On January 24, 2024, Fiona Harvey with The Guardian reported that uranium prices are expected to break records next year as a result of the global move away from fossil fuels and initiatives on the part of several countries, including India and China, to bring new reactors online. According to the report, France aims to increase its share of nuclear power.
Interest in nuclear power has been renewed as countries look for power sources that reduce their emissions while keeping up with the growing global demand for electrical power.
Earlier this month, on January 15, 2024, Christian Moess Laursen with the Wall Street Journal reported that uranium prices were higher than they had been in over 15 years. The jump was prompted by an announcement from Kazatomprom (KAP:LSE), a nationalized uranium producer from Kazakhstan, that it would not be reaching its production goals for 2024 and 2025.
This coverage followed a report predating the announcement by Kazatomprom by Jinjoo Leefrom WSJ on January 9, 2024, which reported that the increase in uranium prices would last for quite some time and intensify as supply continued to constrict.
MarketWatch observed that the price for a pound of uranium was higher than it ever has been since 2007 at US$103, representing a 90% increase in price in 2023.
The recent National Opportunity to Restore Uranium Supply Services in America Act and the Prohibiting Russian Uranium Imports Act should slim down uranium supplies even further, according to a report from December 19, 2023, by Katusa Research. Russia is America's largest source of uranium. The bills were put forward in response to Russia's invasion of Ukraine and should raise the value of uranium sourced outside of Russia significantly.
If major uranium producers continue to struggle to meet demand, it seems clear that prices will continue to skyrocket. Savvy investors may want to keep an eye on uranium stocks for the foreseeable future.
Skyharbour Resources Ltd.
Skyharbour Resources Ltd. (SYH:TSX.V; SYHBF:OTCQX; SC1P:FSE) announced in a press release on January 30, 2024, that it had begun its winter drill program on its two flagship projects, the Russell Lake and Moore uranium projects.
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The drilling is expected to include 8,000m in the Athabasca Basin, and 18 to 22 drill holes across both properties. The company reports that it is fully funded and permitted for the project.
Jordan Trimble, the CEO and President of Skyharbour, commented, "We are thrilled to begin the winter drilling at our co-flagship Russell and Moore projects and anticipate plenty of news flow with ongoing, fully-funded programs right through the year. We are confident in the discovery potential and exploration upside at both projects given the high-grade mineralization in historical drill holes along with the many highly prospective target areas hosting the geology necessary for high-grade uranium deposition."
Skyharbour's partner, drill plan for the East Preston uranium project on January 25, 2024, where it expects to conduct between 1,000m and 1,500m of drilling in the Athabasca Basin. Skyharbour has a joint venture partnership with Azincourt, where Skyharbour holds a minority interest of 9.5% in the East Preston project., recently released its
In a press release on January 18, 2024, the company revealed that it had acquired several new prospective uranium exploration claims through online staking and through an agreement with Eagle Plains Resources Ltd. contributing to Skyharbour's large property portfolio, all of which are prospective for uranium.
These acquisitions have expanded Skyharbour's portfolio by 30,184 acres and have the potential to bring in new partnerships for the company.
Technical Analyst Clive Maund reviewed the company on January 7, 2024, and commented that he believes the company is at an excellent place for new investors to buy in. Maund commented, "The accumulation line has held up very well on the correction, almost flatlining, which is bullish."
A Fundamental Research Corp. report from December 15, 2023, by Siddharth Rajeev rated Skyharbour as a "Buy," with a target share price of CA$0.97 per share and a potential return on investment of 119%.
The company's investor presentation revealed a number of catalysts, including winter drill plans totaling 8,000m at the Russell and Moore Lake projects, along with drilling from partners Tisdale Clean Energy and North Shore Uranium at the South Falcon East and Falcon Uranium Projects.
Reuters provided a breakdown of the company's ownership and share structure, where management and insiders own approximately 2.47% of the company. According to Reuters, President and CEO Jordan P. Trimble owns 1.54% of the company with 2.79 million shares, Director David Daniel Cates owns 0.70% of the company with 1.27 million shares, and Chairman of the Board James Gaydon Pettit owns 0.23% of the company with 0.42 million shares.
Skyharbour reports that institutional investors own approximately 19.84% of the company, as Alps Advisors, Inc., owns 8.28% of the company with 14.99 million shares, Mirae Asset Global Investments (U.S.A) L.L.C. owns 4.83% of the company with 8.76 million shares, Sprott Asset Management L.P. owns 2.74% of the company with 4.96 million shares, M.M.C.A.P. Asset Management owns 2.02% of the company with 3.66 million shares, Incrementum AG owns 1.30% of the company with 2.36 million shares, Vident Investment Advisory, L.L.C. owns 0.34% of the company with 0.61 million shares, and DWS Investment GmbH owns 0.33% of the company with 0.60 million shares.
According to Refinitiv, there are 181.16 million shares outstanding with 176.36 million free float traded shares, while the company has a market cap of CA$101.5 million and trades in the 52-week period between CA$0.32 and CA$0.64.
Tisdale Clean Energy Corp.
Tisdale Clean Energy Corp. (TCEC:CSE) Announced in a press release on December 22, 2023, that it had closed a private placement worth CA$775,000, which the company intends to use as general working capital.
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Clive Maund covered Tisdale Clean Energy Corp. on January 17, 2024, and recommended that investors consider Tisdale's stock as an opportunity while uranium prices break records.
The company has been covered extensively by analysts, who believe that the company could be a profitable option for investors looking to get in on green energy as governments ramp up efforts to replace fossil fuels.
Michael Ballanger spoke with Streetwise Reports about Tisdale on January 16, 2024, where he stated that he would consider investing in the company. Ballinger commented, "Moving to a micro-cap explorer like Tisdale Clean Energy Corp. takes me out of the CA$90 million market cap . . . and into a CA$2.9 million market cap in TCEC, a 30-times differential."
In terms of catalysts, the company is planning a drill program on the South Falcon East uranium & thorium project for 2024.
Refinitive reported CEO and Director Alex Klenman as the primary investor in the company, with 3.70% in the company and 0.69 million shares. According to Refinitiv, the company has 18.69 million shares outstanding with 18 million free float traded shares, while the company has a market cap of CA$2.63 million and trades in the 52-week period between CA$0.14 and CA$0.73.
Atha Energy Corp.
Atha Energy Corp (SASKF:OTCMKTS;SASK:CA) recently applied to be listed on the TSXV and claims to have the Athabasca Basin's largest land package, totaling 3.8mm acres.
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On January 17, the company reported the results of its large-scale electromagnetic survey in a press release. Atha stated that it identified six targets across the North Rim, East Rim, and Cable Bay that show evidence of uranium mineralization and plans on continuing the survey across another 12 projects.
The same day, Clive Maund, Streetwise Reports listed Atha Energy Corp. as a company to keep an eye on as uranium prices continue to rise. Maund has covered the company extensively as a potential opportunity for investors in the uranium space.
Maund also reviewed the company on December 7, 2023, where he rated the company as a "Strong Buy here for all timeframes" and stated that the company is "not regarded as being unduly speculative." In an examination of the company's stock patterns, Maund stated, "Today's volume breakout portends a breakout soon above the nearby resistance leading to an initial run to the higher resistance level shown which it should eventually succeed in breaking above to advance to still higher levels."
On January 8, 2024, Maund provided an update on Atha, where he reviewed the company positively and advised investors to "stay long, and this is regarded as another good point to buy or add to positions."
Atha's investor presentation discusses a number of catalysts, including an expansion project on the company's Angilak project and the GMZ corridor and a plan to follow up on drill-ready targets in the Athabasca Basin.
Refinitiv provided a breakdown of the company's ownership and share structure, where management and insiders own approximately 6.86% of the company. According to Refinitiv, Chairman Mike Castanho owns 2.22% of the company with 3.08 million shares, Director Blake Albert Steele owns 2.16% of the company with 3.00 million shares, Director Sean Michael Richardson Kallir owns 1.80% of the company with 2.50 million shares, Director Morgan Tincher owns 0.36% of the company with 0.50 million shares, and Director Jeffrey Barber owns 0.32% of the company with 0.45 million shares.
Strategic investor Timothy A. Young owns 12.67% of the company with 17.57 million shares, while Matthew J. Mason owns 11.63% with 16.12 million shares.
Refinitiv reports that institutional investors own 0.30% of the company in the form of Purpose Investments Inc., which holds 0.41 million shares.
According to Refinitiv, there are 138.61 million shares outstanding, with 95.4 million free float traded shares, while the company has a market cap of CA$120.96 million and trades in the 52-week period between CA$0.77 and CA$1.90.
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- Skyharbour Resources Ltd. and Tisdale Clean Energy Corp. are a billboard sponsors of Streetwise Reports and pays SWR a monthly sponsorship fee between US$4,000 and US$5,000.
- As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Skyharbour Resources Ltd and Tisdale Clean Energy Corp.
- Amanda Duvall wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee.
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