Alberta to introduce ‘modern’ coal policy, including ban on new open-pit projects
The new policy will not affect those qualified as "advanced coal projects" such as the controversial Grassy Mountain mine.
Ross McElroy (left), president, and Dev Randhawa, CEO of Fission Uranium Ltd on site at the Triple R deposit, in the Western Athabasca Basin, Saskatchewan
Fission Uranium (FCU.T) released results from a maiden independent resource estimate on its Triple R deposit on the company’s 100% owned Patterson Lake South property in the Western Athabasca Basin, Saskatchewan.
The resource estimate was larger than expected, coming in at just over 105 million pounds in the indicated and inferred categories.
Highlights:
Here’s a link to the Fission news release.
The street was expecting 50-80 million pounds, which leads me to believe Fission’s stock will have a fire lit under it Monday, as investors try to determine what Triple R is worth.
Fission CEO Dev Randhawa told CEO.ca Friday he too was expecting a smaller resource, and noted that recent uranium takeoever transactions in the Athabasca Basin, where Fission’s deposit is located, ranged between $8 and $12 per pound of uranium in the ground.
With roughly 410 million shares outstanding on a fully diluted basis, investors now have some sense of what a transaction on Fission could be worth.
The deposit is also growing, with only 3 of 4 zones factored into the initial resource. There’s no telling how big Triple R could get with more drilling, and it’s already the third largest deposit in the Athabasca Basin, according to Fission.
There are reasons to be less enthusiastic. The uranium equities markets and spot markets have softened considerably in recent years. Additionally, there’s no active uranium mill close to Fission’s deposit currently. Further, the deposit is mostly under a shallow but sizable lake in Northern Saskatchewan. There’s also several years worth of studies and development work before a construction decision is made.
Still, Fission’s stock is likely to post strong gains on Monday. CEO Dev Randawa will be telling the story in New York City, Toronto and Montreal this week. He will be in Vancouver this Sunday and Monday with Fission president Ross McElroy for the Cambridge House Vancouver Resource Investment Conference.
Randawa is optimistic Fission’s good fortune will spill over to other junior explorers.
Discuss at http://chat.ceo.ca/FCU
See also: NexGen Energy Site Visit: All Signs Point to Arrow
No position in Fission at press time. This is not investment advice. Always do your own due diligence and talk to a licensed investment advisor before making an investment decision.
