Uranium Company Acquires New Claim in Athabasca Basin

Skyharbour Resources Ltd. (SYH:TSX.V; SYHBF:OTCQX; SC1P:FSE) released a press release on January 18, 2024, that it had acquired the Foster Property, a new uranium property, from Eagle Plains Resources Ltd. The company reports that this property will add 30,184 hectares to its extensive property portfolio.

The report stated that the new Foster property hosts 15 claims, and shows geological evidence of uranium and rare earth element mineralization and several anomalies, especially in the Great Plains and Red October zones on the property. The company believes that the property’s history shows strong evidence of uranium mineralization, as historical drilling on the property discovered the Great Plains structure and pitchblende mineralization, while drilling in 2012 in the Red October zone encountered uranium and rare earth elements.

The company has also staked seven claims on its other properties in the Athabasca basin, four claims on the Pluto Bay project, and two claims on the Newham Lake area.

Skyharbour Resources also announced that the company has engaged Winning Media L.L.C. and Plutus Invest and Consulting for marketing services. 

Uranium Prices Increased By 90%

On January 15, 2024, Christian Moess Laursen with the Wall Street Journal reported that uranium prices had reached record highs after an announcement from Kazatomprom, Kazakhstan’s nationalized uranium producer, that it would not reach projected production goals for the next two years. The report stated that these prices are higher than anything seen in over a decade.

Barbara Kollmeyer with MarketWatch also reported on January 15, 2023, that uranium prices had soared to over US$103 per pound, representing an increase of approximately 90%. Kollmeyer reports that this increase has been driven by shortages but also by purchasing on the part of entities like the Sprott Physical Uranium Trust, who seem to sense an opportunity as demand for green energy rises.

Potential 119% Return

Technical Analyst Clive Maund reviewed Skyharbour Resources in an overview of the uranium market on January 17, 2024. According to Maund, the company’s stock value moved sharply upwards due to concerns about the oil market as a result of tensions in the Middle East, and general support for nuclear power as a form of green energy.

Maund had also reviewed the company on January 7, 2024, and commented on what he believes are positive patterns in the company's stock. Maund commented, "The Accumulation line has help up very well on the correction, almost flatlining, which is bullish. With Skyharbour now deeply oversold and at a support level, this looks like an excellent point to buy or add positions ahead of renewed advance." 

Siddharth Rajeev with Fundamental Research Corp. rated Skyharbour Resources Ltd. as a “Buy” for potential investors on December 15, 2023. According to Rajeev, the company has a target share price of CA$0.53 per share and a potential return on investment of 119%.

The company has a number of catalysts, according to the company's investor presentation, including ongoing drilling at the Falcon Uranium Project and the Moore Uranium Project, as well as planning for a drill program on the East Preston Uranium Project.

Ownership and Share Structure

Reuters provided a breakdown of the company’s ownership and share structure, where management and shareholders own approximately 2.24% of the company. According to Reuters, President and CEO Jordan P. Trimble owns approximately 1.54% of the company with 2.79 million shares, while Director David Daniel Cates owns 0.70% of the company with 1.27 million shares.

Reuters reports that institutional investors own approximately 20.06% of the company, as Alps Advisors, Inc., owns 8.39% of the company with 15.19 million shares, Mirae Asset Global Investments (U.S.A.) L.L.C. owns 4.69% of the company with 8.49 million shares, Sprott Asset Management L.P. owns 2.74% of the company with 4.96 million shares, MMCAP Asset Management owns 2.02% of the company with 3.66 million shares, Incrementum A.G. owns 1.30% of the company with 2.36 million shares, Vident Investment Advisory, L.L.C. owns 0.34% of the company with 0.61 million shares, D.W.S. Investment Advisory, L.L.C. owns 0.33% of the company with 0.60 million shares, and BetaShares Capital Ltd. owns 0.25% of the company with 0.46 million shares.

According to Reuters, there are 181.16 million shares outstanding with 176.36 million free float traded shares, while the company has a market cap of CA$76.46 million and trades in the 52 week period between CA$0.32 and CA$0.64.

Important Disclosures:

1. Skyharbour Resources Ltd. is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$4,000 and US$5,000. 
2. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Skyharbour Resources Ltd.
3. Amanda Duvall wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee. T
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