Overall the refresh seems positive, the improved numbers puts the company in a better position when looking for ways to fund the project and attract new investors.
The lack of comments is probably because the numbers are still all hypothetical and depends on a uranium price almost double current spot price.
At first I didn’t like the use of the lower exchange rate myself but again have a guess where it will lie in 2 years time when they hope to be in production, could be anywhere between .40 and 1.00 IMO
In reality though a weaker USD is likely to mean higher $US uranium prices and they did mention that if you use the 2018 assumptions of $60 uranium & USD .70 In the current DFS model the NPV increases by over 100mil on the 2018 figures.
Like the majority of uranium company’s they need a much higher prices before their project becomes viable but the likelihood of a large price increase is growing by the day and I think when the time comes Vimy are in a much better position to capitalise than most....
VMY Price at posting:
3.6¢ Sentiment: Hold Disclosure: Held
