Hello Slick, From your posting Sunday Complex has 1900 ppm of U...

Hello Slick,

From your posting Sunday Complex has 1900 ppm of U and 9700ppm of vanadium. Call it 5 pounds of U and 25 pounds of V2O5 per ton. This is actual mine grade. Roughly $310 per ton of rock.

HT has 600ppm per ton. Call it 1.5 pounds of U per ton or rock. And no vanadium credits.HT will be uneconomic, contrary to what the presentation says, for a very long time. Maybe WUC blending the low quality HT ore with the higher quality Sunday Complex ore is the idea. But now we know why WUC has a much better rating than BLR. WUC is brown fields, fully permitted, has much higher uranium grades and has vanadium credits that bring down costs.

Also BLR needs to find US$13,5m to own the other 75% of HT it does not own.

So not only does WUC need to pay A$18m to take over BLR, but also WUC needs to pay another US13,5m x 1.20= A$16,2m for HT. Total cost for BLR is A$32,2m for inferior quality pounds that below $70 will not see the light of day. And no mill to process them.

Actually I think WUC is overpaying for BLR based on the facts above. A bankrupt company like BLR with an uncertain relationship with ablation and a 25% ownership of a low grade uranium project us not worth 32,2m. WUC shareholders should fight this takeover. WUC should really walk from this takeover and buy whatever they want from BLR from Azarga in bankruptcy proceedings.

Thanks for this link Slick. It supports exactly what I was looking for.


Cait