Well the way the spot price is moving I think you might be waiting a very long time for the price to go back to the 50's. If the assay results for the 4th hole are good you will miss out on huge gains.
The spot price is still well under $50. It needs to go to $60 or $70 to get sustainable supply online. Based on the lag between (re)starting a mine and the actual processing any material to make yellow cake it will take at least 2 to 3 year for any new yellow cake supply to hit the market. So based on those fundamentals the U price will way over shoot the mark and likely hit in excess of $100.
And that doesn't account for Sprott buying up uranium. They will corner the market and that in combination with the fact that the utilities are not very sensitive to the U price means all bets are off and the sky is the limit for the U spot price!
The hit 92E had is located right between the highest grade mine (Cigar lake) and the largest U mine (McArthur river) in world! Imagine if they hit a similar deposit?? Cameco who owns 51% and 70% of those two mines is currently trading at nearly 10B USD!
Even if the hit isn't that spectacular the fact that the U spot price will rise a lot further then currently and the fact that these guys have some of the best ground in the world should see the share price multibag from here, possibly within months (or even weeks) with the speed things are moving. If the hit is spectacular....?? Well we haven't seen anything yet!!
Do you really want to miss out on that potential to try and save a few pennies??
92E Price at posting:
76.5¢ Sentiment: Buy Disclosure: Held
