Why do we continue to hold GTR?
The uranium projects are in Wyoming: Wyoming is the capital for uranium production in the US accounting for 80% of domestic production. GTR also has an experienced US team with plenty of ISR uranium experience (Doug Beahm & James Buaghman). Wyoming also attracting Nuclear investment from Warren Buffet + Bill Gates.
Uranium price at 9 year highs: Uranium prices have moved from ~US$32/lb at the start of the calendar year to now trade at ~US$46/lb.
Uranium is becoming a critical strategic metal in the US: The shift towards cleaner sources of energy generation as well as Uranium increasingly becoming a strategic mineral will mean the US need a lot more of it
Click to see the top reasons for our investment in GTR
What we expect the company to deliver before their next capital raise?
Objective #1: Drilling results from the ISR uranium project in Wyoming
Ultimate aim is to put together an initial maiden ISR uranium resource, or an estimate of an achievable exploration target.
Emphasis for the drilling program is on "GT Measure" (Grade x Thickness):
- Grade Greater than 0.02% Uranium, GT> 0.2 (I.e. 3m @0.02% Uranium).
- Mineralisation above cut-off of 15m + Nominal GT of 0.4.
Objective #2: Geological mapping + Downhole logging at the Utah Uranium Projects.
Recon-program to commence in November-2021, No results anticipated from this until at least MID/Late Q1-2022.
What could go wrong?
A.) GTR is currently drilling for Uranium, the drilling program may not return any uranium mineralisation.
B.) There is a risk that whilst drilling GTR experiences rig issues and is unable to complete the drilling program.
C.) Uranium price could de-rate which would make financing exploration extremely difficult.
What is our investment plan?
Our strategy with early stage explorers is to achieve free carry prior to the initial drilling results, which we expect in early 2022. We plan to hold ~50% of the position to see the entire story play out over at least 2 to 3 years.
Disclosure: The authors of this article and owners of Next Investors, S3 Consortium Pty Ltd, and associated entities, own 16,662,000 GTR shares and 746,615 GTR Options at the time of publication. S3 Consortium Pty Ltd has been engaged by GTR to share our commentary and opinion on the progress of our investment in GTR over time.