Fission and Uranium
It is hard to think of a commodity with more notoriety than uranium, and with good reason. When things go well with nuclear power it's happy carbon-free energy, but when things go wrong it's catastrophic. Fortunately for uranium, we all have short memories; sentiment is recovering from its most recent disaster: Fukushima. Moreover, by 2035 the number of uranium-consuming reactors is set to increase by 35%, which should see uranium's price rise.
Uranium's current depressed price, improving sentiment, and long-term bullish fundamentals led me to search the industry for a healthy and prospective company that will benefit from this bullish mix. I screened for companies in Canada's Athabasca Basin, due to it being a stable mining jurisdiction and containing the highest grades in the world. I also screened for companies with strong balance sheets that can last until the price of uranium takes off. Enter Fission Uranium Corp. (OTCQX:FCUUF).
Fission Uranium Corp. is a young mineral exploration company headquartered in Kelowna, B.C., with 100% ownership of the most significant undeveloped, near-surface, high-grade deposit in the Athabasca Basin: the Triple R Deposit. The deposit is part of the Patterson Lake South (PLS) project. The PLS project was ranked top undeveloped uranium project in the world by The Mining Journal last year. Fission has a market cap of around CAD$334 million (US$265m) and no long-term debt.
The combination of an award-winning exploration team, massive mineral resources, extremely low forecasted operational expenditures, and financial strength make Fission Uranium Corp. an excellent investment to profit from uranium's improving fundamentals.