The company which is developing enrichment technology for uranium and silicon has whipsawed between $3 - $4 a share over the last few months, currently trading nearer to the low end of the range following a 10% drop in the last week. While listed as a technology company, Silex is included in the Solactive Global Uranium & Nuclear Components Index which is the benchmark index for some ETFs such as the Global X Uranium ETF (URA US). Being in an index and/or ETF is a natural provider of liquidity, and when new units of the ETF are issued the ETF providers buy the underlying shares which has helped to prop up Silex.
A slightly different take on the uranium story, Silex is developing a laser-enriched uranium technology in conjunction with sector giant Cameco. The demonstration plant in Kentucky is expected to be up and running in around 12 months’ time. The company is well funded following a capital raise earlier in the year while the US Government is also likely to support any capital requirements as part of the inflation reduction act. Supply of High Assay Low Enriched Uranium (HALEU), which the next generation of nuclear reactors require, is heavily reliant on Russia.
While technically a technology company, Silex is shaping up to be an important player in the uranium and silicon space, developing laser enrichment technology for both chemical elements. They are currently aiming to build a commercial-scale pilot plant in a joint venture with uranium giant Cameco that, if successful, would allow the western world to become self-sufficient.
Silex Systems Limited is an Australia-based research and development company. The Company is focused on the commercialization of its Separation of Isotopes by Laser EXcitation (SILEX) laser enrichment technology for uranium production and enrichment (nuclear power), silicon enrichment (silicon quantum computing) and other potential markets, which includes medical radioisotopes. Its segments include Silex Systems, Translucent and Silex USA. The development and commercialization program for the SILEX uranium enrichment technology is being undertaken jointly by the Company and by Global Laser Enrichment LLC (GLE). The SILEX Zero-Spin Silicon (ZS-Si) project is being undertaken with project partners, Silicon Quantum Computing Pty Ltd (SQC) and UNSW Sydney (UNSW) at its Lucas Heights facility. In addition, it has an interest in a semiconductor technology known as cREO through its 100% subsidiary, Translucent Inc.
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