drilling commences wondinong uranium project, page-8

aee next nova energy Nova Energy is WA based and owns Lake Way with 10,120,000 pounds of U @ .054% and nearby Centipede with 9,680,000 pounds of U @ .063% and a bunch of other early exploration plays. Has 57 million shares @ $2.45 is worth $139.7 million (was 50 cents early in the year).

AEE owns Wondindong (next to Lake Austin in WA) and has a major drilling campaign underway on a U discovery made by WMC thirty years ago. AEE has already established thru drilling 31 holes that U is widespread across the lease. Central focus is on an area measuring 4 x 2 kms (Nova's Lake Way is smaller when superimposed on this AEE target area) and a second area of 2kms x 500 m.

AEE says thickness of U zone (based on earlier results and not yesterdays report) is .86 meters on surface. I did an "average calculation" on yesterdays results of 14 holes and get an average of 355 ppm.

Assuming that the two target zones mentioned above carry my assumed average grade of 355ppm then AEE's "ballpark estimate" for U runs around 13, 924,000 pounds of U at a grade of around .033%. Nova has 19,800,000 pounds at .054% & .063% on their two deposits.

AEE is in fact drilling out an area that is 20 square kms which is more than twice the size of the above targets. They are also getting much higher grades. They have reported 18 sets of assays within the 14 holes 6 of which were well above 300 ppm.

AEE reckons that the balance of the +300 holes to be drilled may find higher zones of U and drive the average grade up. The fact that the target area being drilled is so large there is a chance that the area containing higher grades may increase.

Nova's value is currently about 15 times that of AEE. IF AEE starts hitting decent grades / thicker zones both within and outside its target zones then it will fly just like Nova did when it was 50 cents earlier in the year. AEE is currently 25 cents and the oppies are 10 cents. The leverage in the oppies have 10 bagger status. DISCLAIMER Please do your own research and seek other more informed opinions.

Anyone care to comment?? Technicals also look headed for a major breakout.