Uranium fuels an explosive debut for HindmarshKevin Andrusiak...

Uranium fuels an explosive debut for Hindmarsh
Kevin Andrusiak and with AAP
July 12, 2005

THE debut of uranium hopeful Hindmarsh Resources proved the market's love affair with uranium stocks would continue for at least the short term.

Investors pumped Hindmarsh 79 per cent higher in a stunning debut for the junior explorer which has a swag of licence applications.

Coming just a day after a report by financial services provider KPMG which said the uranium sector would be one of the biggest movers on the Australian Stock Exchange this financial year, Hindmarsh listed at a 34 per cent premium before closing up 22c yesterday at 50c.

Hindmarsh now has a market capitalisation of more than $10 million.

Previously listed on the Newcastle Stock Exchange, Hindmarsh merged with Gladstone Resources earlier this year. It picked up a number of exploration licences in South Australia's Gawler Craton and Curnamona Province in the process.

It has a stake in five licence areas and three applications through a joint-venture agreement with Southern Gold.

Hindmarsh managing director Kate Hobbs said changed public opinion that uranium could play a part in fuelling the world's growing energy needs had helped to raise the company's profile. "We have really been lucky there in that the debate has come on just at a time that has worked particularly well for us," she said.

Drilling would start at one of the joint-venture sites in about two months and at its own sites before the end of the year.

"We would very much like to acquire a more advanced project to wrap these other projects around," Ms Hobbs said.