According to market experts, Uranium will find itself in a dramatic supply deficit in a few years at the latest! That makes the few good uranium projects and thus uranium stocks more and more valuable. The calm before the storm still prevails! This is the perfect timing to build up your position! One of our top favourites shows how fast it can go: IsoEnergy has already exploded! But be careful: our discovery will soon do the same for Iso!
The calm before the storm! Uranium price is about to break out!
Drills are turning in Canada’s “hotspot”, right next to Cameco, NexGen, IsoEnergy and other ‘big players’!
This is where MEGA exploration successes beckon amid active mines!
An exclusive interview reveals why this uranium explorer can become the next multiplier!
For market insiders, it is already a foregone conclusion that the next uranium bull market will start very soon! Because the fundamental data speak a clear language. While a large part of global uranium production was shut down due to the pandemic and is only slowly being restarted, on the other hand, the number of reactors coming online is continuously increasing.
The COVID-19 standstill has almost entirely turned the uranium market inside out, which has led to a situation that has never been before, explained market observers. Up to now, there has never been a situation in which globally dominant producers buy the material they need via the spot market to meet their contractual delivery obligations. And that is what is now a deficit market!
If, on the other hand, you look at the current uranium price, you might think that everything is in the “Lot”. Because after a brilliant rally at the beginning of the year, the uranium price is consolidating in the range between around USD 31 and USD 34 per pound of U3O8. This “calm before the storm” is more likely to be due to the usual summer slump than it is fundamentally justified.
However, and this should also be emphasized positively, the consolidation that has been ongoing since around the beginning of May is proving to be a signal of strength in our opinion, which in turn can be seen as a gathering of power for further price increases especially because the most vital market phase for Uranium does not usually begin until the end of September!
Because of this right, almost explosive situation for the uranium sector, we consulted another expert, whom we asked for his opinion and his company.
Exclusive interview on the uranium market and one of the most exciting uranium companies
Jon Bey, President and CEO, of Standard Uranium Corp. (WKN: A2P4B8 / TSX-V: STND), gave us another exciting insight into the market and its company, which we have translated into German for you below.
JS Research: “Hi, Jon, thank you very much for taking the time to interview us. The current situation in the uranium market is fascinating. While the big players in the industry have not yet restarted their COVID-19 production and continue to buy their delivery obligations via the spot market, on the other hand, more and more reactors are going online. How do you assess the situation and what does that mean for Standard Uranium Corp. ”
Jon Bey: “Hello Jörg, thank you very much for giving you and your readers information about standard Uranium and the uranium market. The uranium market has been in the bear market since the Fukushima disaster in 2011. This was compounded by the shutdown of reactors, which then led to an oversupply on the uranium market. As a result, the uranium price plummeted and fell to a level at which even the highest-grade uranium mines could no longer produce economically. On the other hand, however, countries like China, for example, continued to diligently commission new reactors, which of course further increases the demand side.
At the beginning of this year, a longer-term and stronger upward movement finally set in, as the demand on the market again exceeded the supply! The market reacted late, which is already widening the gap between supply and demand. Because of the situation, which has worsened since 2011, it will not be so easy to recapture.
In 2018, after a lot of money had already been burned in the sector, many mines were forced to stop production to cope with impending bankruptcy. Among the decommissioned mines was one of the best uranium mines in the world, the McArthur River uranium mine.
This year, due to the global COVID-19 pandemic, almost all mines worldwide were closed, including Cameco’s other flagship mine, ‘Cigar Lake’. Also, the entire production from Kazakhstan and Namibia came to a standstill, which was then apparently too much for the market. It resulted in a more than 40% rally in the uranium price to over USD 34 per pound of U3O8.
This tremendous price increase made Uranium understandably one of the “hottest” raw materials, with the best annual performance to date. However, this has recently been pushed behind by the rapid rise in gold and silver prices. But still, even a few days ago, a stabilization tendency could be seen again after the prices fell slightly again when it became known that Cameco wants to restart its ‘Cigar Lake’ mine and Kazatomprom will also start production again. However, it is not yet known whether the big players in the industry will immediately run-up to their capacity limit, and so it remains to be seen!
However, the mine closings due to COVID-19 were only a catalyst for more strongly rising uranium prices. Shortly, further catalysts will take effect in the deficit market, which should drive up the spot price again significantly.
The most critical events will be the Russian suspension agreement, the Iranian sanctions and the traders coming back onto the market to conclude long-term uranium contracts with producers at prices of more than USD 50 per pound of Uranium.
Besides, there are rumours in the market that the Japanese might want to restart three of their decommissioned reactors, which would mean an additional demand for Uranium. ”
JS Research: “We read that the election of the American president should have no impact on the uranium market. The utilities would still act defensively and remain on the sidelines as it is still not clear where they can get their Uranium from as the White House has not yet decided on the extension of the uranium suspension agreement with Russia. Nonetheless, the negotiations behind the scenes would be in full swing.
Her colleague Mark Chalmers, CEO of Energy Fuels, said in a recent interview that his company is heavily involved in this process and that the US Department of Commerce is determined to negotiate an agreement that will bring significant benefits to the US uranium sector!
It is also rumoured behind closed doors that if it were not possible to negotiate a “sensible” agreement with Russia, it could not be ruled out that 120-150% tariffs will be levied on their uranium imports!
Isn’t that a clear sign that imports of Russian Uranium should be reduced in the long term? What do you think about it?”
Jon Bey: “You are very well informed, Mr Schulte, which is why I have nothing to add to your comments.”
JS Research: “Thank you very much, message understood! Let’s now talk about standard Uranium. Could you please introduce the company to our new readers? ”
Jon Bey: “I’d love to! The Standard Uranium Corp. (ISIN: CA85422Q1037 / WKN: A2P4B8 / TSX-V: STND) went public at the beginning of May this year. The timing was perfect, as the uranium price was rising sharply at that time and thus in the focus of investors.
After the successful IPO, we carried out a capital increase with a volume of CAD 4.5 million, which now enables us to work through the ongoing drilling program on our’ flagship’ project ‘Davidson River’ without any problems.
Standard Uranium is a Canadian uranium exploration company with projects in the productive and world-renowned Athabasca Basin in the mining-friendly Canadian province of Saskatchewan. You should also know that the ‘Athabasca Basin’ is home to the highest-grade uranium deposits in the world!
Our ‘Davidson River’ project is strategically located in the southwest area of the ‘Athabasca Basin’ where the high grade ‘Arrow’ from NexGen and ‘Triple-R’ from Fission Uranium is located. These two discoveries are, without a doubt, the largest uranium discoveries in the world in the past eight years.
We are currently assuming, and we want to prove this using drilling this year, that our ‘Davidson River’ project is the western extension of the ‘Patterson Lake Conductor’, in which both the ‘Arrow’ and the ‘Triple’ are located R’ occurrences. ”
Source: Standard Uranium
JS Research: “Can you give us more information about the Davidson River drill program?”
Jon Bey: “We started drilling on the Davidson River project on August 6th. The planning initially includes a 5,000 m drill program to test our ‘Warrior’ target with 14-16 holes with an average depth of around 400 m. It is essential to know that this drill program is the first-ever on our Davidson River project!
Source: Standard Uranium
Our stated goal is to prove our own “mirror theory” of the ‘Clearwater’ domain and to obtain data that will lead us to a significant high-grade discovery.
We have completed six holes to date, and the ongoing drill program continues to be excellent. We drill up to 100 m per day. Thanks to the superb work of the drilling team from Aggressive Drilling, we are even ahead of our set schedule. This drilling team is the same team that has been drilling for NexGen Energy in recent years. This group knows these particular types of rock, probably better than any other drilling company in the world.
At the beginning of the week, the time had finally come, because we had sent our first delivery of drill cores to the testing laboratory and expected to receive the first results in three to four weeks.
For anyone interested, we have recorded short videos of our drilling program, which can be found on Twitter $ STND and in future also on our standard Uranium YouTube channel. ”
JS Research: “Can you explain the ‘Clearwater Domain’ mirror theory to us in more detail?”
Jon Bey: “The ‘Clearwater Domain’ is an intrusive formation that separates the ‘Dalston Domain’, the host rock in the southwest corner of the ‘Athabasca Basin’. We currently believe that the ‘Clearwater Domain’ is the source of high-grade Uranium in this region!
The ‘Clearwater’ area was deposited in graphitic structures on the eastern side, where the projects’ Triple R’ from Fission Uranium, ‘Arrow’ from NexGen Energy and ‘Spitfire’ from Purepoint Uranium are located. We believe the same structures are on the western side of the Clearwater area where our Davidson River project is located. We already know, thanks to Purepoint Uranium’s lake discovery, that there is definitely Uranium on the west side! ”
Source: Standard Uranium
JS Research: “That all sounds very interesting and promising! Does Standard Uranium have enough cash to finance the next steps? ”
Jon Bey: “Yes, with around 3.7 million CAD cash, we are fully financed for the current drilling program. After completing this drill program, we will be making plans for a winter drill program based on the most interesting areas we have found in this drill campaign. We also have two other projects in the ‘Athabasca Basin’ that we want to work on from 2021. We will announce specific plans for this in the fourth quarter. ”
JS Research: “Why do you think this is a perfect time to buy standard uranium stocks?”
Jon Bey: “Standard Uranium is a young company with a world-class project. This project has been very little explored, but it has significant potential. This now has to be confirmed and lifted by means of drilling. The investors who are joining now are there from the very beginning. And the strategy of investing in a young company can be very profitable if it is successful!
Source: Standard Uranium
A look at the mega-performer NexGen shows what can happen in terms of price, which exploded in 2014 from around CAD 0.28 to over CAD 4 in 2017!
Source: Wallstreet: online.de
We are still a relatively unknown company that can become better known very quickly with good results. Many investors will become aware of our story in the coming weeks and months.
The macroeconomic outlook for Uranium is also looking excellent, which will definitely play our part! We expect the uranium price to rise significantly this year, as the deficit continues to grow while the supply will remain relatively the same.
There are currently more reactors on the grid than ever before, producing clean, carbon-free energy. There are also more than 50 reactors under construction!
JS Research: “Thank you very much for the very informative and insightful conversation. We wish you and the entire team all the best with the drilling work. We are already very excited about the first results, which we will be happy to report on! ”
There is actually nothing to add to these detailed explanations! As you can read for yourself, top management leaves nothing to chance. The approach was not only very selective when selecting a project, but also with the professionals who were allowed to drill on your property! Because none other than the NexGen drilling team, which has already made several proven top finds in the ‘Athabasca Basin’, has been hired for the drilling campaigns!
The company is managed by a proven team of experts who can come up with an impressive ‘track record’! These experts, who are at work at Standard Uranium, have already worked at NexGen and Fission Uranium, for which they have already discovered massive uranium deposits !!! The shareholders of these two companies could already cheer! But now it’s your turn!
Because when such experts change sides, who know the ‘Athabasca Basin’ like the back of their hand, you should be on your guard. Do these uranium legends already suspect the mega opportunities that the projects of Standard Uranium Corp. (WKN: A2P4B8 / TSX-V: STND) offer ??? Probably YES!
A direct hit, as with IsoEnergy – which we presented to you on May 2nd, 2020 at a rate of CAD 0.53 and is now quoted at CAD 1.17 – that operate in the same region should be possible.
We fondly remember the tip well with grades of 33.9% U3O8 over 8.5 m and 57.1% U3O8 over 5 m, the OPAXE, an institution that tracks drill results across all raw materials, as the second-best drill section in the world all raw materials!
Let’s imagine that standard Uranium lands such a hit! The share is an absolute super bargain and is currently valued at not even CAD 14.5 million on the stock exchange! What do you think? Right, the course is going to explode! And you can be fully involved because you already know the company and are hopefully positioned. If not, it is worthwhile to go into the current correction and put pieces in the depot!
High-grade as yet unexplored uranium project in the middle of the ‘hotspot’ of the ‘Athabasca Basin’!
Region set absolutely per mining!
Top management with proven success!
Relation to the ultra-successful uranium explorer NexGen!
Financially well positioned!
Strong ‘news flow’ expected soon!
I am brightening market situation for Uranium!
The low market capitalization of only around CAD 14.5 million!
Property is one of the most productive uranium trends in the world!
At Standard Uranium (WKN: A2P4B8 / TSX-V: STND) the foundation for a successful company development was laid two years ago through targeted project activities! The wells will gradually take the risk out of the project with the corresponding drilling results, which will attract many investors, especially since the uranium market is only just entering a bull market, which the general public will only notice much later.
The prioritization of the activities on the self-discovered sites shows that success has priority to stabilize the company’s development, whereby the potential for a rapid increase in the company’s value and the associated higher valuation of the shares is already foreseeable.
Anyone who – like us – is convinced of the potential of the uranium sector, has at least a sufficiently large starting position in the depot! It should pay off! At the latest, when the first results of this ‘Phase 1’ drilling campaign are published, things can suddenly go very quickly, and the course can explode depending on the hit!
The MEGA exciting success story of Standard Uranium (WKN: A2P4B8 / TSX-V: STND) is taking shape, and we have the rare opportunity to be there from the start! The management and the project are a perfect fit, which is the best foundation on which to build a success story! Don’t forget, in the exploration sector you buy management in particular! If it fits there, the successes on the project usually come automatically! So it is best to put a position in the depot before the publication of the first drilling results!
Best regards and maximum success with your investments!