Ziel 50 Cent
Azarga Uranium Corp. (AZZ-T) is "ready for success" in the United States, said Haywood Securities analyst Colin Heyli, who initiated the Colorado-based company with a buy-in rating.
Mr. Haiy called Azarga's Uranus Recovery Project at Dewey Budowack in South Dakota "among the highest unspent uranium projects in the US in the United States and well over some of the existing manufacturers" and believes he is ready to deliver a news stream through 2019. "
"The US Department of Commerce has conducted an investigation into the supply chain of inherent uranium as it relates to national security under Section 232 of the 1962 US Trade Enforcement Act," he said. "The results and recommendations of this investigation were handed over to the White House in April 2019. The President is entitled to make a decision by mid-July 2019 on the basis of these recommendations and we believe that this is likely to lead to some kind of incentive for local uranium suppliers in the form of tariffs or import quotas that will result in higher uranium prices in the US Azarga is a development company with a substantial US asset base including Dewey Burdock Uranium Project in South Dakota , which is one of the highest undeveloped roekti of ISR in the country.
"The company provided an updated resource NI 43-101 for [Dewey Burdock] in Q4 / 18 in which it was measured. & Ind. Resources increased by 97% (resource for all categories subject to ISR-up to 47%). Updating resources is a prelude to the expected update of the preliminary economic assessment (PEA) of the project expected this summer. We expect the additional resources to contribute favorably to the project economy and act as a catalyst for the stock. This PEA demonstrates an attractive economy with a relatively small initial financial cost ($ 27 million), which implies NPV8 after taxes of $ 113 million and a tax return of 57 percent (at US $ 65 / lb) the federal tax rate has declined to 21%, which is not reflected in existing PEAs. "
By recommending investors to accumulate shares in Azarga prior to the US president's decision and see the "clearing path" at the NRC licensing stage for Dewey Burdock, Mr. Healey has set the 50 cent target.
"Poor uranium tape requires a steady approach to accumulation / scaling," he said. "However, we recommend having an exposure before … catalysts, as they could cause a price break in the stock."