Uranium business seeks ASX listing

Perth-based 92 Energy is planning to become the first pure-play uranium company to list on the ASX in more than a decade, having launched a $5 million initial public offering.

The company will use the funds to explore the Athabasca Basin, in Canada's Saskatchewan province, which it says hosts some of the highest grade and lowest cost uranium deposits in the world including the Cigar Lake and McArthur River mines (operated by Toronto-listed Cameco).

92 Energy is led by recently appointed chairman Richard Pearce, who was the managing director of uranium exploration companies Nova Energy and Wildhorse Energy, and chief executive Siobhan Lancaster.

Noting a resurgence in uranium prices, Mr Pearce said 92 Energy would be the only ASX-listed uranium exploration business focused solely on the Athabasca Basin.

“The company is coming to market at an ideal time, with a renewed global focus on the role of nuclear energy in our collective low carbon future,” he said in the company’s prospectus.

“As a source of zero-emissions electricity, nuclear energy is a crucial part of the electricity supply equation.

“To fuel the ongoing role of nuclear energy, sources of low-cost uranium are equally important.”

The company will issue 25 million shares priced at 20 cents each under the IPO, which is being led by Pamplona Capital.

92 Energy is expected to begin trading on April 9, with a market capitalisation of between $12.4 million and $14.8 million. Its largest shareholder will be its Canadian exploration partner, IsoEnergy, which will emerge with about a 16 per cent stake.