With the uranium market showing life after a long bear market, now is the perfect time to position yourself with what may be the perfect play: Uranium Royalty Corp. (NASDAQ: UROY).

Dear Fellow Investor,

Putin’s dumped uranium and nuclear fuel are no longer welcome in Western markets.

Perhaps more importantly, the withdrawal of Russian gas supplies from Europe has highlighted the danger of a reliance on renewable energy and official recognition that nuclear energy is, indeed, the ultimate “green” power.

The result: The gates are opening wide for North American uranium producers and developers…and prices are taking off.

We’ll see now what U.S. and Canadian uranium producers can do — with strong government backing — to keep nuclear plants operating here, providing the greenest electricity to 20% of American homes, businesses, and, of course, electric cars and trucks.

Uranium Royalty Corp. (NASDAQ: UROY) is the exciting new factor in this re-emerging sector — the first and only pure-play royalty company for uranium miners globally.

UROY is doing what Franco-Nevada and Royal Gold did for gold miners — creating the royalty model that provides capital to qualified developers to facilitate new production, in exchange for a small portion of on-going production.

If you’ve dreamed of owning Franco-Nevada ($24 billion market value today) or Royal Gold ($7 billion value) from the time they started, here’s that same opportunity in the newly vital and up-and-coming uranium sector.

And yes, first-mover advantage is big, as you’re about to see.

Similar To Europe’s Dire Need For Natural Gas

It’s like the situation in Europe for natural gas, but not so far gone. Complacent Europeans have become reliant on Russia for as much as 60% of their natural gas supplies. But now that Russian gas is either banned, or embargoed by Putin, there is very little gas to replace it, and things will get ugly this winter.

Likewise, American utilities have been relying on Russia and its allies, Kazakhstan and Uzbekistan, for nearly 60% (2021) of their uranium required to fuel our nuclear plants, which provide 20% of American electricity, comprising over 50% of carbon-free power.

American uranium companies, with abundant in-ground resources, licensed and permitted projects, and a cost-competitive and environmentally friendly production technology (In-Situ Recovery), can restart and advance new operations, but they have not been incentivized in the face of Russian and former-Soviet dumping.

Despite known and likely American uranium resources of one billion pounds of U₃O₈, U.S. mines are producing essentially nothing. Canada, with high-grade Saskatchewan resources, has only recently begun to restart their mines.

A Worldwide Phenomenon

Globally, the green energy revolution is taking hold, and nuclear power is a key factor. Moreover, the realization that wind and solar alone cannot meet our growing carbon-free energy needs has highlighted the reliability and affordability of 24/7 baseload nuclear power plants.

There are now 438 operable reactors worldwide, with 56 under construction. Since 2013, 64 new reactors have been commissioned.

And here’s the issue: Production of uranium is simply not keeping up.

This year, 205 million pounds are being used and world production is expected to reach 134 million pounds, a gap of 71 million pounds. Secondary supply accounts for the difference.

However, the persistent production gap over several years, and speculative buying from funds like Sprott Physical Investment Trust, have rapidly depleted these inventories and rebalanced the market.

Bottom line: New mines are needed globally in an industry with significant barriers to entry.

The price of uranium has doubled in the last two years to over $50 per pound U₃O₈. Fundamentals indicate it’s just getting started.

Government Action

In the U.S., for the first time, both the Democrat and Republican parties support continued operation of existing nuclear power plants and growth of new, advanced and small modular reactors.

Congress and the Administration are also coming to realize our vulnerability around Russian fuel supplies and urgent need to expand our own domestic nuclear fuel cycle.

- Among other initiatives, Bloomberg reported on June 7 that the Biden administration is pushing Congress to approve a $4.8 billion plan to support domestic suppliers of uranium, conversion and enrichment to wean the U.S. off of Russian imports.

- On July 1, the U.S. National Nuclear Security Administration, a division of the Department of Energy, initiated the U.S.’s strategic uranium reserve by issuing a solicitation to purchase up to an estimated one million pounds of domestically-produced U₃O₈ and associated conversion services. Proposals were submitted in August and are under evaluation.

- On September 2, a supplemental appropriations request was made from President Biden to Congress for the continuing resolution, including $1.5 billion for the Department of Energy to acquire LEU (“Low Enriched Uranium”) for the existing commercial nuclear fleet that power one in five homes in America and HALEU (“High-Assay Low Enriched Uranium”) for emerging advanced and small modular reactors.

The global uranium sector is finally coming back to life.

The time is perfect for a team with deep talent and decades of uranium production experience — ISR and high-grade conventional production — to evaluate the universe of opportunities and determine which developers deserve the capital to get into production and to provide that capital.

That team is highly leveraged to prosper just as the sleeper sector rebuilds. That’s Uranium Royalty Corp.

The First-Mover Advantage Is Significant

Here is what has occurred with the first two gold royalty companies.

Franco-Nevada, while still a private company in 1986, agreed to and paid for its first royalty deal with a small gold mining company in Nevada which controlled the Gold Strike Mine. This agreement started the royalty model in the mining sector.

Today, as a public company, Franco-Nevada has a market cap of $24 billion and trades for $127/share on annual net royalties of $1.3 billion.

Royal Gold’s original royalty was signed and purchased in 1991 from the Cortez Pipeline Mining Complex in Nevada. Today, Royal Gold has a market cap of $7 billion, trades for $96/share on annual net royalties of approximately $600 million.

Note that the first-mover advantage includes the fact that the company can tie up the strongest royalty opportunities — as UROY is doing — and can act before the market improves or takes off — as UROY has done.

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The Management Team Is Crucial

Directors and management must have the investment banking and sector relations to be able to raise the significant funds to acquire key royalties.

In addition, they must be able to evaluate the potential of projects, in advance, and to act on priority projects.

The geological, mining, geopolitical and market risks of each project must be scrubbed, screened and fully understood, through the due diligence process.

That is precisely the team that is running Uranium Royalty.

Uranium Royalty’s Game Plan

The company has already closed 15 royalties with the major uranium companies and is diversified throughout key and secure uranium production areas including the Athabasca Basin, Quebec, Wyoming, South Dakota, Colorado, New Mexico, Arizona and Namibia.

In the Athabasca Basin, for example, UROY holds royalties on portions of production from McArthur River, Cigar Lake and Waterbury (Cameco/Orano), Roughrider (Rio Tinto), Dawn Lake (Cameco) and Russell Lake (Rio Tinto, Skyharbour).

Physical Uranium And Liquid Assets

In addition, UROY holds 1.5 million pounds of U₃O₈ at a cost basis of $42.30/lb. and has agreements to purchase more physical uranium with CGN Global Uranium Ltd, and options with Yellow Cake PLC for additional purchases over the next six years.

With uranium trading above $50, the company’s physical uranium adds to its liquid assets and capabilities. UROY is seriously leveraged to the price of uranium and the growth of the sector in the free world.

As of September 1, the company had liquid assets of C$134 million in cash, marketable securities and physical uranium. It is well-positioned to act to secure additional royalties as opportunities emerge.

With any sort of move in the price of uranium or federal government legislation, this company is positioned to roar. The risk-reward profile appears exceptional.

Get In On The Ground Floor

Uranium Royalty Corp. is trading at a fraction of its potential today with a proven team, a proven strategy and first-mover advantage. You too can get in on the ground floor. We encourage you to learn more about this company and to follow its progress ASAP.

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