Did you know? In terms of energy content, uranium is Australia’s second largest energy export.
It is estimated that the yearly output of uranium from just one Australian mine, Ranger in the Northern Territory, could provide 80% of Australia’s entire annual power demand. Australia has enough energy resources to meet domestic demand, but this is not the case for many nations.
If nuclear power gains more public acceptance as an alternative to the fossil fuels that cause climate change, ASX uranium stocks might become an even more attractive investment opportunity.
As global economies reconsider their perspectives on nuclear energy, the following ASX uranium companies have positioned themselves to capitalise on the uranium potential.
Our Top 3 Uranium Stock ASX Listed
Paladin Energy LTD (ASX: PDN)
Paladin Energy Limited (ASX PDN), based in Perth, has a 75% share in the Langer Heinrich uranium mine in Namibia, which is a major uranium producer on a worldwide scale. In the last ten years, the asset has generated over 40 million pounds of the uranium compound triuranium octoxide, and future production is projected to exceed 76 million pounds.
For the December quarter, the company’s focus will be on finishing the removal of old equipment, contracting site work packages, including the mobilisation and start of the multidiscipline repairs and refurbishment scope packages and growth project civils. Paladin’s uranium miners will now be moving forward with the NamPower and NamWater agreements and infrastructure upgrade works.
Additionally, Paladin Energy Ltd has offtake agreements in place with a top Fortune 150 North American power utility for around 5% of output until 2030, with an escalating price structure.
Paladin Energy makes the first spot on our list of best uranium stocks ASX listed for 2023.
Deep Yellow Limited (ASX: DYL)
A total of 389 Mlb is attributed to Deep Yellow’s Mineral Resource base, making it the largest of any pure-play ASX listed uranium miners. The solid financial standing of Deep Yellow Limited (ASX DYL) allows them to freely pursue their dual-pillar growth strategy to develop a multi-mine pipeline.
- Organically, by expanding an already robust group of assets in several locations
- Inorganically, via asset acquisitions expanding higher-scale, higher-quality conventional mining
Deep Yellow asserts that they are the only ASX-listed uranium miners working on both the Tumas and Mulga Rock projects at a high-level of development.
Additionally, the Tumas DFS is complete, and the research paper is now being reviewed internally by management and the Board. Despite capital and cost increases in line with the global mining environment, the preliminary findings show the Tumas Project remains to be financially attractive – alongside Deep Yellow ASX stocks.
Lotus Resources LTD (ASX: LOT)
Lotus Resources (ASX LOT), based in Perth, Australia, has made the Kayelekera Uranium Project in Malawi its asset.
Lotus Resources Limited estimates that throughout the five-year period from 2009 to 2014, Kayelekera produced 11 Mlbs of triuranium octoxide equivalent, making it the world’s fourth-largest ASX uranium asset in terms of historical annual output.
If market circumstances improve, Lotus Resources Ltd claims it can restart the project quickly. Kayelekera still has the mining licence, environmental approvals, and experienced local workforce it had when it first acquired the site. The forecasted annual earnings growth of Lotus ASX uranium stocks is at 73.92%.
If you would like to book a free personalised walkthrough of our portfolio, just click here.