Drilling to Fulfill America’s New Uranium Mandate
Uranium Energy Corp. (NYSE-American: UEC) — currently trading below US$1.70 per share — has resumed drilling and wellfield development at its Burke Hollow in-situ recovery uranium project in South Texas as part of the company’s progression toward becoming a reliable supplier to the newly-created $1.5B US Uranium Reserve.
The current drill program at Burke Hollow — which is being heralded as the newest and largest in-situ recovery wellfield under development in the United States — will consist of a minimum of 30 exploration and delineation holes to further define five mineralized targets.
Importantly, UEC has received all four of its major permits required for uranium extraction at Burke Hollow from the Texas Commission on Environmental Quality and the EPA.
UEC president & CEO, Amir Adnani, commented via press release:
For speculators, it’s important to note that — due to consolidation in the North American uranium industry over the last decade — UEC is one of only a handful of US-based uranium companies positioned to become a near-term producer and contributor to the new national uranium reserve.
Uranium Energy’s VP of Resource Development, Andrew Kurrus, added:
Catalysts expected to generate news flow for UEC in the coming quarters, include:
- Advancement of the Burke Hollow, Palangana, Goliad and projects, Texas.
- Advancement of the Reno Creek project, Wyoming, where the fully permitted portion of the project boasts 23.97 million tons grading 0.04% U3O8 containing 18.71 million pounds.
- Potential for higher uranium prices resulting from continued supply disruption coupled with strong demand; recent move from ~24/lb to ~30/lb.
Keep in mind also that UEC’s Texas operations are anchored by the company’s fully licensed and permitted Hobson Processing Plant (below).
Earlier this month, Haywood Securities confirmed its Buy rating on UEC shares with a price target of C$2.60 per share citing “maximum upside exposure amidst promising sector fundamentals.”
With no less than four fully-permitted ISR uranium projects in the US with a 4MM/lb per year production profile — now is an opportune time to be taking a closer look at UEC as a potential future leader in America’s resurgent uranium sector.
Be sure to click here for our most recent report on Uranium Energy Corp.
Yours in profits,
Editor, Resource Stock Digest
Mike Fagan has mining in his blood. As a teenager he staked countless gold and silver properties in Nevada alongside his dad, Brian Fagan, who created the Prospect Generator model that’s still widely used today in the resource space. One of those staking projects was put into production by a major Canadian mining company — a truly rare and profitable experience. That background uniquely qualifies him as a mining stock speculator. One of the most well-known names in the business, Mike is now putting that experience to use for the benefit of Resource Stock Digest and Hard Asset Digest readers.