Boss Energy Limited (ASX: BOE; OTCQX: BQSSF) is pleased to provide an update on the strong progress being made as part of the commissioning and production ramp up at its Honeymoon Uranium Mine. Boss Managing Director Duncan Craib said: “We continue to meet or exceed all of our key targets and are comfortably on track to meet our production guidance. “The first IX circuit is now operating at nameplate capacity, proving that the technology works at the rate and scale forecast in the Feasibility Study. This is a pivotal point in the project’s development. “Commissioning of the second IX circuit is underway and construction of the third is advancing rapidly. 

Honeymoon Ramp-up Activities Construction of NIMCIX column 2 is complete and will commence production towards the end of September. NIMCIX column 3 remains on track for completion and production in December quarter 2024. 

As hydrotesting is now complete on column 2, Honeymoon will finalise the control circuits and sequence testing, and run the system with RO water followed by PLS in September 2024. Columns 4, 5 and 6 will be commissioned in 2025 to enable ramp-up to continue to be in line with Feasibility Study forecasts, to achieve Honeymoon’s nameplate capacity of 2.45Mlb/annum of U3O8.

BUT:

In general, the mining sector is on the nose!

The uranium spot price trades at $79/ pound

Given the Federal Government’s decision late last week to end the mineral lease on Jabiluka, Boss has withdrawn the offer and discussions have concluded.

BOSS ENERGY LTD (ASX:BOE) - Ann: Response to Media Speculation, page-1 - HotCopper | ASX Share Prices, Stock Market & Share Trading Forum

Uranium Trend 5yr:

Boss Energy (ASX: BOE; OTCQX: BQSSF) is pleased to report strong progress in the commissioning and ramp up at its Honeymoon uranium mine in South Australia, with a total of 57,364lbs of U308 produced by June 30, 2024. 

more here: BOSS ENERGY LTD (ASX:BOE) - Ann: Boss set to ship first U308 from Honeymoon, page-1 - HotCopper | ASX Share Prices, Stock Market & Share Trading Forum

Stripping of uranium from the loaded resin continues to be virtually 100%, also demonstrating that the ion exchange process is working as designed, resulting in a high-grade concentrated eluate greater than 7-9 g/L

State are circling . State St must like filling out : Form 603

Boe Short position: ~ 3.5%

Boss board is pushing forward with a restart of the Honeymoon uranium site in South Australia, ambitiously looking toward production in the next 18 months.

This will be funded by the $125M capital raise 2 months ago.

Once back the project is expected to sun 2.45Mlb uranium oxide per annum at an all-in sustaining cost of US$25.60/lb over the current 11 year anticipated mine life.

Boss is also sitting on a 1.25 Mlb stockpile valued at almost US$60M based on the current spot price.

The Smallcaps podcast is great. Kerry Stevenson is good interviewer; I like the way she stops guest and gets them to explain concepts. One of the latest was with CEO, Duncan Craib.

Craib talks a great game of the prospect of nuclear, and therefore uranium return. Clean, efficient, carbon free*. 

The interview also followed the recent rise in price and how ready they are for the return, or possibly more accurately for Boss, the commencement of production. They certainly seem to have their ducks in a row. 

• Building a competent team
• Selecting a site that has access to services
• Process improvement to drive down cost of production
• Acquisition of permits
• Production readiness

Uranium as Craib indicated is sold over term contracts which lock in producers – and generally these terms are 3, 5 or even 10 years. The issues though, the generators lock in the price, meaning any further upside is lost. Is it a gamble of spot vs lock.

And while spot price has been on the increase it appears it is a waiting game until the price is right. It seems to be to be an investor, you need to trust the management team to:

• Get the price lock in price right
• Have production costs established
• Maintain the team
• Stay the course and deliver as expected

Could this one go 10x. Absolutely. Is there a better place for your investment dollars…your choice.

*with potential risks which he did not discuss.

Podcast is here if you are interested https://webplayer.whooshkaa.com/show/10156

15-July-2019:  Boss welcomes US decision on Section 232 Petition