Stick to established producers in uranium sector
Investors in the uranium sector should focus on established producers over developers due to the extremely slow and challenging permitting timelines for new projects.
The argument
The guest, a co-founder of NextGen Energy, cautioned that the uranium sector moves like a 'supertanker' and requires exceptional patience. Because of high volatility and the long lead times required to bring new supply online, he argued it is currently safer to stick with active producers.
The thesis, stress-tested
✓ What validates it
- ✓Stabilization of trading volumes and a reduction in daily price volatility
- ✓Permitting milestones achieved by major development projects
▸ Risks discussed
- ▸Extreme price volatility with double-digit percentage swings in single sessions
- ▸Extremely long permitting timelines that delay project economics
Hear it yourself
"The cofounder of Newfound Gold, Premium Nickel, and NextGen Energy, and the CEO of three d Capital, we're going to be diving into Sheldon's decades of experience in the commodities sector today to get his view on gold, silver, uranium, energy, and more."
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