Don't blame you being confused. I think some of us are concerned about the company's plan to mine and have not clearly stated IF the are seeking approval from the Queensland goverment or will they simply wait for the change in the near future or if they plan to lodge approval after all shareholders have bought and begin to complain.
It all seems to be misleading and vague.
From RWE..
Summit attributes buying to interest in uranium miners 18:05, Wednesday, 22 September 2004
Sydney - Wednesday - September 22: (RWE Aust Business News) -
Summit Resources Ltd today pointed out there had been considerable market interest in companies with uranium interests and assets. The company was responding to a stock exchange query after the shares rose from 4.6c on Friday to as high as 9.9c today.
The stock closed down 0.1c to 7.5c. Summit said it had interests in three uranium deposits in northwest Queensland - the Valhalla resource, 40km northwest of Mount Isa, and the nearby Skal and Andersons deposits. "Whilst Australia's Federal Government is supportive of uranium mine development, currently restrictive Queensland state policy on the mining and processing of uranium has resulted in these resources being sterilised with any future mine development being dependent on a Queensland government more favourably disposed to uranium mining and processing than the present Queensland State Labor Government," director Mr Lindsay Colless said. He pointed out that apart from its uranium interests, the company had an extensive and significant exploration tenement position in the Mount Isa region and was actively exploring and drilling for large copper, gold and base metal deposits.
Summit Resources restarts uranium exploration 14:55, Wednesday, 20 October 2004
Sydney - Wednesday - Oct 20: (RWE Australian Business News) -
Summit Resources says it is undertaking scoping studies to recommence uranium exploration and prefeasibility studies on its three uranium deposits at Mount Isa. This price rise in uranium has sparked renewed interest. Summit controls over 70 million pounds of indicated and inferred uranium oxide resources at Mount Isa. "With the uranium oxide price just over US$20 pound, and a bull market in uranium predicted to continue for some time, Summit now plans to recommence drilling on the deposits," the company says. Increasing demand from an expanding nuclear power industry and, with inventories, stockpiles and availability of recycled material all at very low levels, demand is driving the price rise with uranium prices predicted to continue to firm throughout 2004 and 2005.
It seems to me that many are buying on pure speculation and IF it all happens then it will be profitable but it will severly depend on Queenlsand Govt changing its policy.
Cheers, Ace.
SMM Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held
