re: not moving yet.
let this one take its course....
the next couple of months are likely to be fairly boring, with sideways activity the probable result. this will present buying opportunities on dips to 50cents or slightly below...
the JORC compliant resource will bring this stock back into focus when it is released next year. This will coincide with the Labour party's announcement that they will end their "no new mines" policy, and will cause a rocket to go through the share price.
FACTS remain:
This company is sitting on a deposit of known SHALLOW URANIUM MINERALISATION
drill testing has confirmed VERY DECENT GRADES OF URANIUM MINERALISATION less than 10 metres from surface
the company will have a JORC compliant resource in 2007
Shallow Calcrete Uranium mineralisation is very cheap to mine
So from the facts, we interpolate out into the future:
The Australian Labour Party is going to change its "no new mines" policy and will be pro-uranium mining
the Dawson-Hinkler deposit will prove to be economic to mine at uranium prices of over $40/lb and a cut-off of 200ppm (which is well below the current drill results)
Mega Uranium will continue to buy interests in the Nova Energy projects (hosted on the same calcrete channel as Dawson-Hinkler)
Any mining operation will leverage off Nova Energy's facilities....
the amount of resource that will be identified as part of the JORC compliant stage will surprise the market...
This will send the share price through $1.10
(just my views)
UTO Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
