No wonder the share price is getting capped. Obvious a cap...

No wonder the share price is getting capped. Obvious a cap raising is required (not my words).

Will shareholders get a look in or will it be sophisticated investors ie management and their mates have first dibs on these cheapies.

I am betting on the latter.

//////////////////////////////////////////////””

Meantime, Alliance Resources remains confident it can raise funds for the development of the Four Mile uranium mine in South Australia, in which it has a 25% stake.

At the conference, Alliance managing director Patrick Mutz said the company had been advised by 75% project owner and operator Quasar that the capital cost for the mine was $90 million.

“That means our share of project costs will be $22.5 million – and with cash in bank of $15 million, obviously we will have to raise capital,” Mutz said.

“Alliance is currently reviewing all of those options but we are highly confident that it will not be a problem because of the kind of market support out there still for minerals projects with world-class specifications – and this is a world-class project.”

Four Mile is expected to go into first production from January 2010.