Skyharbour Resources Ltd. (SYHBF) has kicked off a significant 2,500-meter summer drill program at its 100%-owned Moore uranium project in Saskatchewan. Situated approximately 15 kilometers east of Denison Mines Corp.’s Wheeler River project, the nearly 36,000-hectare Moore project is strategically positioned near infrastructure for Cameco Corp.’s Key Lake and McArthur River operations in the Athabasca Basin.
The drilling program, encompassing seven to nine holes, is focused on expanding and further characterizing the high-grade Main Maverick and Maverick East zones. Skyharbour confirmed that the program is fully funded and permitted, with additional drilling plans of 4,000–5,000 meters later this fall at the adjacent Russell Lake project.
“We are excited to commence drilling again with plans to carry out an initial program at Moore followed by a larger program at Russell totaling 7,000-8,000 meters combined across both projects,” stated President and Chief Executive Officer Jordan Trimble. “With the recent discovery of high-grade uranium mineralization at Russell in the newly identified Fork Zone, this has been a very successful year of drilling thus far for Skyharbour with much more news to come at both Moore and Russell as well as at the various partner-funded projects.”
Leveraging existing infrastructure, including the McArthur River Mine haul road, powerlines, and the McGowan Lake Camp at Russell, will significantly reduce all-in drilling costs, Skyharbour noted.
The drilling at Moore will primarily focus on the Main Maverick and Maverick East Zones to expand, characterize, and define the extent of the mineralized zones. These high-grade zones of uranium mineralization are relatively shallow, ranging from 250-280 meters from the surface. “There remains expansion potential at both of the high-grade Main Maverick and Maverick East Zones,” Skyharbour emphasized in a statement. “Furthermore, substantial portions of the 4.7-kilometer-long Maverick corridor remain to be systematically drill-tested, leaving robust discovery potential along strike as well as at depth in the basement rocks.”
Skyharbour’s comprehensive portfolio of uranium exploration projects in Canada’s Athabasca Basin spans 29 projects, 10 of which are drill-ready, covering over 580,000 hectares of mineral claims. Beyond its high-grade uranium exploration endeavors, Skyharbour actively employs a prospect generator strategy. This approach involves collaborating with partner companies to advance secondary assets.
In a recent research note, Analyst Sid Rajeev of Fundamental Research Corp. highlighted Skyharbour’s significant portfolio, stating, “Skyharbour owns one of the largest portfolios among uranium juniors in the Athabasca Basin.” Rajeev reiterated the firm’s Buy rating and adjusted its fair value estimate from CA$1.16 to CA$1.21 per share, citing the vulnerable uranium supply chain and anticipating continued consolidation within the sector.
“Additionally, the rapidly growing demand for energy from the AI industry is likely to accelerate the adoption of nuclear power, which should, in turn, spotlight uranium juniors in the coming months,” Rajeev added.
Skyharbour recently announced that partner company Azincourt Energy Corp. received sample analysis from its East Preston uranium project exploration program in the Athabascan Basin of Saskatchewan. This program involved 1,086 meters of drilling in four diamond drill holes, targeting the K and H Zones.
The analysis revealed that 53 samples, including 20 from previous drilling programs, exhibited relative proportions of phyllosilicate and clay minerals, such as illite, chlorite, dickite, kaolinite, and dravite. “Illite and kaolinite are both indicators of hydrothermal alteration typically found within alteration halos of unconformity-associated uranium deposits,” Skyharbour noted. “Dravite is a boron-rich clay which is typically found within a larger clay package in close proximity to uranium mineralization in the system. Both illite and dravite have been identified as being significant vectors for recent discoveries to the northwest of the East Preston project.”
Beyond Azincourt, Skyharbour collaborates with other partner companies, including Orano Canada, Thunderbird Resources Ltd. (formerly Valor Resources Ltd.), Basin Uranium Corp., Medaro Mining Corp., Tisdale Clean Energy Corp., and North Shore Uranium Ltd. The company has an additional 20 100%-owned projects that it actively seeks to option out to potential new partners, expanding its prospect generator business.
Rajeev noted that option partners are actively advancing their projects through exploration and drill campaigns, leading to expected cash/share payments to Skyharbour in the upcoming months. “The demand for nuclear power is expected to grow faster than previously anticipated as data centers for AI applications experience exponential growth in energy needs,” Rajeev added.
Earlier this year, U.S. President Joe Biden signed a ban on uranium imports from Russia, adding further momentum to the uranium market. While recent price pressure attributed to limited trading volume and liquidity, Citi Research predicts a rebound in prices as nuclear energy demand continues to rise.
Analysts at Citi Research remain bullish on uranium in the near to mid-term, forecasting a potential price rebound to US$98/lb later this year. Their adjusted uranium price forecasts anticipate an average of US$94/lb in 2024, with potential upside momentum in the latter half of the year. Looking ahead to 2025, Citi projects an average price of US$110 per pound, reflecting the increasing demand for nuclear energy.
According to the World Nuclear Association, demand for uranium in nuclear reactors is projected to climb 28% by 2030 and nearly double by 2040 as governments expand nuclear power capacity to meet zero-carbon targets.
Skyharbour’s ownership structure includes approximately 5% held by management, insiders, and close business associates. Jordan Trimble, President and CEO, owns 1.6%, while Director David Cates owns 0.70%. Institutional, corporate, and strategic investors hold approximately 55% of the company. Notable investors include Denison Mines (6.3%), Rio Tinto (2.0%), Extract Advisors LLC (9%), Alps Advisors Inc. (9.91%), Mirae Asset Global Investments (U.S.A) L.L.C. (6.29%), Sprott Asset Management L.P. (1.5%), and Incrementum AG (1.18%).
Skyharbour has 182.53 million shares outstanding, with 177.73 million free float traded shares. The company has a market cap of CA$62.06 million and trades within a 52-week range of CA$0.32 and CA$0.64.
