Source: Streetwise Reports
November 15, 2023 (Investorideas.com Newswire) Skyharbour has announced drill results from the recently completed 9,600m drill program at the Russell Lake Uranium Project in Saskatchewan, as the uranium market continues to move higher. Read on to see why analysts like this company's stock.
Skyharbour Resources Ltd. (SYH:TSX.V; SYHBF:OTCQX; SC1P:FSE) announced in a press release that it had received the assay results for the Russell Lake Uranium Project, which was the focus of a 9,600m drilling program in the Athabasca Basin, Saskatchewan. According to the press release, the drilling was focused on the Grayling Zone and the Fox Lake Trail area, where notable mineralization results were intercepted.
The drill results included 0.151% triuranium octoxide (U3O8) over 5.9m at a depth of 338.4m, including 0.366% U3O8 over 1.0m at a depth of 343.3m at drill hole RSL23-01, which represents one of the best drill results at the project. Drill hole RSL23-02 intersected 0.224% U3O8 over 1.0m along with 427ppm copper (Cu), 2760ppm nickel (Ni), 602ppm zinc (Zn), 1110ppm arsenic (As), and 811ppm vanadium (V).
Drilling on the Fox Lake Trail also found V, Ni, Cu, As, boron (B), and cobalt (Co).
The company was also encouraged by the presence of favorable geological formations, including faulting on the Grayling Zone, the presence of these other elements, thrust faults, and host lithologies that indicate the possibility of further mineralization.
The Grayling Zone and the Fox Lake Trail area also have large unexplored areas, including kilometers of conductors that have not been tested. Given the success of the inaugural drill program carried out by Skyharbour at Russell Lake, a follow-up program is being planned. The program will consist of 4,000 m - 5,000 m of drilling, set to commence this winter.
Jordan Trimble, the President and CEO of Skyharbour, commented, "We are very pleased with the inaugural drilling program at the Russell Lake Uranium Project. Numerous holes at the Grayling target area intersected significant zones of the uranium mineralization . . . Skyharbour has also expanded the extent of the known mineralized zones to over a kilometer at Grayling."
Uranium Market Reaching Historic Event
On October 3, 2023, Katusa Research discussed the possibility of a "black swan" event in the uranium market, which has, in the past, driven up uranium prices by as much as 600%.
According to Katusa, we are in the midst of such an event caused by tighter supply and increasing demand for nuclear power as governments pursue green energy options.
Stockhead released a report on September 21, 2023, detailing the progress of the uranium market over the last decade. This report states that uranium prices are reaching heights not yet seen since the 1970s and predicted record highs for the market: "Investors big on uranium reckon we could see a bull run to rival the mid-2000s surge to US$145/lb, while others are urging caution."
Resource Stock Digest released a report that stated that uranium is entering a peak cycle that could see prices rise to as much as CA$200 per pound.
A "Buy" for Investors
Earlier this year, Skyharbour was reviewed by Technical Analyst Clive Maund, who rated the company as a "Buy," but not speculative, for potential investors.
Maund is optimistic about the company's stock and commented, "On the long-term 5-year chart, we can see why the Head-and-Shoulders bottom has formed where it has - the price is down close to cyclical lows and in a zone of strong support which is clearly a good point for it to turn higher again."
A Fundamental Research report reviewed the company in 2022, which gave Skyharbour a target price of CA$0.75 per share and rated it as a "Buy." There were a number of positive aspects of the company that the report highlighted, including the company's strong foundation at its Russell Lake and Moore properties.
The Resource Stock Digest report reviewed Skyharbour positively, which it called "one to watch" in the current uranium market.
Skyharbour has several catalysts on the horizon, with partner companies North Shore Uranium and Tisdale Clean Energy planning to begin exploration programs beginning in early 2024 at the South Falcon and South Falcon East Projects, respectively. Shareholders can expect several other Skyharbour partners to be carrying out exploration programs in 2024 as well, in addition to the exploration and drilling carried out at the co-flagship Russell and Moore projects.
Ownership and Share Structure
Reuters provided a breakdown of the company's ownership and share structure, where management and insiders own approximately 2.19% of the company. President and CEO Jordan Trimble owns 1.73% of the company with 2.79 million shares, and Director David Cates owns 0.77% with 1.25 million shares.
The following Institutions own approx. 22% of the company. Alps Advisors, Inc. owns 6.69% with 11.4 million shares, Mirae Asset Global Investments LLC owns 4.91% with 8.36 million shares, Sprott Asset Management LP owns 3.07% with 4.96 million shares, Exchange Traded Concepts, LLC, owns 2.62% with 4.24 million shares, MMCAP Asset Management owns 2.26% with 3.66 million shares, Incrementum AG owns 1.38% with 2.35 million shares, Vident Investment Advisory, LLC, owns 0.38% with 0.61 million shares, and DWS Investment GmbH owns 0.37% with 0.60 million shares.
Skyharbour has two strategic corporate investors, with Denison Mines owning 11.4 million shares and Rio Tinto owning 3.5 million shares.
The company has over CA$4 million in the bank, with upwards of CA$10 million cash and stock potentially coming in from option partner payments over the next 24 months and a burn rate of about CA$150k/month.
There are 170.4 million shares outstanding, with 144.2 free-float traded shares. The company has a market cap of CA$95.4 million. It trades in the 52-week period between CA$0.32 and CA$0.63.
This news is published on the Investorideas.com Newswire - a global digital news source for investors and business leaders
Disclaimer/Disclosure: Investorideas.com is a digital publisher of third party sourced news, articles and equity research as well as creates original content, including video, interviews and articles. Original content created by investorideas is protected by copyright laws other than syndication rights. Our site does not make recommendations for purchases or sale of stocks, services or products. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. All investing involves risk and possible losses. This site is currently compensated for news publication and distribution, social media and marketing, content creation and more. Disclosure is posted for each compensated news release, content published /created if required but otherwise the news was not compensated for and was published for the sole interest of our readers and followers. Contact management and IR of each company directly regarding specific questions.
More disclaimer info: https://www.investorideas.com/About/Disclaimer.asp Learn more about publishing your news release and our other news services on the Investorideas.com newswire https://www.investorideas.com/News-Upload/