A New Physical Uranium Player

A New Physical Uranium Player

By Resource Stock Digest Research


Uranium Royalty Corp. (NASDAQ: UROY)(TSX-V: URC) has just taken delivery of 348,068 pounds of U3O8.

This is part of its option to purchase US$10 million of physical uranium from Yellow Cake plc.

Uranium Royalty Corp. secured this option as part of its foundational investment in Yellow Cake when it IPO’d three years ago, in true contrarian fashion.

With the uranium sector now heating up — at least as evidenced by related stock performance — the resultant timing of the first physical delivery from that option is impeccable.
                           

And the physical uranium holdings are just one of several attributes attracting investors to Uranium Royalty Corp.

It also has royalties, as its name implies, on some of the best uranium mines in the world, including McArthur River and Cigar Lake.

CEO Scott Melbye made sure to remind the market:
 

“The addition of this direct physical uranium interest further diversifies our unique uranium-focused portfolio and adds a valuable asset to our balance sheet. Together with our recently announced proposed acquisitions of royalty interests in the McArthur River and Cigar Lake mines, we believe we are uniquely positioned to benefit from improving uranium prices."


This news comes just a day after the company began trading on the NASDAQ.

That makes Uranium Royalty Corp. (NASDAQ: UROY)(TSX-V: URC) the only vehicle on a major exchange that gives investors access to physical uranium and uranium royalties.

And it’s proving to be a potent combination.

You can learn more about the company in our report here.

Resource Stock Digest Research