The report on FP site is more than excellent >> EXT may be even bigger (more then likely 30-40 mil/pounds) than BMN (27mil/pounds atm) which is just 12 - 18 month ahead in development. FP believe EXT have potential for world class U deposit at Rossing South.
Bouth companies are in right place at right time, just on EXT can be more ++%% in next few month IMO can be s/t consolidation, but after that!!!
FP report is excellent and definitely worth to read it!! How Harlee said, you will have your $ back in no time with them.
RIO selling Kintyre in Au and going expand at the Rossing uranium mine in Namibia = Smart $ know where to invest, which part of the world!
IMO EXT will be one of only few winners.
MiningNews.net
"Over the last two years there have been dozens of new uranium listings, most of which didn't really raise enough money to seriously fund a genuine two-year exploration program – a lot of them raised maybe three or four million dollars simply to have a good listing … expecting to do a second listing at 60c or 80c."
"But the landscape has changed and there are just too many companies, too many exploration companies out there… and considering that many of these are grassroots exploration companies which have resources in Western Australia or Queensland, which don't have any prospect in the short to medium term of being mined, there's no cashflow coming into these companies.
"The only outcome I can see is that we're going to see a lot more consolidation in this sector."
Wendt said high quality companies like Toro and Nova, with decent assets and better sharemarket momentum, would be the stocks to watch out for initiating takeover or merger activity.
"We're just at the tip of the iceberg here as a lot of these companies are just struggling along with low cash levels and just hoping that things are going to turn around.
"From early next year onwards we'll start to see a flurry of activity," he said.
Rio's sale of Kintyre, meanwhile, is not a good sign for the sector in WA. Kintyre, which is one of the largest undeveloped uranium deposits in the world, has a resource of some 36,000 tonnes of uranium.
Wendt said that Rio's on-going expansion at the Rossing uranium mine in Namibia was a clear signal that the major miner was planning to stick with uranium and saw an immediate price upside for the commodity – suggesting the sale of Kintyre was a decision made with a long-term view.
"If they're actually getting rid of Kintyre, that says to me is that they see a window of opportunity there with the uranium price where it is now, and they see they can maximize the benefits by investing money where it can generate a return very quickly, ie the expansion of Rossing, rather than waiting," Wendt said.
"It's Rio voting with their feet, saying that 'we don't see the rules being changed in a reasonable time, so we're selling out'. I think it is fairly significant and it indicates Rio isn't prepared to stick it out, and would prefer to go and make hay elsewhere while the sun shines."
Media reports have flagged Oxiana as a possible buyer for Kintyre, but both Oxiana and Toro, declined to comment on media speculation when contacted by MiningNews.net. Oxiana is a major shareholder in Toro.
Australia's newest uranium producer, Paladin Resources has also been tagged as a potential buyer for the deposit, as hane Canadians Mega Uranium and Cameco, one of the world's major uranium producers.
Meanwhile, a report on Dow Jones Newswires has suggested Rio could be facing intractable negotiations with the Western Desert Lands Aboriginal Corp over a stakeholder agreement at Kintyre, which could also give the company further impetus to offload the deposit.
I am still holding EXT since 0.032=32c and will hold for next 2 years for sure :D +200% atm
EXT Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
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