AZARGA URANIUM

9. Azarga Uranium

Market cap: US$26 million

An antelope near a drill site at Azarga Uranium’s Dewey Burdock uranium project in South Dakota. Credit: Azarga Uranium.

Azarga Uranium (TSX: AZZ; US-OTC: AZZUF) is a uranium exploration and development company and holds several major uranium deposits across South Dakota, Wyoming, Colorado and Utah. The company is focussed on developing its advanced-stage Dewey Burdock project, an in-situ recovery uranium project located 26 km northwest of Edgemont, South Dakota.

In January, a preliminary economic assessment (PEA) for the project estimates annual production of 1 million lb. uranium oxide over a mine life of 21 years. The early-stage study forecasts an initial capex of US$31.7 million. The project is estimated to have an after-tax net present value of US$147.5 million at an 8% discount rate and an after-tax internal rate of return of 50%.

Azarga’s other assets include the Gas Hills and Juniper Ridge uranium projects in Wyoming, the Centennial project in Colorado, the JB project in Colorado, and the Ticaboo project in Utah, which contains three uranium stockpiles.