4 mile project

This article still makes me feel bullish about having AGS in my portfolio. Producing at 4 mile next year.

Big fans of Four Mile

In terms of promising Australian uranium projects, Far East Capital managing director Warwick Grigor recently placed Alliance Resources's Four Mile West project at the top of the list. Alliance owns 25 per cent of the project, with the rest held by Heathgate Resources, the US operator of the Beverley uranium mine in South Australia.

Four Mile not only contains at least 15,000 tonnes of uranium, but it is high-grade material. Alliance chief executive Steve Johnston has said there is the potential for 50,000 tonnes of uranium at the SA site, which is only four kilometres away from the Beverley plant. The partners are planning a staged development at Four Mile, with the first stage producing about 450 tonnes a year starting late next year.

Grigor - who owns shares in Alliance - estimated it would cost about $25 million to get Four Mile into production and it could produce uranium for just $US10 a pound in cash operating costs.

"[Alliance] is emerging as a real world-class, low-risk uranium stock selling on excellent fundamentals," he said. "We see Alliance as one of the lowest-risk ways to play the uranium market at the moment."

http://business.smh.com.au/business/uranium-still-has-a-bright-future-20080518-2fln.html?page=2