March 30, 2014 — Richard Spencer, President and CEO of U3O8 Corp. (“U3O8” TSX: UWE | OTCQX: UWEEF), speaks to Tracy Weslosky, Editor-in-Chief and Publisher of InvestorIntel, about uranium, rare earths and phosphate projects in South America.
In March, U3O8 completed an oversubscribed private placement resulting in proceeds of about USD$1.15 million. Richard said “the insiders stepped up yet again and we’ve developed some support from a new shareholder over the last couple months and this group has been amazing. They were in the market in December when no one else was….this guy likes this story.”
Meanwhile, the past few weeks have witnessed a rally in uranium stocks that may herald a forthcoming bull run for uranium company shares. Richard said the “fundamentals for the uranium market are great and, as many analysts predict, there will be a big gap between supply and demand starting in about 2017 and we think it may start a little earlier than that. We’re working towards production around that time.”
U3O8 Corp. is active in the uranium space in Argentina because we like the clear direction and leadership position that the country has assumed. “Argentina’s nuclear industry started in the early the fifties and they’ve got their own nuclear design; in fact, the first small modular reactor under construction anywhere on the planet is under currently under construction in Argentina.”
Richard states that the Columbia project has resources in uranium, vanadium, phosphate, nickel and rare earths. This source of “phosphate is located 60 kilometers from one of the biggest agricultural areas in Colombia.” Moreover, “On a bigger scale than that, South America has got more arable land than the rest of the planet and it has abundant fresh water while Chinese investment in South American agriculture is huge.” China has realized that South America will be one of its main sources of food in the next decade. There is also the prospect of phosphate used in a new generation of batteries, that use phosphate-vanadium or phosphate-iron cathodes that are inherently stable and these batteries don’t easily overheat as a result of over-charging – They allow for more efficient storage of energy….and they don’t overheat” like the average Li-ion battery such as used on the Boeing 787.
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