In a June 6 research report, Rodman & Renshaw analyst Heiko Ihle commented on results released June 5 by Fission Uranium Corp. (FCU:TSX; FCUUF:OTCQX; 2FU:FSE), stating that "results from the final assays of its winter program [confirmed] high-grade mineralization at the new R1515W zone at its PLS property. Six of eight holes were mineralized, with four returning multiple high-grade intervals."
In its press release, Fission Uranium, which is developing the Triple R deposit on its Patterson Lake South (PLS) property, stated assays from four holes returned "multiple high-grade intervals, including hole PLS17-557 (line 1530W), which returned 3.12% U3O8 over 8.5m in 1.24% U3O8 over 27.5m and 5.15% U3O8 over 2.0m in 1.71% U3O8 over 9.0m."
"We are impressed with the assay results, and believe that the R1515W zone could be a source of significant potential moving forward," Ihle wrote. "In addition, we highlight that only 2 of the 5 zones at PLS (R00E and R780E) are included within the current Triple R deposit resource estimate, suggesting that the upcoming resource estimate has the potential to impact current resources meaningfully."
Ihle also noted that mineralization on the trend "was extended 120 meters west of the R1515W zone," and stated that the company "views the corridor as a prospective area that hosts high- grade uranium further along the trend to the west approaching the high-grade boulder field. Due to these encouraging results, the company intends to continue exploring this prospective high-grade area as part of its summer drilling program."
Rodman & Renshaw views PLS as an "attractive long-term economic asset," Ihle wrote. "Although uranium prices remain subdued, we continue to view PLS as a world class development stage project that should continue to provide investors with some shelter from the current uranium price environment. Given that PLS is a non-producing asset, Fission is not forced to sell uranium into a weak market and may continue to stockpile resources until prices improve."
In conclusion, Ihle stated, "We continue to view Fission as a potential takeover target and believe shareholders should remain insulated from current uranium prices due to the fact that PLS is a non-producing asset."
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1) Tracy Salcedo compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She owns, or members of her immediate household or family own, securities of the following companies mentioned in this article: None. She is, or members of her immediate household or family are, paid by the following companies mentioned in this article: None.
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Disclosures from Rodman & Renshaw, Fission Uranium Corp. Company Update, June 6, 2017
I, Heiko F. Ihle, CFA , certify that 1) all of the views expressed in this report accurately reflect my personal views about any and all subject securities or issuers discussed; and 2) no part of my compensation was, is, or will be directly or indirectly related to the specific recommendation or views expressed in this research report; and 3) neither myself nor any members of my household is an officer, director or advisory board member of these companies.
None of the research analysts or the research analyst’s household has a financial interest in the securities of Fission Uranium Corp. (including, without limitation, any option, right, warrant, future, long or short position).
As of May 31, 2017 neither the Firm nor its affiliates beneficially own 1% or more of any class of common equity securities of Fission Uranium Corp.
Neither the research analyst nor the Firm has any material conflict of interest in of which the research analyst knows or has reason to know at the time of publication of this research report.
The research analyst principally responsible for preparation of the report does not receive compensation that is based upon any specific investment banking services or transaction but is compensated based on factors including total revenue and profitability of the Firm, a substantial portion of which is derived from investment banking services.
The Firm or its affiliates did not receive compensation from Fission Uranium Corp. for investment banking services within twelve months before, but will seek compensation from the companies mentioned in this report for investment banking services within three months following publication of the research report.
The Firm does not make a market in Fission Uranium Corp. as of the date of this research report.