Shaping the Earth: The Amazing History of Mining

Here’s something a little different as your Sunday thought piece today - my Edinburgh “lecture with funny bits”. I hope you enjoy it.

It lasts 50 minutes, so next time you fancy a bit of “edutainment” give it watch.

The first part is available to all, and you can unlock the full experience by becoming a paid subscriber.

I was super-pleased with this one, as I think I might have mentioned ;)

Meanwhile, I wanted to share my thoughts about the amazing share price action we have seen in Lightbridge Corp (NASDAQ:LTBR). The stock really has exploded, more than doubling since I wrote about it last week. What was a $3 stock is now trading at $7.

Here’s the original piece, in case of interest - I covered it in in last Sunday’s thought piece on SMRs too.

The volumes are insane.

What to make of it all? And what to do next?

Let’s start with a chart showing the recent price action.

Some volume came into the stock on Monday, as I said it would, with my write up in Moneyweek, but what really ignited things were, first, Google announcing it has signed a deal to secure energy from Kairos Power, which will build seven small modular reactors (SMRs); then Amazon announcing that SMRs are part of its plan to transition to clean power. The entire sector went bananas, making last week’s pieces extremely timely. Lightbridge Corp in particular went nuts.

Average trading volumes are normally less than 350,000. But look at the volumes that followed those announcements.

Wednesday 3.4 millionThursday 1.1 millionFriday 7.5 million

Over the course of the week almost 13 million shares changed hands. The company has just 14 million shares outstanding!

What to read into this?

I looked at the outstanding interest in the options market and there is quite high interest at the $5 strike price with November and February expiry, but not enough to account for this kind of volume.

When you see trading volumes of that sign, it can sometimes be a bullish indicator - a change in ownership - but it can also be a bearish indicator - lots of people looking to get out.

I have to say, when a market is the kind to you this quickly, it is best to take at least a little profit.

There’s no doubt uranium is hot again, and that SMRs are the future, but there is also some excess. It‘s obviously up to you what you choose to do. This stock was once trading above $800, so there is plenty of room for it to move back up. But I’m thinking to take some money off the table this week.

Buy yourself a treat. And enjoy the lecture.

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