Up again to USD $44 per pound, page-76

citi are pretty much betting against all the commodity stocks - bar in copper - at the moment.

this has all been covered in many prior posts - but to rehash for captain lazyboy...

citi's big issue with PDN is that its not quite cashflow positive at this spot price (US43), and has a $300m convertible note to pay back in 12 months. has $200m cash in bank.

the profit breakeven is mid 40s to low 50s depending on what assumptions you make

Which means theyd need something like a $US70 uranium price avg for next 12 months to be able to pay the debt out of cashflow.

So CITI think company will have to raise money and that will pressure the stock price long before the date when it has to be raised. and of course the sceptics think the CR might occur soon while the uranium sentiment is positive - in case it dies off.

So its pretty certain there will be a raising or other funding solution required - but the $64 dollar question is when and how?

Its a race between possible rising uranium price vs PDN's window of raising money safely.

hence the wide spread on trading range and volatility in share price moves.