May 11, 2022 Lotus Resources Ltd. (ASX:LOT, BUY, A$0.40 target, David A. Talbot) provided details on management’s trip to the Kayelekera uranium project in Malawi. Management
April 13, 2022 Lotus Resources Ltd. (ASX:LOT, BUY, A$0.40 target, David A. Talbot) has completed a 29-hole (3,395m) drilling program at its Livingstonia prospect, located
March 28, 2022 Lotus Resources Ltd. (ASX:LOT, BUY, A$0.40 target, David A. Talbot) announced it has appointed Ms. Dixie Marshall as Non-Executive Director of the company.
This price increase is following a news article from Bloomberg yesterday speculating that the US might sanction Russian uranium supplier, which had previously been excluded from the Russian oil and gas import ban. UxC suggests that the article triggered a huge jump on Wednesday afternoon following its daily 2:30pm price cut-off. It appears that the response is mainly from traders bidding up the price.
Yesterday, Red Cloud hosted the first day of its three-day 2022 Very Pre-PDAC Mining Showcase, which featured 36 presenting uranium and battery metal companies including our keynote speakers Andrew Leyland, Head of Strategic Advisory at Benchmark Mineral Intelligence and Anna Bryndza, Executive Vice President at UxC, LLC and had over 1,000 participants registered in advance of the event. With this note, we want to provide a quick recap of the highlights from the conference for those who were unable to attend the live event. If you would like to attend Day Two and Three of Red Cloud’s 2022 Very Pre-PDAC Mining Showcase, register here. Replays are available on the Red Cloud website.
Uranium prices are up sharply on apparent Sprott Physical Uranium Trust (SPUT) buying as security of supply concerns emerge in light of economic sanctions levied against Russia in response to the Ukraine invasion. Funding of additional physical U3O8 purchases by SPUT may help propel prices above US$50/lb and perhaps close to incentive prices needed by project developers. We anticipate uranium equities to react very positively.
Lotus Resources (LOT) provided a resource estimate update (MRE) for its 85%-owned Kayelekera uranium project in Malawi. We view this update positively as it demonstrates resource growth of 23% to 46.3M lb U3O8, which is expected to extend life of mine. Cut-off grades were lowered to 200 from 300 ppm; and this should allow the inclusion of additional pounds, while planned ore sorting technology should allow higher head grades at the processing plant. While we await the DFS, these higher resources should extend LOM and improve project NAV, assuming ore sorting is incorporated into the mine plan. Although LOT trades above peers on an EV/lb basis at US$5.82 vs US$3.61, one must recall that almost all of this single asset company’s resource base is mineable, with 81% classified as M&I. Once this is considered in context of actual production and project NAV, LOT trades at a discount to its peers. We expect the gap to shrink as the DFS nears.
January 28, 2022 Lotus Resources Ltd. (ASX:LOT, BUY, A$0.40 target, David A. Talbot) announced results from its 35-hole (4,533m) RC drilling campaign at its 85%-owned
November 30, 2021 Lotus Resources Ltd. (ASX:LOT, BUY, A$0.40 target, David A. Talbot) announced that it has commenced drilling at its recently acquired and 100%-owned
UT announced the filing of a Restated Base Shelf Prospectus. SPUT may now issue up to US$3.5B of units in Canada during a 25-month period starting 10-Aug-21. It had already approached its previous ceiling of US$1.3B. The At-The-Market program has also been updated. We view the potential for SPUT to raise further funds as very good news for the entire uranium sector.