the calm before the storm, page-5

Hi Ekiwi

The answer to most of your questions could take a lot of space but they are available. I will try an precise.

1 USEC a former US Govt organisation have thru the disarmament agreements a contract with the US government to reprocess HEA (highly enriched uranium) from Russian weapons disposal. It is a very lucrative contract for them and is administered by the US-DOE which formaly ran USEC as a department before privatisation. The DOE had for many years prior been working on developing a centrifuge enrichment process called American Centrifuge (AC). USEC abandoned AC in favour of an even more promising Technology SLX which promised to be a magnitude cheaper to build and operate as well as being vastly more efficient but that information is higly classified because it is greater than 20% enrichment. The long and short is that through political an other pressure?inducements USEC were RELUCTANLY persuaded to abandon SLX and go back to AC.

2 Translucent is the amercian subsidary of SLX developing Silicon. They have been in stealth mode for competative reasons. Last week they lifted the veils slightly (See 81 page pdf presentation announced to the market last week)to show some of what they are up to. They have secured the patents needed, they are now moving into the commercial phase and expect to enter into commercial partnerships in the next few months.

3 I have never heard of any plans to list in the US. Take over maybe but it would have to be pretty bloody good because 80% of the company is tightly held.

4 I have covered how close silicon is above. U is even closer Due dilligence was started before Xmas and has now been completed. SLX have announced that they expect to enter into a commercial agreement before the end Q1 ie 6 to 8 weeks away. It has been speculated that GE and General Atomics, Westinghouse, Areva and USEC undertook DD. Speculation is also that who ever is successful will have to pay substantial up front sign on US$50 to 100 million plus 8 to 10% royalty.

5 I have not hear of that although take over is an option for someone like GE if that would offer enough.


In general the reson the sp is racing away is because of the recent announcments from the company lifting the skirts so to speak. Given that N is red hot. Lots more N power stations being built and all requiring fuel in the form of enriched u, and also given that SLX has the only modern economical answer to u enrichment and that means from every u mine in the world is it any wonder that this share is headed for the Stratosphere. Take a look and the low number of shares on issue mostly owned by directors and Sonic SOH (from where it was origonally spun off) and apply a modest PE to the potential income of the company and you will get a mind boggoling result.

Do you own research start with www.silex.com.au. Go back an look at some of the older post from mid last year on share s ene.

Enjoy