October 21, 2024
Peninsula Energy Ltd. (ASX:PEN, OTCQB:PENMF, BUY, A$0.20 target, David A. Talbot) provided a construction update for its flagship Lance uranium ISR project in Wyoming. The project is on track for a restart in December 2024 with the wellfield construction complete and final plant installations due in November. Concrete work and installation of the building’s structural steel and roofing are complete. The ion-exchange vessels, elution tanks, and precipitation tanks have been placed and significant progress has been made on other key systems including HVAC. Pre-production work such as groundwater preconditioning is underway at Mine Unit 1 (MU-1). Final regulatory approval for MU-3 has been received, and Header House 11 (HH-11) is fully constructed for preconditioning operations. Twelve rigs are preparing additional production pattern wells at HH-12 and HH-13, and overall, well installation at MU-3 is now 76% complete. Ore delineation drilling is nearing completion, and rigs are installing a monitoring well in MU-4. Peninsula is also planning a 20:1 consolidation of its shares and securities, subject to shareholder approval during its AGM on November 21st. Its post-consolidation share count is expected to be ~159.4M, or ~176.1M on a fully diluted basis. We are encouraged to see the construction going as planned. Peninsula expects to be cash flow positive by Q3/25. Read more
Company Specific Disclosure Details
Peninsula Energy Limited – ASX:PEN – 1,2,3
- The analyst has visited the head/principal office of the issuer or has viewed its material operations.
- The issuer paid for or reimbursed the analyst for a portion, or all of the travel expense associated with a visit.
- In the last 12 months preceding the date of issuance of the research report or recommendation, Red Cloud Securities Inc. has performed investment banking services for the issuer.
- In the last 12 months, a partner, director or officer of Red Cloud Securities Inc., or an analyst involved in the preparation of the research report has provided services other than in the normal course investment advisory or trade execution services to the issuer for remuneration.
- An analyst who prepared or participated in the preparation of this research report has an ownership position (long or short) in, or discretion or control over an account holding, the issuer’s securities, directly or indirectly.
- Red Cloud Securities Inc. and its affiliates collectively beneficially own 1% or more of a class of the issuer’s equity securities.
- A partner, director, officer, employee or agent of Red Cloud Securities Inc. serves as a partner, director, officer or employee of (or in an equivalent advisory capacity to) the issuer.
- Red Cloud Securities Inc. is a market maker in the equity of the issuer.
- There are material conflicts of interest with Red Cloud Securities Inc. or the analyst who prepared or participated in the preparation of the research report, and the issuer.
Analysts are compensated through a combined base salary and bonus payout system. The bonus payout is determined by revenues generated from various departments including Investment Banking, based on a system that includes the following criteria: reports generated, timeliness, performance of recommendations, knowledge of industry, quality of research and client feedback. Analysts are not directly compensated for specific Investment Banking transactions.
