U3O8 Uranium.

[airedale]

This is worth a read.... takes about 12 minutes.

http://www.resourceintelligence.net/...resources/7364

[JBmurc]

well I reckon we won't see much price action this year IMHO but it will come an when it does $60 will be cheap too many new reactors to be built not enough mines of supply

[Huang Chung]

Courtesy Daddy 2010 over on HC.....

For those relatively new investors wanting to find out more information about the uranium industry, producing countries, ore types and mining/extraction methods etc this is an very good read:

http://teabagmachine.blogr.com/stori...ranium-mining/

[shasta]

Courtesy Daddy 2010 over on HC.....

For those relatively new investors wanting to find out more information about the uranium industry, producing countries, ore types and mining/extraction methods etc this is an very good read:

http://teabagmachine.blogr.com/stori...ranium-mining/

U308 dropping another $US0.75 this week, down to $US40.75/lb

Is Uranium now a contrarian buy?

There are forecast shortages coming up, especially due to the Cigar Lake drop in production & the current demand is being made up by old nuclear warheads. Yet there are so many new reactors in the process of being built that need new supply.

Most U308 offtake deals are done on longer contracted U308 prices (which would be closer to $US60/lb), but how much lower will U308 go, before it starts to turn.

In the Uranium sector i like ACB, PEN, FTE, & BMN - all at varying stages of development

[asc4]

Shasta,

It is a contrarian buy in my opinion, as any U sector investment will be a long term one. The U market is suppressed by existing stockpiles, existing offtake agreements and warhead decommisioning etc.
With focus on carbon emissions: nuclear is clean, reactors last longer and research and development is advancing in respect to waste usage (re-usable) etc.
With the low price of U the high capex/opex mines have been flushed out and In-situ Leaching has become popular to inc. profitability of resources and requires lower grades for extraction also.
So right now there are a few interesting prospects (which you seem to have found).

I am bullish on U long term but reports say there will be a lack of demand due to the aforementioned reasons (existing supply). But with more reactors and a hunger to be green...U will go up.

I also keep in mind that we are in volatile times and reactors are very expensive, there are plenty proposed but how many will get funded (Obama has allocated money (in a round about way) to help nuclear power develop).

I have PEN, a longtermer (definately of late , it is 18months from production, require licensing etc. yet PFS due soon.

Uranium is interesting and there are plenty of "bulls" out there.

Beer-o-clock!

Cheers

[shasta]

Shasta,

It is a contrarian buy in my opinion, as any U sector investment will be a long term one. The U market is suppressed by existing stockpiles, existing offtake agreements and warhead decommisioning etc.
With focus on carbon emissions: nuclear is clean, reactors last longer and research and development is advancing in respect to waste usage (re-usable) etc.
With the low price of U the high capex/opex mines have been flushed out and In-situ Leaching has become popular to inc. profitability of resources and requires lower grades for extraction also.
So right now there are a few interesting prospects (which you seem to have found).

I am bullish on U long term but reports say there will be a lack of demand due to the aforementioned reasons (existing supply). But with more reactors and a hunger to be green...U will go up.

I also keep in mind that we are in volatile times and reactors are very expensive, there are plenty proposed but how many will get funded (Obama has allocated money (in a round about way) to help nuclear power develop).

I have PEN, a longtermer (definately of late , it is 18months from production, require licensing etc. yet PFS due soon.

Uranium is interesting and there are plenty of "bulls" out there.

Beer-o-clock!

Cheers

I see Uranium (U308) has had a ~10% rise last week, up to $US46.00/lb, first significant movement in a while

http://www.theaustralian.com.au/busi...-1225901616589

Uranium writing is on the wall

LAST month we had reports that China was to buy 5000 tonnes of uranium in 2010, double its needs - and Beijing building stockpiles.

Also, Reuters recently reported on China’s soaring consumption of electricity. In 1980, that country had 65 gigawatts of installed generating capacity. Last year, that had risen to 874GW. It shows the frantic pace of expansion that the generating capacity is forecast to reach 1500GW within the next 10 years.

But then look at the nuclear capacity. Just 9GW last year, 39GW expected by 2015 and 80GW by 2020. That is going to need a lot of uranium.

Which is useful background when noting a very brief announcement this morning from Paladin Energy. The company has signed a memorandum of understanding with China Guangdong Nuclear Power Holding Corp over future supply of uranium. Interestingly, CGNPC is involved in the construction of a new nuclear power station in the Guangxi Zhuang autonomous region, with the start of work announced just last week.

Paladin said the MOU could mean an expansion of its activities in the Northern Territory through its joint venture relationship with Energy Metals.

CGNPC owns 69.3 per cent of EME, which in turn has just over 50 per cent of the Bigrlyi uranium deposit in the Northern Territory, where there is a 2009 resource of 13,000 tonnes. The other big stakeholder in that is PDN.

CGNPC is only one of two Chinese companies authorised to import uranium.

So now you can see the significance of that brief announcement this morning. Expect a surge of uranium action in the Territory.

By the way, there is a third partner in Bigrlyi, a player that gets very little attention. Holding a 5 per cent stake is Southern Cross Exploration, last traded at 3c. SXX is the vehicle for the well known exploration and Poseidon-era veteran Boris Ganke.

[shasta]

Uranium (U308) up this week +$3.00 to $US48.00/lb

The Uranium sector is slowing turning round, personally i like ACB, PEN, FTE, THX & SRZ in the U308 sector

[mistymountain]

How do you rate PDN?

[shasta]

How do you rate PDN?

As a uranium producer they are certainly well placed for when the U308 price recovers, most Uranium offtake agreements are on contract prices well above the spot price. I guess when comparing producers its there cash costs, or profit margin that is important.

Not too many Uranium companies in production on the ASX, others with Uranium as a secondary income are EQN & AGG, who are primarily Copper & Gold producers.

The companies i listed are all explorers or in the early development stage, & i'm just looking for value, ie those with a low market cap v JORC resource. ACB stands out & THX is one to watch

[whatsup]

Uranium (U308) up this week +$3.00 to $US48.00/lb

The Uranium sector is slowing turning round, personally i like ACB, PEN, FTE, THX & SRZ in the U308 sector

Shasta Uranium up to $52 as of 25/10/2010 looking good for all U miners for the rest of 2010 and possibly 2011.