broker analysis

Far East Capital Ltd - May 14

Potential for Uranium Super Profits Has Been Confirmed

AEX identified as 0ne of the two cheap potential producers out of 25 analysed.

FEC estimate a capital expenditure of $170m for a 2 mtpa capacity, producing 595 tpa U308 (ignoring approx 100,000 0z of gold pa). On this basis there is the potential to generate 8.6c per share cash flow over a mine life of 18 years (diluted for options, but not for further equity issues).

FEC also note the negative sentament in the market toward AEX and believed it may be due to the boards inability to communicate with investors. They have particularly noted the continuous problems they have had getting the company to return calls.