Uranium bull run is coming.. uranium price is rising from here...

Uranium bull run is coming.. uranium price is rising from here

So naturally, producers (Cameco, Paladin, PEN, etc ) will like to get back into the uranium production business (to get money from uranium sales) and will now start the process of restarting their mines, which costs money.

PEN has stated all this time that it will cost around $6M to restart their mine (see Shaw & Partners presentation from Feb 2021).. this has been known for a long time now.

As a comparison, it will take PDN $81M to restart Langer Heinrich (of course production rates are different etc, but that is their cost)

It will cost VMY over $320M just to develop their mine (and that won't happen until 2025 at best)

Does PEN have enough money? They have more than enough for now according to the latest cash quarterly ending Dec 2021. Will they need more later on? Maybe, probably.

Keep in mind also PEN will be receiving $9M cash coming in from sales this FY... so we might see over $2M coming in this quarter.

Plus their 300k lb uranium that they hold.. they can sell that into the spot market (if they choose) that's worth around $13M at current price (but I'd like to see them hold onto that as spot price will probably go up from here)

Anyway, I actually think PEN's financial position is quite good compared to other U stocks (particularly explorers with zero revenue)

All IMO.. DYOR