Categories: Energy / Mining Stocks
Topics: General Energy / Uranium Stocks

Cosa Resources (TSX-V: COSA)(OTC: COSAF) CEO Keith Bodnarchuk on New Uranium Floor & Drilling at Ursa

 

Gerardo Del Real: This is Gerardo Del Real with Resource Stock Digest. Joining me today is the president and CEO of Cosa Resources, Mr. Keith Bodnarchuk. Keith, how are you today?

Keith Bodnarchuk: I'm doing terrific, Gerardo. Thanks for having me.

Gerardo Del Real: Listen, you just closed a pretty robust financing. You are also drilling, I want to get to that. But before we get to that, we spoke earlier in the year and we talked about our shared enthusiasm for the uranium space and where we think the uranium price is going and the opportunity that that provides. And so we've had what I think is a healthy correction here that looks to have bottomed, I want to get your thoughts on uranium, and we don't need a target price, but definitely what your general sentiment is in regards to the spot price and the supply-demand fundamentals.

Keith Bodnarchuk: Yeah, definitely. I think you hit the nail on the head where you said it's a bit of a healthy correction. It's really just taking a bit of a breather where you saw the spot price go from north of $100 back down to $85, but it's already started to crawl back up to $90 and it really shows that there's a new, I guess, floor established, I think, for what the spot price of uranium will be. And it does look like we are on the start of a long-term, I guess the first inning of what's going to be a long-term uranium bull market. And there are a lot of catalysts that you'll see throughout 2024 that I think could once again cause upward pressure on that spot price of uranium. And this provides a good opportunity right now, I think, for investors to get in to buy the dips, as they say, and just focus on the fact that we are looking like a long-term uranium bull markets and take advantage of when the prices come off a bit.

Gerardo Del Real: Couldn't agree more. Let's talk the opportunity as it relates to Cosa. Financing, you're cashed up, six and a half million I believe was the final there. And you're drilling, I know Ursa is one of many projects, but definitely one that the company felt deserved to be vetted, but expedited, right?

Keith Bodnarchuk: Yeah, for sure. I think Ursa is the top priority for us throughout 2024, and with the closing of that financing, we do have over $8 million in the treasury and we will be fully funded throughout 2024. I think the goals of 2024 will be to do an aggressive drill program at Ursa both winter and summer, but also do target generation on our Orion and Aurora project. So come 2025, we'll make sure we do have that pipeline of drill-ready targets that are ready to go.

Gerardo Del Real: And listen, I always want to emphasize this because there's a lot of new eyes always in the uranium space. Anytime that we get the kind of move that we've seen the past six months or so, it's going to attract capital. And so for those that are not familiar with the Cosa team, because it's a relatively new company, can you provide a bit of background on you and the team? Because the accomplishments have been pretty spectacular.

Keith Bodnarchuk: Yeah, certainly. So you're right, we are a new story, but we are led by a team with a track record of discoveries in the Athabasca Basin, I think. Most recently we do have the entire discovery team of IsoEnergy's Hurricane Deposit, which is the highest grade deposit in the history of the Athabasca Basin, with an average grade of 34.5% uranium. But our best strength goes beyond that with Steve Blower who was the former VP of exploration of Denison Mines when they found Griffin Expanded Phoenix. Craig Perry, our strategic advisor, was a co-founding director of NexGen Energy, plus also the co-founding director and CEO of IsoEnergy. So really we've had a long track record of success, specifically in the Athabasca Basin through discovery. So this isn't our first time around in the space, we're really looking to do that again with Cosa.

Gerardo Del Real: I've been in uranium cycles where the team could announce that it's getting back together and just be a shell, and you would have a market cap twice what your current $24 million market cap is. The fact that you have the assets put together that you have, the fact that you have the cash in the treasury and that you're drilling, I think again speaks to the opportunity here. Anything to add to that, Keith?

Keith Bodnarchuk: No, agreed. I think just the market pay attention, we will have a lot of news flow here over the course of the year. We are fully funded throughout 2024 and beyond. And we're in great shape heading throughout this season, as we head into this, what looks like a long-term uranium bull market. So exciting days ahead for Cosa.

Gerardo Del Real: Looking forward to it. When can we expect a drilling update? We know that that is a major driver of value creation in the exploration space, right?

Keith Bodnarchuk: Yeah, certainly. So I think we are currently drilling, so I'd look for updates here over the course of the next few months, but importantly, we will be providing updates throughout the course of the year because we will be drilling throughout summertime too. So lots of upcoming catalysts and lots of upcoming opportunities to update the market on our drill progress.

Gerardo Del Real: Love it. Keith, looking forward to having you back on. Thanks for your time today.

Keith Bodnarchuk: Thanks, Gerardo.

Gerardo Del Real: All right. Chat soon. Cheers.

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