Fundamentally, the Uranium Sector Still Looks Good

March 9, 2012


The Energy Report: The Fukushima disaster, protests in Australia over lifting a ban on uranium exploration, and a fire aboard a Russian nuclear submarine in December indicate negative sentiment toward nuclear power. Why would investors risk exposure to a commodity that is so price sensitive to events like these?

Mark Lackey: The fundamentals of the uranium sector still look good. Worldwide, 1.3 billion (B) people lack electricity. In China, load growth for electricity is 10% annually; in India, 8%. That growth is unlikely to diminish any time soon. Nuclear power has to be considered as an option to meet demand.

I would remind you the nuclear industry did not end after the accident in Fukushima, Japan. Yes, there was a reaction; plants were shutdown in Japan and Germany. Subsequently, some startup of those same plants is planned. Furthermore, construction on 65 plants around the world did not stop.

There have been more inspections in China, India and France and that reassures people that everything has been built to specifications.

Read More

Dr. Copper In The House: Thom @ Large

January 27, 2012

By Thom Calandra

VANCOUVER, Canada — Vancouver’s two January resources get-ups, Cambridge House for investors and B.C. Round Up for geos & technicians, gave us flogging five-day rains, one superb NHL hockey match … and plenty of hard-asset bravado:

  • “I don’t own stocks any more; I own colored diamonds,” diamond seller Colin Ferguson told me at a private party I hosted with Cambridge House‘s Joe Martin. (I invite the guests and Joe entertains ’em.)  Mr. Ferguson, a 51-year-old Vancouver Island resident, says we’ll see reports of diamond warehousing by aggressive hedge funds. Worldwide demand for diamonds is on track to exceed supply by 7 million carats. The “coloreds,” champagnes (cognac hues), pinks, blues and greens, are beginning to flash in fashion-minded markets. Colin will be at Mr. Martin’s Palm Springs investment conference at Indian Wells, California, in two weeks. I want to see more of these stones. (See: www.

    Dr. Clarke At PMI Gold Booth

  • “Poly-metallic mines and properties are always in demand,” Tom Macneill says. I came across Mr. Macneill, a lifelong  Saskatchewan resident and longtime chief of 49 North Resources (FNR in Canada), across the street from Waterfront at lunchtime. Tom, sitting at a lunch counter, is sitting on his merchant bank’s 10-percent-plus ownership of surging DNI Metals (DNI). DNI is a northern Canada smorgasbord of elements in an expansive property portfolio. I am fortunate to own FNR and DNI after a fishing trip a couple years back with Tom, Bob Bishop, Doug Casey and others, way up there in Saskatchewan. (By the way, Mr. Macneill is hot on uranium prospectors right now — especially one big one whose first letter is C and its last O.)
  • I tested my latest think on the exhibit floor at the Joe show; copper-gold porphyrys will outpace market gains of all metals equities in coming weeks. “When Dr. Copper is in the house, it’s a very, very, very good house,” says Don Mosher. Don represents Riverstone Resources (RVS), a Burkina Faso prospector whose shares look ready to bust out after a largely ignored resource report. A geologist I rely on for analysis, Dr. Peter Megaw of Minaurum (Gold (MGG), Candente Gold and others, told me, “Copper is a big-company business. A billion tonnes of half-percent copper with the gold credit blended in, that takes care of a lot of the risk of taking on a development.”

Read More

Uracan Discovers Additional Significant Uranium Mineralization

December 16, 2011

Uracan Resources (OTC Other: URCFF; TSX-V: URC) has discovered new areas of significant uranium mineralization on the Pontbriand and Costebelle claim groups of its 100% owned North Shore Property in Quebec.  This work was part of the summer 2011 exploration program, in the assessment of the airborne radiometric anomalies and lake sediment anomalies that had not previously been explored.  Highlights from the exploration program include:

  • New mineralized zone (Joel zone) 2 kilometres southeast of A4 zone with up to 21 metres of 0.032% U3O8 (316ppm or 0.63 lbs/t) in surface channeling
  • Extensive areas of uranium mineralization encountered on Pontbriand claims

Read More

Uracan Upgrades Double S Resource Filed on Sedar

November 7, 2011

Uracan Resources (OTC Other: URCFF; TSX-V: URC) has filed an updated NI 43-101 compliant resource estimation report on the Double S Zone, located within Uracan’s 100% owned 1,000 Km2 North Shore Uranium Property in Quebec on SEDAR,

The combined overall resource at the Double S, TJ and Middle Zones contains a total indicated resource of 21.5 million tonnes at an average grade of 0.014% U3O8 containing 3.11 million kilograms (6.86 million pounds) of U3O8 using a 0.010% cutoff, and a total inferred resource estimate of 140.65 million tonnes at a weighted average grade of 0.012% U3O8 containing 16.826 million kilograms (37.095 million pounds) of uranium using a 0.010% cut-off.

Read More

Uracan Upgrades Double S Resource in Quebec

September 13, 2011

Uracan Resources Ltd. (TSX-V: URC and OTC Other: URCFF) announced an updated National Instrument (NI) 43-101 compliant indicated and inferred resource estimation for the Company’s Double S Zone, located within Uracan’s 100% owned 1,000 Km2North Shore Uranium Property in Quebec .

The previous resource estimation at the Double S Zone was entirely in the inferred category.  The updated Double S mineralized Zone hosts an indicated resource of 21.5 million tonnes at an average grade of 0.014% U3O8 containing 3.11 million kilograms (6.86 million pounds) of U3O8 and an inferred resource of 59.96 million tonnes at an average grade of 0.012% U3O8 containing 7.41 million kilograms (16.33 million pounds) of U3O8 using a 0.010% cutoff.

Read More

Uracan’s Winter 2011 Exploration Outlined Significant Uranium Mineralization

June 23, 2011

Uracan Resources (OTC Other: URCFF; TSX-V: URC) focused its 2011 winter drill program on two areas of its 100% owned North Shore property in Quebec, the Costebelle A4 and the CC11 zones.  The 18 hole, 3,156 meter drill program was designed to expand upon the previous year’s success, highlights of which include:

  • 10.5 meters of 0.048% U3O8 (483 ppm or 0.96 lbs/t) and 43.5 meters of 0.019% U3O8 (193 ppm or 0.38 lbs/t) in CA4-11-42;
  • 17.6 meters of 0.025% U3O8 (252 ppm or 0.5 lbs/t) in CA4-11-38, 15 meters of 0.034% U3O8 (337 ppm or 0.68 lbs/t) in CA4-11-46; and
  • 12.5 meters of 0.032% U3O8 (322 ppm or 0.64 lbs/t) in CC11-11-05.

The area with drill results received to date occurs along an approximately 600 meter length within an overall anomaly with a potential strike length of approximately 1,500 meters.  Mineralization is open along strike, with significant portions of the radiometric anomaly remaining to be tested by drilling.  Mineralization has been extended to approximately 200 meters down dip from the surface outcrop mineralization and remains open in most areas of the A4 zone.

Read More

Geoff Candy: Nuclear’s Renaissance Still On Track

June 8, 2011

GRONINGEN – The full cost of the Fukushima nuclear disaster is yet to be established but its impact on the nuclear sector as a whole may not be as bad as was first thought – even with the loss of Germany as an active participant.

Speaking on the Metals Weekly podcast, Steve Kidd, deputy director general at the World Nuclear Association, said that while the impact of Fukushima has got to be negative “there’s still substantial growth expected because some countries are very determined to have more nuclear at the moment, particularly the large developing countries like China and India and I don’t think that Fukushima is going to cause a significant change to their plans.”

He added. “The world still needs large quantities of clean energy and nuclear is one of the possible answers to that.  Fukushima doesn’t change that overall assessment…. I guess for many countries around the world the image of nuclear might have been tarnished slightly, but eventually the industry will get over that because the reality is that it’s a very good and very safe way of generating clean electricity in large quantities.”

Read More