Hello Australia,I just had some hours to reflect this...

Hello Australia,

I just had some hours to reflect this upgrade,here are my thoughts on the whole matter:

1.The Upgrade is definitely way above the expectations!

Why could that have happened ? Here is the explanation:

"...The SRK estimate has been derived using both GFSA and MEY probe data, with the resulting grades reported as U3O8. This reflects the correction of the original eU3O8 values to U3O8 equivalents, using a linear regression equation prior to estimation of the block grades..."

Obviously certain parts were not included in the November upgrade:

"....The Mineral Resource estimate reports from a palaeo-channel domain and from secondary mineralisation in the basement which outcrops to the west of the channel and which forms the footwall to the channel deposit. This sub-channel basement domain was previously excluded from the November 2009 resource estimate...."

2.Trading...

...is dissapointing ! Some bigger party is clearly selling otherways we wouldnt see this sp!
But to stress this point: This is the first day after the announcement and the market probably needs some days to fully grasp what this means for MEY!
I guess we can expect some very fine updates from Fat Prophets and the likes over the coming weeks,so we should have a certain amount of attention.
Furthermore Institutionell Investors will need some time as well to analyse this release and are not likely to decide by "feeling"....

3.What does this Upgrade really mean for us ???

Well Marenica was valued at 1.95 USD/lbs before this upgrade.
Right now (trading at 0.18 AUD) we are valued at 0.84 USD/lbs.
We just increased our overall resource by 120 % along with considerably increased grades (from 150-155 ppm before to now 170-175 ppm) Now the grades are extremely important if it comes to economics (and again just compare to AREVAs average grades at Trekkopje of 128 ppm !)

4.Valuation:

I recently showed that the valuation for other uranium exploration companies is somewhere in the 4 USD/lbs area.
Now Marenica just changed from a minor uranium deposit to a worldclass one,well above Forsys or Deep Yellow (as a comparisson) if it comes to the ammount.

Further points you have to consider are:

-Geology, primary or secundary uranium ? a point which is clearly favourable for MEY
-Depth of the resource:
With our uranium being just 0-40 m below surface we do have an impressive advantage over fellow companies such as Extract ( or BMN,DYL,...) who need to remove 60-300 m of rock just to reach their uranium.

As a conclusion:

Congratulation to all the people who are able to buy into this stock at these (ridiculous) low prices (which i didnt think possible after this announcement) but i am willing to take bets that this stock will trade at much higher prices in the shortterm...

Enjoy your Day

Wantedman