NickelX joins the super-heated yellowcake market, snaps up highly prospective Elliot Lake uranium project

NickelX stakes Elliot Lake uranium project via low-cost acquisition
Company continues its pivot from retreating nickel price to huge demand for uranium and gold opportunities
The Elliot Lake district was once the world’s largest uranium-producing region, churning out >360Mlb

Special Report: NickelX has staked the highly prospecting Elliot Lake uranium project in Ontario, Canada, along strike from major historic producing mines, as part of its pivot from a retreating nickel price to a huge value-add of demand into the yellowcake sector.

Once dubbed the “uranium capital of the world”, the Elliot Lake region in Ontario, Canada, was home to several of the largest uranium mines globally, operated by Rio Algom – eventually purchased by BHP (ASX:BHP) – and Denison Mines in the 1950s until the late 1990s.

NickelX’s (ASX:NKL) own Elliot Lake project covers 129km2 and is surrounded by the historical production of a whopping ~360Mlb of uranium (U3O8) from 13 underground mines.

NickelX (ASX:NKL) — The Elliot Lake uranium project. Pic: Supplied (NKL)

Securing yellowcake rights

The highly prospective Elliot Lake project is staked across a contingency of 30 multi-cell mining claims to target conglomerate-hosted U3O8, where mineralisation is strata-bound and typically continuous and predictable.

NKL says the tenements are along underexplored and interpreted extensions to the historical major uranium mining centre at Elliot Lake, and is confident about its focus on uranium that is enjoying >$100/lb U3O8 prices due to heightened demand for clean nuclear energy.

“The project area is considered to have excellent year-round access, is close to infrastructure and service centres and the world’s largest commercial uranium refinery at Cameco’s Blind River,” NKL says.

“As recently outlined in the December 2023 quarterly report, and due to the significant retreat in the nickel price, the company continues to evaluate a number of potential new project opportunities for shareholders.

“A primary focus will be in the uranium and gold sectors, and the company will keep the market informed of progress in this regard.”

Another successful uranium venture?

NKL directors Matt Gauci and Oliver Kruezer are aiming for this latest Canadian uranium expedition will be just as successful as their previous one.

Gauci and Kruezer were the founders of 92 Energy (ASX:92E) and dealt on with leading Athabasca developers ISO Energy and NexGen as well as staked ground, including the Gemini discovery, in the Athabasca Basin which is now part of a three-way tie-up between ATHA Energy (CSE:SASK) and Latitude Uranium (CSE:LUR) valued at +$300 million.

This article was developed in collaboration with NickelX, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.