PEN - NFWG - U3O8 - Breakout!, page-351

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208 Posts.

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03/02/20

19:10

Post #: 42723852
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Originally posted by GreyHairTradey: ↑

US$150 Million bucks ÷ by what ever buy price they are prepared to to pay the US Miners? 55? 60? 65? Whatever?
The higher the purchase price the Government agrees to....the less pounds that need to be produced on US soil.

A Government purchase like this won't lead to a new US Uranium Miner renaissance.

There may well be a pop in SP's short term for them?
But then the mathematics will set in....& the maths don't lie.

150 Million is only a Government pledge that hooks the miners up to a drip feed to keep some (but not all) of them on life support.

Sorry for my overall negativity....but it is what it is (if the rumours are true)

Thus isn't the catalyst imo that either the US uranium miners nor elsewhere in the world need to kickoff a new uranium boom. Despite several false starts, we just aren't there yet.
So not being there yet imo will still lead to further dilution in some companies, for others that dilution will be severe....& some still need to go bust for the good of the sector.

Best of luck to us all.
Cheers.

*I own a small parcel of PEN & continue to hold despite it not being one of my preferred uranium plays.

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Originally posted by phishpheet: ↑

If this $150m is part of NFWG and announce by Trump,.. it will guarantee producer keep the lights on Great backing/deal for producers like PEN which are only a handful....

With clarity the Utilities (the consumers) will enter the market after two years delay and the market will look after its self (supply/demand).

Care to name your preferred U plays... I ask because of this comment,...
So not being there yet imo will still lead to further dilution in some companies, for others that dilution will be severe....& some still need to go bust for the good of the sector.

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For PEN to get something they must first be producing and able to sell.
they have not been able to meet their contract at a very good price yet and have been buying from the market.

Been invested for too long an lost a lot. Better news for them would be a good production profile.

PEN Price at posting: 15.5¢ Sentiment: Hold Disclosure: Held
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