Marenica Energy turns into Elevate Uranium as industry grows and money flows

0


Marenica shares now trade under the new name Elevate Uranium and the stock code “EL8”.

In November 2020, Marenica Energy (ASX: MEY) raised $ 5.4 million at $ 0.088 per share.

Just over six months later on Friday, that same stock closed at $ 0.35 a share – another uranium company seeing renewed investor enthusiasm after years of low interest in what has long been a beaten sector.

For those who had faith last November, this faith has been amply rewarded.

Today, the stock began trading under the new name Elevate Uranium (ASX: EL8), a title change that reflects how the company has grown beyond its original Marenica project in Namibia. positive.

Managing Director Murray Hill says the company’s name change is in recognition of the “significant” geographically diverse uranium assets it now owns.

“Elevate” also signals the company’s intention to grow and develop.

Three-pronged uranium strategy

Elevate is now presenting itself more clearly in the market as a title with a three-pronged strategy: very advanced projects in Namibia, a series of uranium deposits in Australia, as well as its own patented technology.

As the company describes, its technology Improve is a “disruptive enrichment process”.

“[The company] believes it can revolutionize surface uranium processing by reducing capital and operating costs by around 50%, thus improving the economics of all uranium projects that process uranium from surface area and specifically making lower grade projects much more competitive and financially viable, ”he says.

In recent months, the uranium industry in Australia has experienced a new lease of life.

Substantial sums of money (certainly by the standards of recent years) have been raised through placements and shareholder purchase plans, share prices have risen as investors begin – after a long hiatus – listen to uranium stories again, and the price of uranium seems to be going up. have firmed up and are ready for a rebound.

This new spirit has been spawned by the growing realization that a tightening of supply is not far away, with most US utilities having to negotiate new supply contracts and the number of reactors under construction and planned in the world continuing to grow.

Uranium provides basic energy without carbon

As Hill puts it, the new name “emphasizes our focus on uranium exploration, development and mining, which ultimately provides carbon-free base energy to fuel a cleaner future.” “.

“We have brought together significant uranium resources and significant uranium assets in two of the most stable, mining-friendly and reliable uranium-producing jurisdictions in the world,” he said. added.

Additionally, Elevate believes that these projects can be significantly improved through its U-pgrade enrichment process.

The company described itself as “positioned to take advantage of ‘first come’ ahead of other entirely new developments.”

Close to becoming a Namibian uranium producer

Elevate has a significant land position in Namibia’s Erongo Uranium Province, a country with an established and long-standing uranium mining industry.

The company has the largest uranium soil position in the southern African country covering three project areas: the Namib, Mile 72 and Marenica uranium projects.

Of these, Marenica has a significant inferred uranium resource of 61 million pounds or 27,670 tonnes and U-pgrade increases the grade more than 50 times to 5,000 parts per million uranium oxide.

Koppies, covering 6.4 km², has a mineralized paleochannel system ready for resource drilling.

Hirabeb contains a paleochannel that stretches over 36 km (wider than the English Channel), while Namib IV has a similar channel over 19 km long.

Three Australian projects in the uranium-friendly Northern Territory

In 2019, the company landed projects in Australia and holds 48 Mlb at an average grade of 859 ppm uranium oxide.

The wholly owned projects are Angela with a 31 Mlb resource, Minerva (uranium and high grade gold), Thatcher Soak with 11 Mlb and Oobagooma, which has a historic resource and therefore cannot be declared.

The first two projects are in the Northern Territory, the last two in Western Australia.

It is significant that the NT government maintains a website promoting the territory’s uranium potential, which contrasts with some anti-uranium mining policies in several states which, over the years, have plagued mining companies. uranium exploration, Victoria now has a long ban even on exploration.

In Angela’s case, applying U-pgrade technology will cut acid costs by 77%, according to the company.

Oobagooma is described as under-explored but with large areas of mineralization.

Elevate also owns minority interests in three NT projects controlled by Energy Metals (ASX: EME).

It owns 21% of the uranium-vanadium soil of Bigrlyi with 21Mlb, 23% of Walbiri with 16Mlb and 24% of Malawiri with a total resource of 1.2Mlb.



Source link

Leave A Reply

Your email address will not be published.