Energy Fuels (NYSEMKT:UUUU; TSE:EFR) shares advanced by more than 2% on Tuesday after analyst Brien Lundin restated his "buy" recommendation on the stock and said the company will perform well once the uranium market rallies.
Writing in the March edition of the Gold Newsletter, Lundin said it was a buy at C$3.00. In October, Lundin said it was a buy at C$3.70.
Energy Fuels is continuing to develop Nichols Ranch, its in situ uranium recovery project in Wyoming, and recently announced that it was acquiring Mesteña Uranium, a privately-held low-cost in situ uranium producer in South Texas.
The company is also continuing development at its high-grade Canyon mine in Arizona, a conventional project that will have its ore processed at the company’s White Mesa Mill, the only conventional uranium mill operating in the U.S. today. Upon closing the acquisition of Mesteña, Energy Fuels will have in excess of 11.5 million pounds of annual uranium production capacity.
Energy Fuels is one of the largest uranium producers in the United States - and it also has significant production scalability and exploration potential, said Lundin.
Energy Fuels shares were up 2.1% at C$2.99.