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A Focus on Nuclear Energy, Uranium, and Gold

VRIC 2024 was a success. It is always a great chance to see everyone in person and get a real sense of where people think the market is going. There were plenty of great speakers and presentations with interesting perspectives.

Key takeaways: nickel prices are low, but the realization of a lithium ion battery is really more of a nickel-graphite battery, along with the issues regarding supply chain being recognized in the media. The tesla battery has 50 kg of nickel in it. Finding clean deposits with environmentally sound practices that are not in politically difficult regions is challenging. Gold is poised for another strong year as uncertainty and misinformation from pundits surges, but the second nuclear revolution is here!

It was a small event from some of the big bull markets of the past, but the mood was optimistic. Even though people did not feel optimistic about the economy. Investors in the mining sector are aware of a couple things:

  • The cyclical nature of commodities and markets
  • Finding opportunities becomes easier in downturns – the companies making milestones make noise. 
  • You can build your position over time. (your mining portfolio is only a portion of you entire portfolio!) 
  • The narrative has shifted – media and governments are increasingly recognizing the critical role of metals for future technological advancements. 

We have always stressed that it doesn’t take much to move the mining sector. It is a small market.

Uranium has played the leading role in the sector’s recent dynamics. We’ve been talking about uranium and nuclear energy for a while, investing in exploration companies and industry leaders like Cameco. The overall junior mining market had a tough year, and even Rick Rule quipped that most people’s junior portfolio is down 70%.

We remain bullish on Cameco, as discussed in our YouTube channel, but it doesn’t count for this article as we’ve been buying it recently. Another standout opportunity is the Sprott Uranium Trust, an ideal option for those new or hesitant about uranium investments. Sprott has a wealth of knowledge in mining and launched this Trust a few years ago and it has performed as hoped.

But, for this article we wanted to look at a couple new companies;

We are looking at other exploration companies with significant Athabasca basin upside that could provide significant growth, and a feeder system to the majors.. We also want projects that have near term insitu opportunities as they are considerably cheaper to bring to markets, and with spot uranium hovering around $100.

IsoEnergy (CVE: ISO) – This diversified uranium company boasts a rich portfolio of both current and historical mineral resources. They have exposure to short-, and long-term projects in top tier regions that can be a feeder system for producers. With projects like the high-grade Hurricane deposit at Larocque East in Saskatchewan, IsoEnergy is well-positioned to supply uranium to major producers. The company’s recent $20 million private placement and the merger with Consolidated Uranium, a company with some outstanding assets, underscores its growth potential.

Nuclear Fuels (CNSX: NF)– an aggressive exploration company of district-scale In-Situ Recovery (“ISR”) uranium projects in proven and prolific jurisdictions. It has an historic resource with a 33 mile trend. This offers a potentially shorter time to production. This company is supported by Encore Energy, and has a unique deal with Encore that encourages Nuclear Fuel to succeed.

The narrative around nuclear is a driving force and finding producers, near term producers and excellent explorers could set you up for a significant run.

We also see undervalued potential in gold, and its demand is understated. Despite the buzz around blockchain and smart contracts, the idealistic notion that these currencies are to be outside of the globalist elite, or government is not serious. All the globalists have been making products to sell and have become surrogate owners of bitcoin, ironically making them partners with anarcho capitalists!. It is fascinating to see how that narrative has shifted! It is just a matter of time before more regulation, and then a tax bill from any gains people have ever made in these products. Uncle Sam does not let tax debt slide.

Gold remains a steadfast store of wealth, backed by 6,000 years of history. With central banks increasingly investing in gold, it’s clear that its significance persists regardless of technological advancements or narrative shifts. There are quite a few great projects in the gold space, but one that is unloved but with a huge upside is:

Goliath Resources (GOT.V)– One such gold investment is Goliath Resources, a relatively undiscovered gem in the mining sector. Goliath Resources junior resource exploration company of precious metal projects in the prolific Golden Triangle of British Columbia Recent developments, including significant in-the-money warrants and expansion projects, indicate its promising trajectory. With discoveries like the high-grade Full Contact Outcrop and Treasure Island, Goliath Resources is a stock we have previously owned shares of, but we are picking up more off the back of VRIC.

One of the key shareholders is Crescat Capital and we are fortunate to have Dr. Quentin Hennigh and the team producing a weekly show discussing their investments and having his insights, his track record and wealth of experience is a crucial resource. I am not a geologist so my basic insights on what is developing is just that, basic. Watching Crescat gives one confidence in what is developing here.





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