hanson westhouse note kah & ext

With thanks to sportbilly from UK forum.

There is new note on URU out from Hanson Westhouse this morning. Some key points:

Kalahari Minerals (AIM: KAH)
Based on the revised valuation for the 40.6% of Extract Resources which Kalahari Minerals owns plus Kalahari’s £5.5m of cash but not including their base metal exploration assets, we have ascribed a target price of 88p per share for the company. With a 105Mlbs resource for Zone 2, this would increase to 154p per share."

"We have upgraded our target price for Niger Uranium from 21p to 31p per share on the back of a number of positive recent events. Primarily, Rio Tinto and Emerging Metals have increased their stakes in Kalahari Minerals. Kalahari Minerals holds 40.6% of Extract Resources; owner of the world class Rossing South U3O8 project in Namibia. This is good news for Niger Uranium which holds a 15.8% stake in Kalahari Minerals. Secondly, NorthWestern Uranium Corp. has withdrawn its EGM requisition regarding dilution due to a proposed private placement and changes to the composition of the Board"

"Extract Resources (ASX: EXT)
Extract Resources currently has a 25.1Mlbs resource at Ida Dome and 108.3Mlbs for Zone 1 at Rossing South. Combined with estimated cash of A$20m at the end of June 2009, these resources imply a valuation of A$4.02 per share. We are expecting a resource of at least 105Mlbs for Zone 2 at Rossing South, due in July 2009. This would imply a valuation of A$7.12 per share.

Regards

Steve