GoviEx Uranium (TSX-V: GXU) - The Process of Getting in to Business Explained, by @CruxInvestor

We are once again joined by Daniel Major, this time at the WNA symposium in London. He tells us he is seeing a lot of optimism at the WNA from big suppliers because they sense the market is turning. We discuss doing business in Niger. Uranium mining has been happening for 50 years with the French and now also Chinese and Russian operators. However, Orano is closing two of their large operations down. The Niger government is keen to replace these taxes and royalty revenues, not to mention jobs. Recently Morocco has invested into the country and they have built and opened a new airport. The infrastructure is strong because of the existing mining operations.

But how can Goviex Uranium prove to the Niger government that they can get funded and get into production? What are the problems that are encountered? And how much evidence needs to be presented? Is it just a case of the paperwork or introducing the financiers? Different countries require different levels of certainty. And lots of Western companies don't always know and fudge the issue. We were keen to discuss the evidence required.

The most recent revised and optimised DFS suggests that Goviex can get in to production in 3 years, subject to the financing being in place. Those discussions have been happening on a casual basis but Gioviex is waiting on the Uranium price to get to a point that is economic before firming up on those conversations. Also, strategic partners, are there any? Daniel lets us take a peek into their thinking and conversations around raising capital.

Lots learnt from this conversation and lots to think about for investors.

Interview highlights: