In this edition of the Ellis Martin Report, Ellis talks with Nikolaos Cacos, President and CEO of Blue Sky Uranium. Blue Sky has a number of uranium-vanadium projects in Argentina.
In addition to find out more about Blue Sky and why they think they have an advantage operating in Argentina, Ellis also asks Nikolaos about the uranium market in general, and why now is a good time to invest.
Why the focus on Argentina?
Blue Sky is focusing its uranium and vanadium exploration efforts on southern Argentina, with 100% control of more than 450,000 hectares of mining tenures. The Company believes that the region is underexplored, with excellent potential for near-surface uranium and vanadium resources with rapid, low-cost development potential. The Company’s Amarillo Grande Uranium-Vanadium Project in Rio Negro is a new district-scale uranium discovery and includes the country’s largest NI 43-101 resource estimate for uranium, with a significant vanadium credit.
The Argentine Federal Government has made public its support for the development of a domestic uranium supply to support the plans for expanding the nuclear energy capacity of the country, providing an excellent potential first customer for any new operation. The World Nuclear Association reports that:
- Argentina has three nuclear reactors generating about one-tenth of its electricity.
- Its first commercial nuclear power reactor began operating in 1974.
- The construction of two additional reactors is planned.
- Construction has started on a small locally-designed power reactor prototype.
- Nuclear Energy requirements are expected to increase by 2.5 times by 2025, representing a potential consumption of approximately 1.25 million pounds of U3O8 annually.
- All uranium used by the Argentine nuclear industry is currently sourced from outside the country.
About Blue Sky Uranium
Blue Sky Uranium Corp. (TSX.V: BSK; FSE: MAL2.F; OTC: BKUCF) is one of Argentina’s best-positioned uranium & vanadium exploration companies with more than 4,500 km2 (450,000 ha) of prospective tenements. The Company’s mission is to deliver exceptional returns to shareholders by acquiring, exploring and advancing towards production a portfolio of uranium & vanadium projects, with an emphasis on near-surface deposits with the potential for near-term low-cost production.
Argentina is the largest generator of electricity from nuclear energy in South America. The country is working to further expand their nuclear energy sector with additional power plants, but currently lacks domestic uranium production. Argentina’s desire for security of supply could provide a “guaranteed” first customer for a new domestic supplier. Large scale production could make Argentina a strategic exporter of uranium to the international nuclear energy sector.