Western Uranium & Vanadium's Sunday Mine Complex is right - InvestorIntel

Western Uranium & Vanadium’s
Sunday   Mine   Complex   is
heading    in   the    right
direction to re-open soon
The USA is the world’s largest producer of nuclear power,
accounting for more than 30% of worldwide nuclear generation
of electricity. In 2018 the country’s nuclear reactors
produced 807 billion kWh, about 20% of total electrical
output. All this was produced by 98 operating nuclear power
reactors in 30 states, operated by 30 different power
companies. All of this requires uranium.

As the world’s development and population grow so does the
demand for energy and energy storage. The vanadium redox flow
battery (VRFB) could be the answer as the batteries are fully
containerized, non-flammable, reusable, use 100% of the energy
stored and can last up to 20 or 30 years. Combined with the
vanadium used in steel hardening, then the world is sure to
need more vanadium each year.

Western Uranium & Vanadium Corp. (CSE: WUC | OTCQX: WSTRF) is
a near term producer that has acquired uranium and vanadium
mineral assets in western Colorado and eastern Utah, USA. The
Company has one of the largest U.S. uranium and vanadium in-
situ resources. The total uranium resource is 70,000,000 lbs.
+/- and the total vanadium resource is 35,000,000 lbs. +/-
grading between 1.4-2.2%. The resource is spread over several
properties as shown below.

Projects summary with resource and locations

Western Uranium & Vanadium projects summary

The Sunday Mine Complex update

Western Uranium & Vanadium’s key focus is currently the Sunday
Mine Complex vanadium project located in western San Miguel
County, Colorado. The Complex covers approximately 3,800 acres
and 221 unpatented claims. The Complex consists of five
individuals connected underground mines with historic
production, and they are already fully permitted.

The Company made an announcement late last year that they are
going to open the Sunday Mine Complex. The Company has now
provided an update to shareholders regarding their previously
announced plan. Over the past several months the evaluation of
equipment and personnel requirements and availability have
been undertaken, as well as preliminary mine planning and
budgeting, pursuing project funding options, and expanding
vanadium marketing opportunities. The Project will be
commenced within weeks of satisfactory project funding.

Catalysts and work ahead will include :

     The identification of high-grade zones.

Long hole drilling and bulk sampling from the
     underground mine workings from the Sunday Mine Complex.
     The expansion of resource estimates with a new defined
     high-grade vanadium resource.
     Delivery of samples to various processors and end users
     for analysis.
     Negotiation of vanadium Term Contracts to catalyze mine
     production.

These goals are expected to be completed during the following
six to nine months.

High-grade uranium and vanadium seams at the Sunday Mine
Complex

George Glasier, President, CEO, and Director said: “All of our
assets are in North America, in the Western United States. We
have got the highest grade vanadium probably in the world.
That is why we have got a competitive advantage.”

Western Uranium and Vanadium’s focus will be to bring the
Sunday Mine Complex into production in the near term,
and recent funding of CAD$3,836,340 is a big step in the right
direction.

No matter what commodity you are in, the grade is what
matters. It means a project will be lower cost and find it
easier to attract funding. When it comes to vanadium the
Company certainly has that. With uranium, they have got the
technology that is also making them a low-cost producer. With
both the right tech and grades you have the advantage to keep

your costs lower than your competitors. As a final bonus, a
re-start mine is a low capital expenditure. This means Western
Uranium and Vanadium have the trifecta of high grade/low cost,
technology and skills to extract, and a low CapEx.

Vanadium demand set to surge
from the high strength steel
sector
Vanadium demand will continue to strengthen due to demand for
higher strength steel from the steel industry, as well as
incremental new demand from Vanadium Redox Flow Batteries
(VRFBs). Vanadium is one of the 35 minerals deemed critical to
US national security. It has multiple uses in today’s modern
world from being used in steel manufacturing, VRFBs, tools,
and even nuclear power plants. Around 85% of vanadium
production is used as a steel strength additive. Even Henry
Ford used vanadium in his car manufacturing process and it is
used to harden re-bar steel in building construction and tool
making.

VRFBs have unique characteristics that make them ideal in the
energy storage space. A VRFB typically is charged using
renewable energy such as wind turbines or solar panels. The
VRFB has several unique characteristics that give them an
advantage for large scale commercial energy storage. They can
charge and discharge at the same time, and they can last up to
25-30 years with continued daily use.

On the supply side, there will be some new supply from
existing producers such as Bushveld, AMG and Largo Resources
over the next 3 years. The question is whether this can keep

up with surging demand and what happens post 2021. The graph
below forecasts demand will outstrip supply, especially after
2021.

Vanadium total demand forecast to outstrip supply 2019-2025

Vanadium total demand forecast to outstrip
supply 2019-2025

United Battery Metals Corp. (CSE: UBM) is a vanadium and
uranium exploration company in North America. United Battery
Metals flagship vanadium project is their exploration stage
uranium-vanadium Wray Mesa Project.

The Wray Mesa Project

The Wray Mesa Project is located in Colorado, USA 380 km from
the state capital of Denver, and comprises over 3,000 acres
and covers more than 107 contiguous claims.

The Company states: “Because of the presence of uranium and
vanadium in the region, the project area, along with the parts
of southwest Colorado and southeast Utah, has been intensively

studied by both public and private-sector investigators.
Principally leading the public sector workers were geologists
of the USGS and of the Atomic Energy Commission (AEC) during
the 1940’s through the 1970’s.”

The   Wray   Mesa   Project   location   and   topography   map

China has been leading the demand surge for vanadium for both

higher strength steel rebar and for VRFBs. Both of these
demand drivers look set to continue. It is also significant to
note that the world is moving towards electrification of the
transport sector. This means an additional huge demand for
electricity and energy storage.

United Battery Metals strives to be a leader and an eventual
producer of vanadium. If United Battery Metals Corp. can prove
up a good size vanadium resource then they can position
themselves to be a North America’s vanadium producer in the
2020’s to meet the expected vanadium demand surge.

Glasier on Western Uranium &
Vanadium’s        processing
technology and high-grade
Sunday Mine
“All of our assets are in North America. In Western United
States. We have got the highest grade vanadium probably in the
world. That is why we have got a competitive advantage. Grades
are everything no matter what commodity you are in. If you
have the grades you have the low cost. That’s what we have
certainly in vanadium. With Uranium we have got the technology
which makes us the low cost producer. So again it’s the issue
of your grades and your technology that drive your cost to the
lower percentage of your competitors.” States George
Glasier, President, CEO and Director of Western Uranium &
Vanadium Corp. (CSE: WUC | OTCQX: WSTRF), in an interview with
InvestorIntel’s Tracy Weslosky.

Tracy Weslosky: You are one of the few stocks that actually

made people money last year. Can you tell us what made Western
Uranium & Vanadium different from many of your competitors?

George Glasier: Obviously it’s our vanadium content. Vanadium
was the hottest commodity last year. It went from $10 to over
$30 and we have got a large high-grade vanadium resource. I
credit most of it to the fact that we were in the right
commodity at the right time.

Tracy Weslosky: Many of our readers have been following the
Sunday Mine Complex. We are very excited about the progress
towards production. Can you tell us what’s happening?

George Glasier: We had an announcement late last year that we
are going to open the mine primarily to sample and sent
samples to a number of vanadium customers. We are still on
track to do that. The best time to open the mine is in the
spring. We are working on that. I would say that within the
next several months we will see the opening and the beginning
of the process, first to sample and then to define the high-
grade vanadium resource that was left, without mining the
uranium.

Tracy Weslosky: Would you mind giving our audience kind of an
overview about your competitiveness and include how you are
based in North America.

George Glasier: All of our assets are in North America. In
Western United States. We have got the highest grade vanadium
probably in the world. That is why we have got a competitive
advantage. Grades are everything no matter what commodity you
are in. If you have the grades you have the low cost. That’s
what we have got certainly in vanadium. With Uranium we have
the technology which makes us the low cost producer. So again
it’s the issue of your grades and your technology that drive
your cost to the lower percentage of your competitors. That’s
where we are…to access the complete interview, click here

Disclaimer: Western Uranium & Vanadium Corp. is an advertorial

member of InvestorIntel Corp.

Billions approved for nuclear
reactors catalyst for uranium
price (and share) uptick?
No matter whether you love it or hate it, it looks like
nuclear energy is here to stay. Nuclear is quite cheap, it’s
clean, it can help meet global energy needs, and it is
supported by many governments around the globe. This is mostly
because nuclear power emits no carbon. Due to climate change
and harmful pollution, many countries are phasing out fossil
fuels, especially coal. Since 1971 nuclear has avoided the
release of an estimated 56 giga-tonnes of carbon dioxide.
That’s almost two years of total global emissions from fossil
fuels.

This only leaves a few main energy sources such as nuclear,
and renewables (solar, wind, and hydro-power). The problem is
not all renewables are yet capable of carrying the entire
energy demand load on their own. This is why many governments
are in favour of nuclear. For example, President Trump stated:
“Nuclear is a way that we get what we have to get, which is
energy. I’m in favor of nuclear energy, very strongly in favor
of nuclear energy.”

Nuclear Power reactors – 71 under construction – China to
invest US$12 billion in new reactors

There are ~455 nuclear reactors operating around the world. On
top of that, there are another 71 reactors under construction
(covering 12 countries), 165 planned, and 315 proposed. Japan

recently announced that they will bring back online 15 nuclear
plants. China is driving much of the growth, and soon India
may follow. For example just last week it was announced that
China plans to invest US$12 billion in new reactors. Then this
week China announced plans to build up to 20 floating nuclear
power plants. One advantage of a floating plant is it will not
be affected by earthquakes, tsunamis maybe?

Chinese planned    floating   nuclear   power   plant   (artists
impression)

More than a dozen countries including the US get over 25% of
their energy from nuclear power, and this is increasing.
Despite having the most generators in the world, the US is
expecting four to six new generators to come online by 2020.

More nuclear plants means uranium demand should be strong

The graph below forecasts uranium to go into deficit starting
2019. Recent uranium price increases are starting to support

this.

Uranium demand versus supply forecast

Expect a lot more action from the Trump administration in
expanding U.S. nuclear energy programs as one billion dollars
has been earmarked for the development of new advanced
reactors. Just this past week the Trump administration
announced $3.7 billion in new loan guarantees to support the
completion of the first new U.S. commercial nuclear reactors
in a generation, calling the expansion of nuclear energy “the
real” Green New Deal. This will be further great news for the
uranium miners.

Below are a few uranium companies that we follow.

        Blue Sky Uranium Corp: (TSXV: BSK | OTCQB: BKUCF) – One
        of Argentina’s best-positioned uranium & vanadium
        exploration companies with more than 4,500 km2 (450,000
        ha) of prospective tenements.
        Energy Fuels Inc: (NYSE American: UUUU | TSX: EFR) – Is
        a leading, US-based, integrated producer of uranium that
        also has a vanadium resource that recently started
        production.
        United Battery Metals Corp : (CSE: UBM) – A vanadium and

uranium exploration company with 107 contiguous mining
     claims over 3000 acres.
     Western Uranium & Vanadium Corp: (CSE: WUC | OTCQX:
     WSTRF) – Is a near-term producer that acquired uranium
     and vanadium mineral assets in western Colorado and
     eastern Utah.

The largest uranium producer
in the USA is now world
newest vanadium producer
The market for both uranium and vanadium looks strong with a
need to supply uranium for nuclear reactors and vanadium’s
demand for not only steel hardening but also for vanadium
redox flow batteries (VRFB). These batteries can offer almost
unlimited energy capacity simply by using larger vanadium
electrolyte storage tanks. The development of VRFB could one
day be deployed on a massive scale to store energy from wind
and solar, thereby potentially eliminating the need for fossil
fuels. Just imagine a battery the size of a city block
supplying electricity to 30,000 end users.

Energy Fuels strategic US assets of uranium assets plus their
White Mesa Mill

Energy Fuels Inc. (NYSE American: UUUU | TSX: EFR) is a
leading, US-based, integrated producer of uranium and
vanadium. In fact, Energy Fuels is currently the largest
uranium producer in the USA, and the only vanadium producer in
the USA, from their 100% owned La Sal Complex of
uranium/vanadium mines in Utah.

Vanadium production is ramping up quickly

In January 2019, the Company informed the market it had
resumed vanadium production at its 100%-owned White Mesa Mill
making the Company the newest vanadium producer in the world.
Just 5 weeks later Energy Fuels announced great news that they
are now producing high-purity vanadium at commercial rates of
approximately 175,000 to 200,000 pounds of V2O5 per month and
the shipments of vanadium have commenced for sale to
customers. The Company expects to reach full production rates
of 200,000 to 225,000 pounds of high-purity V2O5 per month by
the end of Q1-2019 or sooner.

Initial quantities are being allocated for conversion to
ferro-vanadium that will be sold into spot metallurgical
markets, with the expectation the Company will continue to
sell finished vanadium product into the metallurgical
industry, as well as other markets that demand a higher purity
product, including the aerospace, chemical, and potentially
the vanadium redox flow battery industry.

Mark S. Chalmers, President and CEO of Energy Fuels commented:
“We are extremely pleased with Energy Fuels’ vanadium
production to date. We believe our methodical ramp-up is
paying dividends, as we are now producing an excellent
vanadium product at increasingly higher rates and purities.
The Company has discussed vanadium sales with potential buyers
for the past several months, and now that we are producing
commercial quantities of finished product, we are beginning to
make shipments that will initially be converted and sold as
ferro-vanadium. We expect to continue the planned ramp-up, and
we will provide markets with further updates on our vanadium
production at the Mill, as well as on our vanadium test mining
program at the La Sal Complex, in the coming months.”

In an enthusiastic letter to shareholders on March 14, 2019,
CEO Mark S. Chalmers told shareholders about last year being
an exciting year for the company achieving a number of
significant milestones and will continue to pursue a strategy
of building Energy Fuels into a uranium mining and energy
company of major global significance.

On a lighter note last year’s letter to shareholders he   said:
“Energy Fuels might be small, but we’re mighty!” and      ended
that letter with a goal to be “larger and mightier” in    2019.
This year he has a new saying for shareholders: “Energy   Fuels
punches above its weight!”

2018 results

On March 12, 2019 the Company also announced their results for

the year ending 2018:

     $31.7 million of total revenue was realized by the
     Company during the year.
     A gross profit of $12.4 million was realized by the
     Company, representing a 39% gross profit margin on
     mining and milling activities.
     A net loss attributable to the Company of $25.4 million
     during the year.
     650,000 pounds of U 3 O 8 sales were completed by the
     Company at an average realized price of $47.37 per
     pound. Uranium sold at contract prices averaged
     $61.30/lb and at spot prices averaged $25.07/lb.
     Uranium inventory as of 493,000 lbs.
     The Company commenced vanadium production from the pond
     solutions at its 100% owned White Mesa Mill in late
     December 2018, and the first batches of finished
     vanadium product were produced in January 2019.

With an enthusiastic CEO, a company punching above its weight,
quality US assets, ~175,000 to 200,000 lbs of V2O5 per month
production, strong uranium production/sales/inventory and with
expansion potential; Energy Fuels Inc. is looking attractive
to investors wanting exposure to uranium and vanadium.

What the Mining Industry can
Learn from the Boston Red Sox
The mining industry can learn a lot from the Boston Red Sox. I
just learned that lesson at PDAC 2019, the greatest mining
show on Earth. More than 25,000 people attended in Toronto to
meet, mingle, learn, look at core, party, buy, sell and

schmooze.

I’ve been attending the mining show annually since 1992. I’ve
missed two years. Before I go I have a list of goals that I
want to achieve. Overall, it was a very good year at the show
as I ticked off all the items on my to-do list and as always
found a few more.

Wandering the booths and hallways and seminars, one of the
things I learned was that there is a dearth of good projects
under development. Simply put, we are consuming metals and not
replacing them, causing analysts to believe the world will be
in a deficit position over the next few years. This 2015
infographic from the Visual Capitalist makes the case for the
coming copper crunch or you can read it in The Mining Journal.

Similar alarms are being sounded for silver and gold. The
shortages in the battery metals (nickel, manganese, lithium,
graphite and of course perennial bridesmaid cobalt) are
obvious as the world decentralizes grid electricity.

Refined zinc metal output is expected be 13.81 million tonnes
in 2019. The problem is, the output estimate for 2019 is
lagging behind the expected metal usage of 13.88 million
tonnes for the year.

We are consuming the metals faster than the mining companies
can replace them.

How does this relate to Boston Red Sox, winners of last year’s
World Series?

The Bosox over many years invested heavily in scouts to find a
larger pool of young possible players, signed players at a
young age, developed them patiently through the system, and
brought them to the major leagues at the appropriate time. Not
downplaying Steve Pearce’s World Series, the most important
players on Boston’s championship run throughout the season and
the playoffs were homegrown, like Mookie Betts, Andrew

Benintendi, and Jackie Bradley Jr., Xander Bogarts was signed
when he was 16 years old and made major contributions to the
team’s success.

The cost of finding and developing young talent is far less
than the cost of trying to acquire that talent once developed.
Look at Bryce Harper’s USD$330 million contract with the
Phillies after spending the first 7 years of his professional
career in Washington. In Year 1 of that Washington contract,
Harper was paid a total of $3 million and had a tremendous
year, earning a spot in the All-Star game and winning NL
Rookie of the Year. His 7 years in Washington were very cost-
effective for the team and the returns he provided. Once
developed, he priced himself out of the Washington budget.

There’s also Mannie Machado who in 2012 was paid $112,786 by
the Baltimore Orioles. Drafted and developed by Baltimore,
Machado provided Baltimore with gaudy numbers and strong
defence. For you data geeks, his Wins Above Replacement (WAR)
is 5.7. He was a bargain for what he contributed to the team.
He just signed a 10-year, USD$300 million contract with the
San Diego Padres, priced out of Baltimore’s budget.

Finding, drafting and developing your own players allows a
team to control costs, keep these players under contract for a
(relatively) low cost for an extended period of time, provides
some degree of economic stability for the team, and de-risks
the overall organization.

And that is one of the things that’s missing in the mining
industry. There are few large projects in development to
replace the copper, gold, copper, nickel, tin, silver, and
battery metals that are needed. The majors have failed to
invest in their minor league systems, leading them to have to
effect risky M&A transactions to replace lost ounces.

This failure to invest in development started in about 2013,
after the mining industry blew up following an acquisition

spree. You remember Kinross’ 2010 free agent acquisition of
Red Back Mining to acquire ownership of Tausita Gold Mine in
Maruitania? Kinross paid $7.1 billion for an asset that was
written down by $3.2 billion in 2013, crushing Kinross’ share
price with it. There are other examples as well, but this
write-down was massive and caught the market’s eye. Fear crept
into the market and brought an end to M&A activity.

Following the fear came severe cost-cutting. The majors
dramatically scaled back in all areas of operations, including
not investing in the intermediates and juniors. If the juniors
aren’t being funded they can’t explore (scout), the number of
development opportunities shrinks, which reduces the number of
opportunities for the intermediates to shepherd good projects
along. And that decreases the odds that a major deposit would
be found. And that of course means that fewer deposits are
making it to the Major Leagues.

The   cost   of   acquiring   already-developed   properties   is
extremely expensive. Grabbing proven ounces is what is driving
the current $17.8 billion attempted takeover of Newmount
Mining by Barrick Gold. It’s like the Phillies acquiring Bryce
Harper for $330M after he was cheaply developed by Washington.

The Bosox are 6/1 favourites to win the World Series again,
due mainly to the core of highly talented home-grown
inexpensive players. It would be cheaper for the majors in the
mining industry to invest more broadly in the juniors, knowing
there will be winners and losers along the way, than to
continue relying upon free-agent signings.

Blue Sky’s CEO on vanadium,
plus having ‘one of the
largest    districts     of
potential uranium’ in the
world
“We just put out our PEA (for the Ivana Uranium-Vanadium
deposit at Amarillo Grande Project). Our PEA indicates, if it
was in production today it would be one of the lowest cost
uranium production in the world and with a strike length of
over 145 kilometers. This entire district that we control has
the potential to be one of the largest uranium districts in
the planet, very significant discovery.” States Nikolaos
Cacos, President, CEO and Director of Blue Sky Uranium
Corp. (TSXV: BSK | OTCQB: BKUCF), in an interview with
InvestorIntel Corp. CEO Tracy Weslosky.

Tracy Weslosky: We are both at PDAC 2019. I am an ardent fan
of the uranium sector in general. Can you tell us what your
most competitive advantage for all of you investors out there
looking at uranium presently is?

Nikolaos Cacos: We just put out our PEA (for the Ivana
Uranium-Vanadium deposit at Amarillo Grande Project). Our PEA
indicates, if it was in production today it would be one of
the lowest cost uranium production in the world and with a
strike length of over 145 kilometers. This entire district
that we control has the potential to be one of the largest
uranium districts in the planet, very significant discovery.

Tracy Weslosky: One of the largest districts of potential
uranium on the planet. Is that correct?

Nikolaos Cacos: That is correct, yes.

Tracy Weslosky: Okay. We have a global shortage of uranium,
yes?

Nikolaos Cacos: We have a shortage of uranium. I think more
and more around the world, especially emerging markets,
economies are looking at uranium and nuclear power because it
is green, it is efficient and it is safe. As that demand
continues to grow the shortage is going to be more and more
exacerbated and the price of uranium is going to start moving
up, as we have seen in the last year a 50% appreciation in the
uranium.

Tracy Weslosky: If a new investor was coming and they were
looking at Blue Sky Uranium, what would you want to leave them
with? I know you are obviously in Argentina, which would be a
competitive advantage. Can you talk to us about your
competitive advantages for new investors looking at Blue Sky?

Nikolaos Cacos: If you are an investor, a new investor, you
are looking to make money. The best way to make money is
before something really begins to takeoff. You look at the
fundamentals, you look at the management team and you look at
what assets that we have got. We have got all three…to access
the complete interview, click here

Disclaimer: Blue Sky Uranium Corp. is an advertorial member of
InvestorIntel Corp.