Capital constraint has kept Westwater Resources management in battle mode over the past few months. Their ‘blocking and tackling’ effort appears to have paid off. Sales of non-core assets and the negotiation of a new equity line of credit have helped replenish the cash kitty. Timing could not be more critical.
Even after the unexpected revocation of the uranium mining license in Turkey and the subsequent write-off of the license asset, Westwater’s energy minerals portfolio remains populated with both promising and proven assets. Independent test results of the Company’s Spherical Purified Graphite received in April 2019, should support conversations with potential battery manufacturer customers. It should also reassure investors that Westwater is very much in the race to bring high-quality battery-grade graphite to the U.S. market.
Given the impressive size of the graphite market, the opportunity to sell SPG and other battery-grade graphite products, could be enough to build a sizeable business. Yet, Westwater also has promising vanadium assets at its graphite project in Coosa County Alabama. A recently completed Technical Report provides a road map for the work needed to finalize exploration and characterize the vanadium deposit. The Technical Report lays open the possibility of proving the Coosa vanadium deposit is of sufficient size and quality to justify standalone mining at an earlier date than planned for the graphite extraction. Management is planning additional exploration and testing work.
Additional details are available in a full report by clicking on the image below.
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