Ann: $30million Placement for Uranium Restart & Development, page-30

Agreed. I think the upward pressure on U prices will continue and even strengthen. Figures could be in the realm of what was unbelieveable only 12 months ago.

Higher prices, in my mind, are almost a lock. However, execution risk (which you hint at) is very, very real in this sector. LOT will be among the first restarts attempting to service the demand, and you can almost guarantee there will be timeline blow-outs, cost blow-outs, some panic etc.

All within the next 6-9 months LOT could have SP catalysts such as continued and potentially ripping U price rises, a potential Lethlakane resource upgrade, offtake partner agreement for Kayelekera, and look-through to future NPAT. I think there will be a sweet spot where many exit, between this period of catalysts and the potential (but almost inevitable) issues regarding re-start and production. Trading that could prove very lucrative because those lows, when it looks like the mine has all sorts of very technical issues and needs lots of additional time investment, can get very low indeed. We could even see a (hopefully short-term) detachment between the U price and the SP of mine developers at such times.

Not advice, of course, just thoughts.