GTI completes drilling ahead of establishing uranium resource
Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.
In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.
The below articles were written under our previous business model. We have kept these articles online here for your reference.
Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.
Click Here to View Latest Articles
GTI Resources Ltd (ASX:GTR) has completed drilling at Section 36, part of the companies broader Henry Mountains uranium and vanadium project in Utah.
This campaign which consisted of drilling and logging 40 holes, as well as the completion of geophysical logging in relation to an additional 31 historical drill holes was completed on time and within budget.
This comes at an interesting time for GTR in terms of movements in the uranium price.
In mid-2020, the long-term uranium price pushed above US$35 per pound for the first time since 2016, and it has held around these levels, albeit slipping just below that mark in the last few (see data below from www.cameco.com).
This has brought smaller players in the sector under the spotlight with strong performances from the likes of Boss Energy Ltd (ASX: BOE) more than trebling in the last 12 months.
Consequently, as GTI progresses towards its goal of identifying a low-cost, rapid exploration project, the group could well undergo a meaningful share price rerating.
Targeting establishment of uranium mineral resource estimate
Pending results from this campaign, management is targeting further drilling towards development of a Uranium Mineral Resource for Section 36 and other areas within the Henry Mountain Uranium and Vanadium Project, a potentially market-moving development for the company.
Given that the group is exploring in an area where the mineralisation is relatively shallow and there is already evidence of uranium, GTR’s chances of success could be described as better than some of its peers where a line of sight to identifying potentially economical mineralisation isn’t as clear.
GTR has approximately 1500 hectares of landholdings in the Henry Mountains region of Utah, within Garfield and Wayne Counties.
The region forms part of the prolific Colorado Plateau uranium province which historically provided the most important uranium resources in the US.
Sandstone-hosted ores have been mined in the region since 1904 and the mining region has historically produced in excess of 17.5 million tonnes@ 2,400ppm U3O8 (92 million pounds U3O8) and 12,500 ppm V2O5 (482 million pounds V2O5).
With the knowledge of historical success and the benefit of data gathered in the past, GTI presents as one of the better emerging players in the sector.
tagsURANIUM PRICE INCREASE URANIUM RESOURCE HENRY MOUNTAINS URANIUM AND VANADIUM DRILLING COMPLETED UTAH
General Information Only
S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.
Conflicts of Interest Notice
S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.
Publication Notice and Disclaimer
The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.
Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.
This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.