Wednesday, March 15, 2023, Andrew xxx of Smith Weekly Research sat down with Grant Isaac, the executive-vice president and CFO of Cameco Corp. (CCO:TSX; CCJ:NYSE) to talk about xxx.
Cameco is one of the world's most prolific uranium fuel providers. Andrew xxx said in his interview intro that "through its proven tier one assets Cameco has a reputation of being the preferred supplier for nuclear utilities globally."
After a parley on the spring weather, Andrew xxx asked Isaac how Cameo was doing and what Isaac's view on the market as a whole was.
Why Uranium?
While uranium has many uses, it is most known for being a key component in the production of nuclear energy. As countries around the world strive to reduce their carbon emissions and transition to cleaner energy sources, nuclear power is becoming an increasingly attractive option. In fact, the International Energy Agency predicts that nuclear energy will play a crucial role in achieving global climate goals.
According to the World Nuclear Association, there are currently 443 nuclear reactors in operation around the world, with another 54 under construction. As more reactors come online, the demand for uranium will increase. Most of these are consolidated to only a handful of countries, limiting supply.
In a recent interview with Kitco News, Rick Rule, CEO of Sprott US Holdings, said he believes uranium stocks are "extraordinarily attractive" and could deliver significant returns in the coming years. He cited the growing demand for nuclear energy, as well as the limited supply of uranium, as key factors that make uranium stocks a compelling investment opportunity.
Regarding the sector, Isaac first touched on uranium as an element. Uranium, discovered first in 1789, has been used commercially for a number of years.
Isaac stated, "It's important to set the context that the chemical has been part of every commercial cycle. In the uranium nuclear fuel cycle for 40 years, 45 years . . . We've seen it all. We've seen the highs, and we've seen the lows many times. Each cycle has slightly different features, of course, slightly different causes. And what that combined experience tells us over and over again is that investors need to target uranium producers who understand that durable earnings don't come from thinking there's a spot market strategy in uranium. It comes from a producer who understands that this is an industry of term contracting."
Cameco To Recieve US$300 Million
On March 27, 2023, Cameco announced that it is set to receive a substantial refund of US$300 million from the Canada Revenue Agency (CRA) after a long-standing tax dispute with the agency. The CRA has issued revised reassessments for the 2007 through 2013 tax years, which will result in the company being refunded a total of approximately US$300 million. The refund will consist of US$89 million in cash and US$211 million in letters of credit, which the company previously remitted to the CRA.
According to Cameco, the refund will allow the company to reduce its net debt by approximately US$200 million, which will improve its financial position and provide greater flexibility for future investments.
Ownership and Share Structure
SMNLINSERT]
Disclosures:
1) Katherine DeGilio wrote this article for Streetwise Reports LLC. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: CHECK Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of CHECK, a company mentioned in this article.
