Todays Sept Qrtly Call, page-2

• U recovering and there is more to come.
• Japan restart.
• China and US confirm nuclear as technology to reduce and manage co2.
• Fuk period coming to an end.
• Supply will be needed.
• Coming back from cold.
• 25% balance sheet recovery key
• Next phase of consolidation – neg several parties for association – process underway – choices have to be made by board among options open to it.
• Current funding will meet objectives.
• Speedy U recovery and speedy restart mean PDN can take advantage of increased prices.
• 3 months to solve scaling problem fully.
• Sales down
• 1.9mlb expected to be sold this q with prem on avg spot
• 190m us key step to repair balance sheet together with refinancing done
• Initiation of restart feasibility study for when prices recover – all parameters are known and risk is minimal effectively a step by step startup manual
• U market outlook slide 6 aug – nov 28 – 36/37 => spot market supply tightening due to cameco temporarily but prices held
• Russian restriction didn’t happen and still prices rose
• Up to 42 now => supply tightness and Jap restart
• Volume triple entire 2013 year without changing term prices this has absorbed slack and driven out some shorters
• Additional term contracting in next 6 months will test shortages post 16 and will increase 14/15 prices but at current level will not bring on new mines
• Each year new mines delayed, the greater the price action
• Reduction in global production that it underway FY14 production cut back is having an effect on supply and particularly the spot market
• 6 – 8 m lb cut back 4 m lb removed from spot into term contracts
• 45-50 m lb spot market volume but a lot of this vol is churn (trading?) estimate only 25m lb of production
• Phone cut out….