Tisdale Clean Energy (CSE: TCEC)(OTC: TCEFF) CEO Alex Klenman on Upcoming Maiden Drill Program at Flagship South Falcon East Uranium Project, Saskatchewan
Gerardo Del Real: This is Gerardo Del Real with Resource Stock Digest. Joining me today is the CEO of Tisdale Clean Energy — Mr. Alex Klenman. Alex, it's great to have you back on. We are overdue for this conversation. How are you, sir?
Alex Klenman: I’m well. Thank you for having me… and your introductions are, above all else in this business, the best! So thank you for that.
Gerardo Del Real: I absolutely appreciate the kind words. I’ll tell you what I really like, Alex… I like the uranium sector. I like the setup. I think we're about to have the second leg higher here for the uranium equities.
It's interesting to me that when I look at a company like Tisdale, what sticks out like a sore thumb are two things: One, tiny market cap; did not participate in the first leg up, which I like as far as an introduction to our audience. And two, the share structure and the market cap. Great share structure and a tiny market cap. I want to get into all of that. Tell us about Tisdale.
Alex Klenman: Sure, Tisdale is an advanced exploration company. We have an earn-in on a 7 million pound deposit in the Athabasca Basin with Skyharbor Resources. I'm sure your listeners and your readers know all about Skyharbor. I've worked with them through Azincourt Energy. I have a great relationship with Jordan Trimble, the CEO. But this was their only deposit. So we've been able to cut a deal with them to develop the deposit.
As you mentioned, we have a tight capital structure. This company has really just been hidden for the last year and a half. We've not marketed the company for a variety of reasons. So here we are, and I think the timing is right.
As you mentioned, there's a good feel in the uranium space right now. We've got a great spot price with a little bit of sentiment and a little bit of wind in our sails. And we're looking forward to creating something here with Tisdale.
Gerardo Del Real: Let's talk about the market cap. Where’s it at today?
Alex Klenman: We're trading at C$0.16. We've got 16 million shares out. So the math is pretty low. There's a function here. We were trading at C$0.40 for the longest time. There was a spike in the price but we had never marketed the company so there really was no organic activity in our market.
And what happened was, I guess, the market changes and people exited. The last financing we did was at C$0.40 per share. So here we are at C$0.16 - C$0.17, which is well below the last financing. If you go through our cap history, you'll see that the financings were all north of C$0.18.
It's an old vehicle; it's been around. So there's no hidden paper, there's no escrow, there's no 2-cent paper, 5-cent paper, or anything like that. It's a really nice operation, and it sets up well to do what we're doing, which is to let people know who we are and where we are and what we're doing. I think that market cap is going to grow.
Gerardo Del Real: What comes next? How does the market cap grow outside of getting more eyes on the stock and, obviously, what I believe is going to be a much, much better uranium environment.
Alex Klenman: Yeah, I think you're absolutely right. I think there are a couple of things here. Obviously, the spot price and sentiment is going to carry us a little bit. Awareness is going to get us a little bit more of an accurate market cap.
We're still pretty tight at 16 million shares out. Accuracy in the market cap is not something that we can really bank on. But look at it this way… we have a deposit to develop so we're not looking to poke holes and hopefully find something higher-risk exploration.
The summary here is we need to develop this 7 million-pound deposit. How big can it be… what can the grade ultimately be? So that's our goal. We’re well capitalized. We have some cash in the bank; about a million bucks. So we're going to push forward here and get some flow-through over the next three to five months and get drilling in early 2024.
And we're going to go in and do our first preliminary drill program at South Falcon East, which is the project. It's almost 13,000 hectares. It's in a really good section of the basin, and there are lots of deposits in and around where we are.
We just want to go in and twin some holes and get a good feel for our first real field program at the site. And then, over time, it's really going to be how much money can we raise and how much drilling can we do. The developments of that asset will back this company.
Right now, we're getting 30 cents per pound credit, and that's probably accurate. We haven't done a lot of work. We've done a little bit but not enough. And we haven't really earned a percentage of the project yet.
Once we start to earn into the project, that 30 cents can grow to a dollar a pound and beyond. And when you start to do the math like that, you can see how this opportunity is right there.
Gerardo Del Real: Alex, I think it's going to be a very, very fruitful and productive couple of quarters coming up. Glad to be telling the story at this point in the story. And I'm really looking forward to having you back on here hopefully soon.
Alex Klenman: Yeah, I appreciate it. We'll keep your guys informed as we move along. But really, the coming out party for Tisdale is beginning now. No one knows about it; this is a ground floor opportunity.
This is actually the 52-week low, in this neighborhood. It's the cheapest the stock has probably ever been. And it’s not a function of what we're doing and what we haven't done or any results in the field. This is simply just a structured situation in a quiet company that no one knows about. So here we are.
Gerardo Del Real: Hopefully we can change that! Thanks again, Alex.
Alex Klenman: Much appreciated. Thanks, GerardoClick here to see more from Tisdale Clean Energy Corp.