of increasing production costs. Exploration for uranium in foreign countries generally decreased during 1981, reflecting the current worldwide oversupply of uranium--Modified journal abstract.