The Thelon Basin is a strategic area for uranium development in the well-known Athabasca area. In that vein, Generation Uranium Inc. (the “Company or Generation (TSXV; GEN) offers a promising investment opportunity. This combination of an outstanding junior with an exemplary uranium property is a potential goldmine for investors interested in a uranium proxy or a direct investment.
“The world needs more nuclear to achieve a low cost, reliable and greener future of energy and Canada is the second largest producer of Uranium in the world at 15%, behind Russia friendly K.”Canada is home to the Athabasca Basin and the Thelon Basin, two of the highest-grade uranium districts in the world. Global Yellowcake supply is set to reach 145M lbs in 2024, but demand is already at 180M lbs, representing a roughly 35M lbs deficit.
“The World Nuclear Association expects demand to nearly double 300M lbs by 2040. Nuclear Power must triple by 2050 to meet the Paris Accord goal of global temperature reduction.
For those reading impaired, here is the Company presentation. The word ‘Uranium’ should be enough to pique investor interest, but if not yet or for rock sitters, the Company has released some great news.
I’ll fill in the blanks momentarily, but recently, the Company engaged with APEX Geoscience Ltd. (“APEX”) to provide geological consulting services regarding the Yath Uranium Project (“Yath”) located in Nunavut, Canada.
“We are pleased to engage APEX Geoscience with follow-on consultation work, stated Anthony Zelen, Generation CEO. “Their expertise in geophysical data analysis will greatly enhance our understanding of Yath and provide important insights needed to prepare for our expected upcoming drill program in the months ahead.”
Trust me, this is good news, but we should not get into the geophysical weeds of the process until we get into GEN’s Yath project details further down.
Second, many sources quote that the price of uranium has risen between 233%-255%.
- The uranium market still below maximum growth
- Price rises reflect potential
- Behemoths Cameco 52-week range CDN48.00 to CDN76.00: Currently CDN55.00.
Generation Uranium (Boosted from a previous piece—edited—as the news is still great)
Let’s get to the Thelon Basin. Generation’s Yath Project (“Yath”) is located in the Thelon Basin mining jurisdiction, which exhibits strategic land positioning and is situated along the trend from the 43 million lbs Lac 50 uranium deposit being advanced by Latitude Uranium, which ATHA Energy Corp is currently acquiring.
The chart above shows some fascinating action, both in share price and volume. The shares have moved from CDN0.10 in February 2024 to CDN0.40 currently, a significant increase four times in about six months. I wish my stocks would do that well.
The Thelon Basin is smack in the middle of the Athabasca.
One exciting development is that the Company has attracted significant media interest. In point form over the last few months:
- Generation Uranium to Begin Exploration Program On Its 100% Wholly Owned Yath Project in Nunavut, Canada
- Generation Uranium Significantly Expands Flagship Yath Uranium Project in Nunavut, Canada
- Canada Poised to Reclaim Title as World’s Largest Uranium Producer
- GEN is positioned to contribute significantly to Canada’s uranium production growth, with its Yath Project located in the prolific and under-explored Thelon Basin in Nunavut.
- The company announced that it has expanded its project portfolio by strategically acquiring the Yellow Frog and Pink Toad projects on the Angilak Trend in the Yath Basin, Nunavut Territory, Canada.
“Our 100% wholly owned Yath Project is located in the prolific and under-explored Thelon Basin in Nunavut, Canada. Situated along the trend from the 43 million lbs Lac 50 uranium deposit being advanced by Latitude Uranium, a company currently being acquired by ATHA Energy Corp for an all-share acquisition valued at CAD 64.7M.
Global uranium production is projected to reach over 75,000 tonnes by 2030, up from around 65,000 tonnes last year. Uranium prices have multiplied five-fold since 2016, heavily driven by China’s ballooning demand (though they have cooled recently). While that seems a lot, identified uranium resources total 5.5 million metric tons, and an additional 10.5 million metric tons remain undiscovered—a roughly 230-year supply at today’s consumption rate in total.
Uranium/Nuclear is an uber-necessary market with almost ridiculous growth potential. GEN is a reasonably priced proxy based on position, share price, and the almost innate growth of nuclear Power as the world progresses past the entire fossil regime.
Don’t believe me? In early June 2024, Bill Gates and his energy company TerraPower broke ground in Kemmerer, Wyo., on its new Natrium nuclear power plant. The company applied to the Nuclear Regulatory Commission for a construction permit in March.
Are you smarter than Bill, support climate change, or both? Get some Generation Uranium, be somewhat patient, and look at the chart daily.
It should work out.
Bob Beaty
For over 30 years, Bob Beaty has been explaining concepts and companies to the global investment community. One of the original writers for Jim Cramer’s Thestreet.com, he also wrote for AOL (Can/US), the Globe and Mail, and the Huffington Post. Over that period, he illuminated small-cap companies to investors with wit and pith but mostly opinion and facts. Investing should be fun. Pedantic, staid content is no fun.
Before embarking on his writing career, Bob had a successful international journey in the finance industry. He served as a broker, derivatives product manager, and a Director of London's Credit Suisse subsidiary. His career spanned across major financial hubs including Toronto, Vancouver, and the UK, giving him a unique global perspective. (He is still fondly remembering those English client lunches.)
Other than everything Groucho Marx and George Carlin ever said, Bob lives by a simple credo;
‘Never do anything the person standing in front of you can't understand.’ Hunter S. Thompson.
Let’s go.
