rio tinto might sell uranium stock to chinalco, page-5

I think the analysis by Fairfax that Kalahari shareholders would like to sell out to Rio Tinto is incorrect. Kalahari president Mark Hohnen has encouraged investment by companies that do not want a Rio takeover- ie those controlled by ex-UraMin directors, namely AIM-listed Niger Uranium and Emerging Metals- while another ex-UraMin directors' firm Polo Resources has a stake in Extract.
This is aimed to prevent Rio from taking over without paying a takeover premium and leave Kalahari with a 39% stake in Extract in the driving seat.

Kalahari wants to see Extract effictively relocated to Namibia and don't forget its chariman is now a Namibian, Steve Galloway, with another Namibia, inge Zaamwani, the md of the joing govt/De Beers diamond mining firm in Namibia on the Extract board also.

But Kalahari may have overplayed its hand in requisitioning a shareholders' meeting to secure the removal of Extract md Peter McIntyre- who discovered Rossing South and has now announced he will resign mid-Sep. I suspect this will precipitate more buying of Extract stock by Rio Tinto with a view of replacing Kalahari as the biggest shareholder. Then Rio can ensure Rossing South is developed as an additional ore feed sourcde for its Rossing mine (ie without its own processing plant) rather than as a stand-alone uranium producer.

Its going to be an eventful three months to mid-Sep!