Uranium Explorer Targets Premium Athabasca Basin Discovery

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2. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Terra Clean Energy Corp. 
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Terra Clean Energy Corp. (TCEC:CSE; TCEFF:OTC; T1KC:FSE) announced it has mobilized crew and equipment at the South Falcon East Uranium Project in Saskatchewan to start an extensive winter drilling program.

The project, just 18 kilometers outside the Athabasca Basin, known for hosting the world's highest-grade uranium deposits. South Falcon East's Fraser Lakes B Uranium deposit is also about 50 kilometers from the Key Lake uranium mill and former mine, the company said in a release.

The program will consist of up to 2,500 meters of drilling executed by Terralogic Exploration Inc. under the supervision of TerraLogic Project Manager Brett Lavigne and Terra Clean Vice President Exploration C. Trevor Perkins.

"We are very happy to be getting back on the ground at South Falcon East and continue what we started in 2024," Perkins said. "We are eager to expand the existing deposit as well as characterize and explore the identified north-northwest structure and related complexity . . .  This is presenting the ideal structural scenario where uranium sourced from the mineralized pegmatites and surrounding rock can be concentrated and give us a high-grade basement deposit. This has been seen at other deposits, and we want to find it here."

Terra Clean Energy Corp. entered into an option agreement with SkyHarbour Resources Ltd. in 2022 to earn up to a 75% interest in the 12,234-hectare South Falcon East property. It has a historical Inferred resource of about 7 million pounds (7 Mlb) of U3O8 at 0.03% and 5.3 Mlb of thorium dioxide at 0.023% within 10,354,926 tons using a U3O8 cutoff grade of 0.01%.

Expanding on Winter 2024 Program

Terra Clean's inaugural drill program last year confirmed the presence of uranium mineralized pegmatites and graphitic pelitic paragneiss along the Way Lake Conductor at South Falcon East, the company said.

"Graphitic pelitic paragneiss are a key lithology associated with uranium deposits within the eastern Athabasca Basin, and their presence at the Fraser Lakes B deposit is a good indication of the potential for high-grade basement-hosted unconformity-related uranium mineralization, in addition to the known pegmatite/alaskite-hosted uranium mineralization at the deposit," the company said in a release.

Technical Analyst Clive Maund wrote on January 13 that "the Athabasca Basin is the best place in the world to explore for uranium." After big changes to the leadership of the company, Maund said its stock is "believed to have considerable upside potential from its current price."

The priority of the Winter 2025 program is to expand on the Winter 2024 program by extending the mineralized footprint associated with the Fraser Lakes B deposit and test nearby targets with prospective alteration and structure identified in historical drilling, Terra Clean said.

"We have a unique and exceptional exploration opportunity that includes continuing to expand the Fraser Lakes B uranium deposit, which is open in all directions and at depth, as well as pursuing high-grade basement-hosted uranium deposits," Perkins said. "The team is very excited about the prospects identified and eager to unlock the abundance of value for shareholders."

Terra Clean said the Fraser Lakes B deposit will be a primary focus of early drilling efforts, but Terra Clean "has ample additional drill-ready targets along the Way Lake conductor at South Falcon East." One of these is the T-Bone Lake area, just north of Fraser Lakes B, where limited drilling encountered highly prospective clay alteration, anomalous radioactivity, and uranium mineralization (including up to 0.055% U3O8 over 0.9 meters at 39.5 meters depth in drill hole WYL-10-53) associated with a north-northwest trending fault cross-cutting the northeast-trending Way Lake conductor.

'Best Place in the World' for Uranium

Technical Analyst Clive Maund wrote on January 13 that "the Athabasca Basin is the best place in the world to explore for uranium." After big changes to the leadership of the company, Maund said its stock is "believed to have considerable upside potential from its current price."

Terra Clean's deposits in the Athabasca Basin "are at shallow depth and close to infrastructure, thus making them more economic to mine and in any case the ongoing exploration and very considerable exploration potential of the property will likely increase both the grade and the magnitude of the resource going forward," Maund wrote.

The analyst said it was "interesting to observe on a three-month chart that a small Cup & Handle base appears to have formed since late October with the chances of this being a genuine base pattern improved by the Accumulation line and momentum (MACD) trending higher since November and the existence of an embedded Double Bottom near to its lows."

Maund continued, "For both fundamental and technical reasons, it thus looks likely that Terra Clean Energy will break higher into a new bull market soon, and it is rated an Immediate Strong Buy for all time horizons."

The Catalyst: A Renaissance in Nuclear Power?

The growth of artificial intelligence, the eventual adoption of electric vehicles (EVs), and the need for more net-zero power means to power it all means a renaissance in nuclear power is underway.

For instance, Microsoft Corp. (MSFT:NASDAQ) recently announced a deal with Constellation Energy Group (CEG:NYSE) to restart and buy all of the power from one of the shut-down reactors at its infamous Three Mile Island plant in Pennsylvania.

After a volatile 2024, uranium prices took a turn higher at the turn of the year but have since softened some.

However, according to an October report on CarbonCredits.com, BMO Capital Markets projects a strong outlook for uranium demand. BMO projected it to grow at an annual rate of 2.9% through 2035, largely driven by China’s aggressive push to build new nuclear reactors and the potential for reactor restarts in North America. 

BMO Analyst Alexander Pearce emphasized the long-term demand outlook, noting that they foresee a potentially higher uranium demand over the medium to long term, CarbonCredits.com reported. This optimism is fueled by several factors, including geopolitical shifts, growing global demand for clean energy, and new nuclear technologies such as small modular reactors (SMRs).

Ownership and Share Structure

According to Reuters, management and insiders and other strategic investors hold about 1.5% of Terra Clean Energy, including former CEO Alex Klenman with 1.29%.

Strategic Investors Planet Ventures Inc. holds 2%, Reuters said. The rest is retail.

Terra Clean Energy has a market cap of CA$10.73 million and a 52-week range of CA$0.12 to CA$0.68.