It’s been a huge week for $FTEL, breaking out 32% today and 47% over the past week. The breakout comes after they announced that they will directly benefit from Biden’s massive infrastructure bill because of $FTEL’s interest in tellurium and its essential use in solar power. Renewable energy is already seeing exponential growth, which means companies need more rare-earth elements to satisfy the demand. $FTEL has 2 promising tellurium-focused mines. Their Klondike flagship is especially interesting.
- The first tellurium focused mine in the US
- Previously owned by First Solar ($FSLR)
- Not only a promising project for tellurium but gold and silver as well. They‘ve discovered sample grades up to 3.3% Te (33,000 ppm), 33.7 g/t Au, and 364.8 g/t Ag
https://ca.finance.yahoo.com/news/first-tellurium-strategically-positioned-benefit-121500284.html
With China controlling 93% of the global rare-earth production, the US is actively trying to decrease the reliance on them. The domestic advantage provides lower transportation costs and easier access resulting in greater demand for $FTEL’s domestic tellurium in full-scale production.
Plus, tellurium isn’t their only asset. As I mentioned above, they have some extremely high-potential gold and silver deposits on most of their properties. (Their Deer Horn project has average grades of 157.5g Ag/tonne, 5.12g Au /tonne, 160 pm Te).
Their fundamental developments have been reflected by the share price as well (400% since September). Considering their high-graded properties and Biden’s new infrastructure bill, $FTEL is a company to keep a close eye on here. It’s still undervalued with a market cap of only $9M here and looking at the recent developments, this upward momentum doesn't look like it'll stop anytime soon.
An interesting read here: https://tomorrowinvestor.com/ev-demand-set-lithium-portfolios-on-fire-now-its-telluriums-turn-as-investors-eye-plans-for-solar-expansion/2862/