Just created on the Pink sheets for trading in the USA, CONTINENTAL PRECIOUS MINERALS
is the Canadian flagship company engaged in the exploration of Uranium and other base energy products in northern Europe, under the guidance of Ed Godin. Mr. Godin also is the CEO of EKWX, an exploration entity registered in the USA.
In Canada, Continental trades on the senior exchange as CZQ.TO
SEDAR Link To Filings: http://www.sedar.com/DisplayCompanyDocuments.do?lang=EN&issuerNo=00004588
Continental Precious Minerals Inc.
360 Bay Street, Suite 500
Toronto, Ontario M5H 2V6
Contact Name: Ed Godin
Short Form Prospectus Issuer: No
Business e-mail address: email@example.com
Reporting Jurisdictions: British Columbia, Alberta, Ontario, Quebec
Telephone Number: 416 805-3036
Stock Exchange: TSX
Fax Number: 905 276-1508
Stock Symbol: CZQ
Date of Formation: Jul 7 1987
Auditor: McCarney Greenwood LLP
Governing Jurisdiction: Ontario
Industry Classification: junior natural resource - mining Transfer Agent: Equity Transfer & Trust Company
CUSIP Number: 211906
Size of Issuer (Assets): $25,000,001 to $100,000,000
Financial Year-End: May 31
ALTERNATIVE MONTHLY REPORT UNDER
PART 4 OF NATIONAL INSTRUMENT 62-103
Reporting Issuer: Continental Precious Minerals Inc. (“Issuer”)
Report for the end of: April 2007
(a) Name and address of the eligible institutional investor:
RAB Special Situations (Master) Fund Limited (“Special Situations”)
P.O. Box 908 GT
Walker House Mary Street
George Town, Cayman Islands
(b) Net increase or decrease in the number or principal amount of securities, and in the eligible institutional investor's securityholding percentage in the class of securities, since the last report filed by the eligible institutional investor under Part 4 or the early warning requirements.
Since the last report filed by Special Situations under Part 4 for the Issuer, there is a net decrease in Special Situations’ holdings of 5,308,200 common shares (“Shares”) of the Issuer representing a net decrease of 11.06% in Special Situations’ securityholding percentage for that class of the Issuer’s securities.
(c) Designation and number or principal amount of securities and the eligible institutional investor's securityholding percentage in the class of securities at the end of the month for which the report is made:
Special Situations holds 3,751,100 Shares and 9,150,000 warrants (“Warrants”) of the Issuer (collectively the “Securities”). The Securities represent approximately 25.63% of the issued and outstanding Shares of the Issuer on a partially diluted basis (assuming exercise in full of all convertible securities of the Issuer held by Special Situations).
Continental Precious Minerals Inc. was incorporated in 1987 and has been active in the mineral exploration business since that time. Being very aware of the looming shortage of uranium as a result of the annual world demand outpacing production, Continental acquired a number of mineral licenses in Sweden and in 2005 completed a 43-101 filing on eight of these deposits. The total resource of uranium, as stated in the 43-101 report, contains 13,290,331 lbs of indicated resource and 7,220,153 lbs of inferred resource.
Continental also holds 18 additional exploration licenses, covering an area of approximately 97.54 square km in northern Sweden, containing black shale hosted metalliferous deposits and semi-anthracitic laminae, referred to by the Company as the “Multi-Metal Sediment Licenses” or “MMS Licenses”. The MMS License area was explored by the Swedish Geological Survey in the 1970’s to the early 1980’s. The SGU drilled 28 vertical diamond drill holes in an area of approximately 250 square km and analyzed the alum shale cores for molybdenum, vanadium, uranium, and organic carbon (Corg). Continental is currently investigating these multi-metal deposits in a measured manner.
Sweden Uranium Project
On August 17, 2006, the Company acquired an additional seven mineral exploration licences in Sweden. These mineral exploration licences cover approximately 19 square kilometers and are valid for a period of three years.
In January 2007, two of the above noted seven exploration licenses were revoked by the County administrative court in Sweden. It is the Company's intent to appeal this decision.
On September 29, 2006, the Company acquired an additional five mineral exploration licences. These mineral exploration licences cover approximately 48 square kilometers and are valid for a period of three years.
Consistent with the other 39 mineral exploration licences in Note 5 of the audited consolidated financial statements as at May 31, 2006, the Company has an obligation to pay a 5% net profit interest on any minerals mined, in the event any of the properties are taken into production and mining operations commence. As of February 28, 2007, the company holds a total of 49 mineral exploration licences in Sweden.
Sweden Zencor Project
On September 1, 2006, the Company entered into a collaborative technology development and deployment agreement (the "Agreement") with Zencor Technology Ltd. ("Zencor") relating to technology described as being technology for the extraction of kerogen and other minerals from alum oil shales. Pursuant to the Agreement, the Company will receive a perpetual, exclusive, transferable, royalty-free license to use and exploit certain
technology in Sweden owned by Zencor and a 2% gross revenue royalty from use of the technology in certain applications.
Pursuant to the Agreement, if the Company is satisfied upon completion of an independent validation test it shall fund the costs of a pilot plant, to a maximum of $1,000,000 for both the validation test and pilot plant. The Company shall also issue up to an aggregate of 100,000 common shares. The first 50,000 have been issued (valued - $80,000) and the second 50,000 will be issued upon completion of a validation test.
CURRENT URANIUM PRICES: http://www.uxc.com/review/uxc_Prices.aspx
WEEKLY CHART, 1.4 YEARS
WHY INVEST IN URANIUM?
A Reprint from a Featured Article in Uranium Miner, from a year ago when U308 was $35.25/lb. It is now $72.00/lb....
Overview of Uranium Price, Supply, and Demand
International supply shortages of uranium, along with escalating nuclear programs in nations such as India and China, which both together according to the World Nuclear Association have official plans in the works for 51 new reactors, have caused the spot price of Uranium to more than triple in the last couple years or so (U3O8 was $10.75/lb in April 2003). Many experts prognosticate another doubling in short order.
Supply Side: A persistent deficit between world U3O8 demand and worlds U3O8 mining supply has existed for close to two decades and inventories are steadily being depleted. Low grade uranium sources are plentiful and readily accessible but uneconomical at current prices, substantially higher prices are necessary to make them viable. High grade uranium deposits such as those found in Saskatchewan’s Athabasca Basin are scarce, found in a few specific regions of the planet, involve substantial drilling and are located at great depths. Modern exploration techniques in high grade target zones and the certainty of sustained commodity prices offer the best likelihood for new supply; however the turnaround time from exploration to production is close to 10 years.
Demand Side: Governments worldwide struggle for solutions to control green house gas emissions and produce affordable energy; nuclear power is the cleanest, least expensive and most secure source of electricity. There are currently 441 operational nuclear reactors world wide and that number is expected to grow significantly within the next decade. In the U.S.A., which has 103 operational nuclear power plants providing approximately 20% of the country’s energy, reactors that have met the end of their normal 40-year operating license are being granted extensions and the U.S. Department of Energy is actively providing incentives encouraging power corporations to apply for licenses to build new reactors in an attempt to stave off an imminent energy shortage. Fearful of elevated prices and lack of availability, utility companies have been mostly responsible for the high level of spot demand for uranium