Uranium Report + Rick Rule Interview -Tuesday, June 27, 2023
Greetings my friends,
Recently, we witnessed a large amount of news from uranium companies, which did not contribute to a major movement of shares. The markets have been quite lately, and it is obvious that this will continue in the next few days, because we have entered the summer period when people are traditionally less interested in activities related to the stock market. We also have 2 non-working days on the stock exchange, one in Canada and one in the USA.
In today's edition of my newsletter, I have two great things to announce. First up is the addition of excellent technical analysis from the man known on twitter as Uselink. His real name is Kasper and I think we have a rising star when it comes to technical analysis. I've been following him for a long time and I think he's one of the better technical analysts on Twitter. Along with the editions of this newsletter, he will prepare a technical analysis for one company that we choose together. Today he prepared charts for Global Atomic.
You can follow him on YouTube under the account https://www.youtube.com/@uselinkinv
The second thing I'm giving you today is an interview with investing legend Rick Rule.
We discussed a lot of things but uranium was the most covered topic. I asked him on specifics of some uranium companies and CEOs so this will be pretty interesting I believe.
I hope you like it, please subscribe to my channel if you have not already,
Here is the interview:
📝 US/CANADA URANIUM STOCKS PERFORMANCE
12 finished in green territory,
29 stocks flat
35 stocks finished in red territory.
The winner of the day is Fortune Bay with 16.13% gain and loser of the day is Kiplin Metals with 14.89% loss.
📝 AUSTRALIA URANIUM STOCKS PERFORMANCE
5 finished in green territory,
13 stocks flat ,
23 stocks finished in red territory.
The winner of the day is Eclipse metals with 14.29% gain and loser of the day GTI Resources with 14.29% loss.
📝Finnish SMR targets district heating market
Steady Energy aims to build the world's first district heating plant featuring its LDR-50 small modular reactor (SMR) by 2030. The company - which has been spun out from the VTT Technical Research Centre of Finland - has raised EUR2.0 million (USD2.2 million) in seed funding led by VTT, Yes VC and Lifeline Ventures.
📝 ITER delays revision of project's timeline
The International Thermonuclear Experimental Reactor (ITER) fusion project's council has put back for a year an announcement on its updated timeline for the project - and is proposing other changes including switching the plasma-facing "first wall" material from beryllium to tungsten.
📝 Nuclear innovation companies in new Ac-225 initiatives
TerraPower Isotopes and Belgian joint venture PanTera have announced a collaboration to increase the global availability of actinium-225 (Ac-225), while Arizona-based Serva Energy has developed a new research reactor-based production method to ramp up the supply of the rare radioisotope.
📝 UK and EU continue talks over Euratom
The UK government says its preference remains reaching agreement with the European Union to participate in the Horizon Europe, Euratom and Copernicus programmes, but has also published a prospectus for its "bold and ambitious alternative" plans.
📝GLOBAL ATOMIC PROVIDES DASA PROJECT UPDATE
Company is pleased to report on the continuing development of its Dasa Uranium Project in the Republic of Niger.
Stephen G. Roman, President & CEO, stated, “The primary question investors ask is regarding the timing of a term sheet for our banking syndicate’s Dasa Project loan facility. While this has been a much longer process than expected, the financing terms are in the final stage of completion, which, upon agreement, will then go to the banks’ Boards for approval prior to announcement to our shareholders.”
“We continue to make significant progress at the Dasa Project, having now put in place a mining and support team of over 200 people, the majority of which are local Nigeriens, comprised of both skilled workers, with extensive uranium mining experience, and young workers who are being trained in apprenticeship roles. The ramp is nearing the top of the ore body (see figure 1 below) and earthworks at the plant site are preparing the location for civil works. We remain on schedule to produce Yellowcake for delivery to nuclear utilities in early 2025.”
Approximately 500 meters of ramp development have now been completed. Surface and Underground mine infrastructure including mine dry, ventilation raises, electrical and pumping installations are underway. The development of the decline relative to the current Phase 1 Mine Plan is shown in the longitudinal section and the plan view below.
📝 Denison Reports Significant Increase in Economic Results for Wheeler River
Denison Mines reports the results of (i) the Feasibility Study ("Phoenix FS") completed for In-Situ Recovery ("ISR") mining of the high-grade Phoenix uranium deposit ("Phoenix") and (ii) a cost update ("Gryphon Update") to the 2018 Pre-Feasibility Study ("2018 PFS") for conventional underground mining of the basement-hosted Gryphon uranium deposit ("Gryphon"). With the successful completion of the Phoenix FS, Denison has advanced the planned Phoenix ISR project through the technical de-risking process and has already commenced the first phases of project execution. View PDF version
Phoenix and Gryphon are part of the Wheeler River Uranium Project ("Wheeler River" or the "Project"), which is the largest undeveloped uranium mining project in the infrastructure-rich eastern portion of the Athabasca Basin region in northern Saskatchewan, Canada. Denison has an effective 95% ownership interest in Wheeler River and is the project operator.
David Cates, Denison's President & CEO commented, "The Phoenix FS and Gryphon Update confirm the robust economics of the two projects situated within the Company's flagship Wheeler River property, producing base-case after-tax net present values of $1.6 billion and $0.9 billion, respectively.
After 4.5 years of rigorous technical de-risking and independent third-party validation, Phoenix has cemented its position as one of the lowest-cost uranium development projects in the world. Notably, despite the considerable capital cost pressures experienced by the global mining industry over the last two years, the economics of a Phoenix ISR mining operation remain exceptionally robust – producing an improvement in projections of NPV and IRR, when compared to the 2018 PFS, as a result of favourable design changes and optimizations. While most contemporary uranium development projects have not yet been tested against current cost inflation, the results of the Phoenix FS and Gryphon Update demonstrate that Denison continues to be uniquely positioned to become a meaningful uranium producer with multiple low-cost development assets.
With the highly positive results of the Phoenix FS, our team has already shifted focus to advancing front-end engineering and design efforts, with a target of transitioning into detailed design before the end of the year."
📝enCore Energy Announces Agreement for At-The-Market Offering
Company announces that it has entered into a Controlled Equity OfferingSM Sales Agreement dated as of June 26, 2023 (the "Sales Agreement") with Cantor Fitzgerald Canada Corporation and Cantor Fitzgerald & Co. (together, the "Lead Agents"), and Canaccord Genuity Corp., Canaccord Genuity LLC, Haywood Securities Inc., PI Financial Corp., and Jett Capital Advisors, LLC (together with the Lead Agents, the "Agents"). Pursuant to the Sales Agreement, the Company will be entitled, at its discretion from time-to-time during the term of the Sales Agreement, to sell, through the Lead Agents, such number of common shares of the Company (the "Common Shares") that would result in aggregate gross proceeds to the Company of up to US$70,000,000 (the "Offering" or "ATM Facility"). Sales of the Common Shares, if any, will be made in "at-the-market distributions", as defined in National Instrument 44-102 – Shelf Distributions, directly on the TSXV, the NYSE American ("NYSE American") or on any other existing trading market in Canada or the United States or as otherwise agreed between the Lead Agents and the Company.
The ATM Facility can be in effect until the aggregate gross sales proceeds of common shares sold pursuant to the Sales Agreement equals US$70,000,000, unless terminated prior to such date by enCore or otherwise in accordance with the Sales Agreement. Net proceeds from the ATM Facility, if any, will be used for corporate purposes as described in the Prospectus Supplement referenced below.
📝 FISSION COMPLETES HYDRO AND GEOTECH DRILLING; APPOINTS ENGINEERING DESIGN LEAD
Company announced it has completed all drilling required for the Front End Engineering Design ("FEED") at its PLS high-grade uranium project in Saskatchewan, Canada . A total of twelve holes were successfully drilled on time and on budget. The data will be used for optimizing the design of the underground mine infrastructure and proposed tailings management facility. Additionally, the Company has appointed Tetra Tech Canada as lead engineering consultant for the FEED stage. Tetra Tech is a globally recognized leader in engineering and consulting services with 550 offices and over 27,000 employees worldwide.
Twelve-hole drill program has been completed on time and on budget at PLS, gathering hydrogeological and geotechnical data for mine infrastructure and facilities
Tetra Tech Canada has been appointed as lead engineering consultant for the FEED
Development at PLS continues to progress on schedule through permitting towards a construction decision
TECHNICAL ANALYSIS BY @USELINK
✍️Company covered: Global Atomic $glo $gtalf with 1W chart and 1D chart with comments.
Thank you for your attention.
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