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Nexgen Energy Ltd T.NXE

Alternate Symbol(s):  NXE

NexGen Energy Ltd. is a Canadian company focused on delivering clean energy fuel for the future. It is engaged in the acquisition, exploration and evaluation and development of uranium properties in Canada. It is focused on optimally developing the Rook I Project. It has a portfolio of highly prospective projects, including its 100% owned Rook I property that is host to the high-grade Arrow Deposit, South Arrow, Harpoon, Bow, and the Cannon area. The Rook I Project is a development-stage uranium project in Canada. The new underground mine and mill development is located in the uranium-rich district of the southwestern area of the Athabasca Basin, located in Saskatchewan. Arrow is a 100% land-based, basement-hosted, and high-grade uranium discovery. The Rook I Project, host of the Arrow Deposit, which is a development-stage uranium project in Canada and is 100% owned by NexGen Energy Ltd. The Rook I property hosts the Harpoon Discovery located 4.7 km northeast of the Arrow Deposit.


TSX:NXE - Post by User

Bullboard Posts
Comment by HighROIon Jan 27, 2017 1:00pm
165 Views
Post# 25764385

RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:McArthur River's underground delineation drilling history...

RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:McArthur River's underground delineation drilling history...I know it may be hard to wrap your head around why NXE is trading for so much more than FCU but people have been saying for this for a while. Arrow is huge and mineable, FCU not nearly as large and likely uneconomic to mine because of the water ingress issues therefore from a pound versus pound perspective they are incomparable. Even if Arrow is $1.1B it is cheap if you consider that it will likely generate close to $1B in EBITDA when it is running. From a benchmark perspective low grade Husab sold for $2.5B post Fukushima for 400m pounds across resource categories in a less desirable jurisdiction. Doug Beattie offered insight that McArthur river was internally valued at Cameco for $2.2B when they just started drilling underground in the 1990s (more than 2/3 of resource was delineated underground) when they acquired it from the other stakeholders and the spot price was $10 per pound. Arrow is still open in all directions and likely already larger than Husab and superior from any metric. Does Arrow make it to production I have no idea? I do know there is a lot of runway on the valuation.
Bullboard Posts