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Se7eN
Most people would use a phone/website to order a product. Sending e-mails to a small staffed company that`s been inundated the last few months is understandable that a response for a order or just asking question is put aside. They just might have other priorities currently on their plate rather than communicating a response to the hundreds of daily frivolous e-mails, think about it!
Uranium prices rally as market gets boost
August 4th, 2010 by IFandP Newsroom
http://www.ifandp.com/article/006380.html
Spot prices for uranium oxide saw a revival in the second half of the month. TradeTech reported a uranium oxide spot price of US$45.25/lb on July 31 as prices jumped by US$3.50 when compared to June 30 levels. July proved a busy month in the uranium trade with 22 transactions concluded, leading to a steep rise in prices during the second half of the month. A similar trend was reported by Ux Consulting Co which reported an increase of US$4.25 in its month-end spot prices at July 26, 2010. This week, the price for one pound of U3O8 remained unchanged from the previous week and registered at US$46.00/lb on August 2.
The rally has been attributed to a number of factors, including equipment failure and ongoing labour disputes at ConverDyn Metropolis, Illinois, which created uncertainty in the market as the conversion facility is not running at full capacity. This resulted in buyers entering the market to purchase small amounts to supplement their inventories as a precautionary measure. Moreover, primary producers accounted for more than one-third of the total monthly volume, providing a further boost to the market. And then there is China of course, stepping up its uranium buying activity. According to some, the country could be buying around 5000t this year to fuel its existing reactors and units under construction, providing a rich feeding ground for price expansion.
?
Uranium price must rise to spur new production
By: Liezel Hill
5th August 2010
http://www.miningweekly.com/article/uranium-price-must-rise-to-spur-new-production-armz-chief-2010-08-05
TORONTO (miningweekly.com) - Uranium prices will need to gain by around 50% from current levels to make new mining projects economic, at least outside of low-cost Kazakhstan, Vadim Zhivov, the director-general of Russia's State-owned uranium miner told Mining Weekly Online on Wednesday.
Zhivov, whose Atomredmetzoloto (ARMZ) agreed earlier this year to buy a controlling stake in Canadian miner Uranium One, said in an interview in Toronto that that he expects uranium spot prices will rise to at least $50/lb or $55/lb in the next couple of years, with further, “steady” increases beyond that.
Uranium spot prices rose last week to $45,25/lb, according to data from TradeTech. The price has increased from $41/lb or so in May this year. It peaked in 2007 as high as $136/lb.
Zhivov is in Toronto on a marketing tour, meeting with analysts and investors ahead of Uranium One's shareholder meeting to approve the deal later this month. (Details of the transaction here.)
The company was relatively unknown in North American markets until recently, and investors were a little taken aback when Uranium One announced in June it was selling control to the Russian government company.
But Zhivov and Uranium One spokesperson Chris Sattler said that the market is feeling increasingly comfortable with the transaction.
Uranium One's stock, which traded at C$2,62 a share the day before the deal was announced, dropped as low as C$2,19 in the wake of the news, but has since recovered and increased to C$2,87 a share at the close in Toronto on Wednesday.
“We have been on the road since day one, talking to investors in the UK, in France, in Germany, Switzerland, Canada, the US..and the more that we explain the deal, the better reaction we get,” Zhivov said.
He expects the shares will see further rerating going forward, including potential benefit from increased exposure and investor interest in the UK and Europe, where markets are more comfortable with Russian and Kazakh companies and operating environments.
In fact, one of the things on the table is a stock exchange listing in London, Sattler told Mining Weekly.
“It is something we are considering after closing of the transaction,” he said.
The backing of a Russian government company may also help lower perceptions of political risk over Uranium One's operations in Kazakhstan.
ARMZ has said that it plans to use Uranium One as a vehicle for international expansion, but Zhivov indicated that he first wants to see a better market value ascribed to the Canadian company before launching into merger and acquisition activity.
He was reluctant to go into details regarding when or where the next deal might be, emphasising rather that the immediate focus will be bedding down the transaction.
The most important thing is ensuring Uranium One remains a low-cost, profitable producer, “and by doing that we will grow the market capitalisation of the company,” he said.
“And after that, merger and acquisition activities will be really accretive for shareholders.”
All of ARMZ's international activities will go through Uranium One, and Uranium One will have the right of first refusal on any opportunities which arise outside of the Russian Federation.
The focus for growth will likely be Kazakhstan and Africa, Zhivov said.
ARMZ's parent company is nuclear group Rosatom, the biggest State-owned company in Russia, and also the largest vertically integrated nuclear company in the world.
It already operates more than 30 nuclear reactors inside of Russia, has built 36 nuclear power plants abroad, with five units under construction, decisions already made on another 29, and negotiations under way for a further 16.
ARMZ's own assets are currently enough to meet Rosatom's domestic needs, so material supplied through the offtake agreement will fuel new power plants being built outside of the Russian Federation, he said.
MARKET OUTLOOK
Primary supply of uranium from mines currently falls short of global demand, but the balance is made up by uranium supplied into the market from inventories held by governments, mainly the US and Russia.
However, these supplies are expected to decline over the next ten years, as Russia reaches the end of its programme to recycle highly-enriched uranium from nuclear warheads into low-enriched-uranium fuel for sale to US nuclear power plants.
The so-called 'Megatons to Megawatts' programme is scheduled to conclude at the end of 2013, and Zhivov said it is not likely to be extended.
This will take about 9 000 t, or some 15% of the global supply, out of the market.
At the end of the day, though, uranium is widely available, it just depends on whether the price justifies the cost of building and operating mines, he commented.
Kazakhstan, “the Saudi Arabia” of uranium offers a unique, low-cost operating environment, but will not be able to supply the world's needs.
“All the Kazakh plans are already announced and built into the picture, and I don't think there will be any significant increase beyond what is already announced,” Zhivov said.
And to develop any other mines outside of Kazakhstan, the price will need to be higher.
“In the medium term we expect prices to go beyond $50, $55, and steadily grow after that,” he commented
“And I think that the long-term prices will be higher still than the spot prices going forward.”
The uranium spot market accounts for a small percentage of global trade, compared with longer term contracts entered into by producers. But the spot price is often used as a marker for long-term contract terms.
Edited by: Liezel Hill
me2
Well you have done a complete 360 and i`m truly impressed. Hope your up to it and good luck. Remember, take it all with a grain of salt as you can`t manage all the twisted personalities on a message board and stay sane trying too.
onetimetrade
Do some simple research or actually think. A company that solicits a private placement does not send out a lawyer to make the transaction, they just state in the filing you have to be an accredited investor, ie; 1m plus in net worth, no one checks to see if you actually are.
Ginuwine
I`ve entered into quite a few Private placements in much more riskier plays. I had the funds to do this and was not using monies I would or had needed for some time, ie: discretionary cash for speculation's. I was using the placements as a kind of venture capital. I would suggest you take your mind off the day to day stock price and focus on the companies fundamentals as your shares will be restricted for awhile anyway.
You bought because you did your research and were comfortable with that. Private placements usually do not turn a quick profit and if the company executes just above average 2-5 years out, your in the money. There are a lot of variables yet, but most point in your favor that you`ll do well with your holdings.
I`ve a sizable holdings currently and even though I sometimes post off-color regarding the company, I still want to see the company prosper.
Relax for now, get back to work and keep a close eye on the company not the shares daily price. Hang in there, as time not days, that matters. GLTY
Co-Chair, Clean and Safe Energy Coalition; Fmr. New Jersey Governor; Fmr. EPA Administrator
The Case for Nuclear Power Is as Strong as Ever
What's Your Reaction
http://www.huffingtonpost.com/christine-todd-whitman/the-case-for-nuclear-powe_b_667193.html
Co-Chair, Clean and Safe Energy Coalition; Fmr. New Jersey Governor; Fmr. EPA Administrator
Posted: August 2, 2010 10:48 AM
It has been suggested recently that, in light of the tragic Deepwater Horizon oil spill in the Gulf of Mexico, America needs to plan for a massive catastrophe at one of the country's 104 working nuclear reactors.
The concern for safety is critical, but the good news is that preventive safety work is already being done every day at our nation's reactors. In fact, the United States nuclear energy industry has accumulated an outstanding safety record since the days of the Three Mile Island accident in 1979. Worker safety in nuclear plants stands above any other American industrial sector, as measured by lost-time accidents. The nuclear power industry has devoted significant resources to continuously improving the safety and reliability of our nuclear power facilities against all manner of potential risks and threats with the result that, for more than 30 years, nuclear plants have delivered about 20 percent of America's electrical power safely and securely, without major incident.
Every nuclear power plant is designed, constructed and managed to prevent radioactive releases, even in the event of natural disasters, operational accidents or terrorist attacks. Since September 2001, the nuclear industry has spent in excess of $2 billion on enhancements to prevent physical or cyber breaches. In fact, analyses conducted by the independent Electric Power Research Institute (EPRI) concluded that the structures that surround U.S. nuclear power plants would protect against a release of radiation if struck by a Boeing 767 jetliner. Steel-reinforced concrete containment structures protect reactors and redundant safety and reactor shutdown systems have been designed to withstand the impact of earthquakes, hurricanes, tornadoes and floods.
Apart from its own self-initiated safety efforts through the Institute of Nuclear Power Operations, the industry operates under the watchful eye of a strong regulatory authority, and with significant input from state and local officials. The Nuclear Regulatory Commission holds nuclear reactor operators to the highest safety and security standards of any American industry. Fuel, once used, will continue to be safely stored at reactor sites -- as has been the case for decades -- until a long-term repository is identified. Furthermore, federal law requires that energy companies develop and exercise sophisticated emergency response plans to protect public health and safety. A comparison of safety protocols governing the nuclear energy industry and other industries provides a stark comparison: Nuclear energy meets a higher standard for safety than any other American industry.
Of course, that does not mean the work is complete. Virtually every form of energy production -- coal mining and oil drilling come to mind -- involves significant safety risks. But not producing domestic energy represents another risk, in the form of greater dependence on foreign oil and other energy sources.
With our electricity demand poised to rise 23 percent by 2030, we are going to need to expand our portfolio of energy sources, not limit them. What the Deepwater Horizon oil spill has provided us is an opportunity to weigh the risks of each energy source as we seek to meet that growing demand.
Americans understand this, which is why nuclear energy has garnered such a broad-based consensus of support. The latest Gallup poll found that 62 percent of Americans -- an all-time high -- favor the use of nuclear energy to produce electricity. President Barack Obama and Energy Secretary Steven Chu have made expanding nuclear energy a linchpin of their strategy to build a clean energy economy and to create jobs. The editorial pages of both The Washington Post and The New York Times have supported the industry's expansion, most recently in February when both papers lauded the Obama administration's decision to restart the nuclear power industry with its first industry loan guarantee to build two new reactors in Georgia.
This broad-based coalition of supporters has been drawn to nuclear energy because no other full-time electricity source offers the same kind of impact in addressing America's environmental and economic challenges. Nuclear plants produce virtually no carbon dioxide or other harmful emissions; U.S. reactors generated more than 70 percent of the country's emissions-free electricity last year. If the nation's goal is to curb its emissions in the future, then nuclear energy, the only clean base-load power, is uniquely positioned to contribute.
At a time when the country's jobless rate is hovering around a 27-year high, nuclear plant construction projections can put thousands of people back to work. In Waynesboro, Georgia, 700 workers have already been tasked with preparing the site for the two new reactors. This, the state's largest construction project, will ultimately employ up to 3,500 people. Over the past three years, in a period of economic constriction, the nuclear industry has created more than 15,000 new jobs nationally in anticipation of the industry's expansion.
While we must always be looking for new ways to improve safety, it is important to remember that: nuclear energy has a proven safety record, it is subjected to stringent regulatory oversight, and it is domestically produced and managed. As we look toward meeting our increasing energy needs, investment in nuclear energy, along with conservation and other clean energy sources, should be a priority.
Christie Whitman currently co-chairs the nuclear industry funded Clean and Safe Energy Coalition (CASEnergy), a national grassroots coalition that promotes the economic and environmental benefits of nuclear energy as part of a clean energy portfolio.
* Green Energy
Uranium Bull Market
China's Historic Power Grab... and Your Wallet
By Ian Cooper
Monday, August 2nd, 2010
http://www.wealthdaily.com/articles/uranium-bull-market/2635
Look, we all know uranium isn't the sexiest story out there...
But with China loading up on it, uranium just became the hottest story of the year — and quite possibly the “supply-demand” buying opportunity of a lifetime.
Mickey Fulp, a respected Certified Professional Geologist, believes:
Demand is exceeding mine supply right now. Obviously, there has been enough uranium to keep power plants going. One thing that's become apparent in the last few months is that utilities and governments, consumers of uranium, are carrying something on the order of 18 months' average forward supply. Historically, that supply stockpile has been more like three years. That difference may represent supply tightness, he says.
So try not to be too shocked when post-maniacal depressed uranium prices start to take off and hit $50 — maybe even $60 in five years.
Our goal here is simple: Ride the coming wave of uranium bullishness, short at the top
Uranium's parabolic move toward $140 between 2000 and 2007 was a thing of beauty.
Everyone and their grandmother was out buying uranium stocks.
Nearly 600 uranium companies started trading out of thin air on the Venture Exchange in Vancouver.
Nothing it seemed could go wrong...
Until the credit crunch and the unwinding of the global economy, which sent uranium screaming back to $40.
Yep, like all past maniacal fascinations, this too faded under a tidal wage of misery and bankruptcy... and despair for good old grandma.
And junk uranium companies went down faster than Oprah's ratings.
But demand for uranium never really fell off, according to Wealth Daily Publisher Brian Hicks:
We can now pick at the carcass... and pick up quality names at a fraction of what they were years ago. Given the push worldwide for cleaner energy, we think it's a given that nuclear energy will be a growing component of the mix for years to come.
There's plenty of reason to get excited these days
There are three reasons for this: China, supply-demand, and a very bullish CEO.
The cause for recent uranium bull excitement is the fact that some suppliers have experienced labor concern and equipment failures, which increase expectations that supply projections will fall short.
At the same time, China has significantly stepped up its uranium buying activity... and could buy about 5,000 tones (about $500 million worth) this year, according to reports.
That news alone could send uranium to $55 a pound on limited supply and demand anticipation.
RBC Capital Markets thinks uranium could run up 32% to $55 on the supply-demand angle, too.
And according to the World Nuclear Association (WNA), China only needs 2,875 tons of uranium this year to keep the 11 reactors in operation up and running. And it still has another 24 under construction... and could have 200 total by 2030.
Heck, by 2020 alone, China demand could be up to 20,000 tons — more than a third of the 50,572 tons mined globally in 2009.
And there's still another 59 reactors being built around the world.
Russia is building 10; South Korea is building six; others are planned for Slovakia, Argentina, Finland, France, Japan, and the United States.
And then there's India, where demand could rocket to 8,000 tons, according to India's Nuclear Power Corporation.
Even better, Uranium Energy (UEC) CEO Amir Adnani is extremely bullish: "Throughout the industry, demand far exceeds supply on both a global and local-U.S. basis for now and the foreseeable future."
What's not to like here?
And who stands to benefit?
The one company set to benefit significantly is Cameco (NYSE: CCJ), the co-owner of the world's biggest uranium mine — especially with China's hunger for more material.
Plus, the company just inked a deal with China Nuclear Industry Corporation to supply a lot of uranium through 2020. It's also looking to move into India after a June deal between New Delhi and Ottawa opened the door for Canada into India.
But this isn't the only company lined up for uranium's "gold mine"...
I'll be talking about these and other opportunities for profit in the pages of Wealth Daily in the next few weeks, so stay tuned.
Stay Ahead of the Curve,
Ian L. Cooper
Wealth Daily
James Dines Predicts A Buying Panic In Uranium
August 4th, 2010
http://www.thebestonlinetrading.info/2010/08/james-dines-predicts-a-buying-panic-in-uranium/
Over the years, Dines effectively forecast the World wide web mania, forecasting the giants with the tech boom, and forecasting the tech bust. A gold bug again, Dines also additional uranium since the metal to watch over the returning a long time, saying, “This is my means of playing the entire coming energy boom.”
Interviewer: You might have been calling a bull industry in uranium and, as soon as once again, you had been the first voice within the now-growing crowd of uranium bulls.
James Dines: What a surprise.
Interviewer: Why are you bullish on uranium?
James Dines: It is very crucial to get into a bull marketplace early. The earlier, the better. That’s when the biggest percentage gains are made. Which is why we got into the Internets really early. We got stopped out in 2000. We have been in cash for a year after which it went to metals, since the method to perform the China boom in 2001. We’re still in individuals. In 2002, we turned bullish on uranium like a special way to play the arriving boom in the whole power complex.
Interviewer: But why uranium, as opposed to an additional type of metal?
James Dines: Basically, the western world demand is outpacing supply by about 300 million pounds a year. Global uranium use, excluding the growing usage by China as well as the former Soviet Union, is running at around 155 million pounds a year, as compared with global production of only all-around 94 million pounds. You can find only about 500 clients for this stuff, not counting terrorists (joke) Due to that, it’s actually not a typical commodity. The public cannot go and purchase uranium. In August 2003, there was a shocking blackout in Canada. The utilities have been shaken. They realized when they don’t pay attention, the lights go out. That was a kick inside the shin for utilities to begin immediate investment inside the infrastructure of the electricity grid. But what is totally below the world’s radar is the fact that nuclear plants are also concerned about a shortage of uranium. If they run out of uranium, the lights go out. You cannot switch to another fuel. You can’t toss an additional log on the fire, so to speak. Because of that, there’s a developing panic among the buyers. Which is why I became what I’m calling myself: The Original Uranium Bug. And calling, or predicting, the coming Uranium Melt Up and purchasing panic.
Interviewer: A panic more than uranium. Why do you say that?
James Dines: There is planning to be a buying panic. The bottom line is the fact that in 2002, there had been 441 nuclear reactors worldwide and an additional 34 under construction. Six new reactors started commercial production in 2002, three in China, two in South Korea and one in Japan. There was construction begun on six reactors in India and four in South Korea. You will find much more units arriving in Finland, Russia, Ukraine, Romania, and Brazil. China announced recently they were heading to construct five much more nuclear facilities. All of the governments from the planet have been frightened by the talk with the difficulty in obtaining oil. I wouldn’t be surprised if much more of them began building up their strategic oil reserves as the US has done. That would turbo the whole carbon-based fuel crisis greater. That makes nuclear a lot more than a competitor. The price tag of uranium hit $7.10 on Christmas Day 2000, after which started a lower, quiet and slow climb. The bottom line, which I outlined in my book on Mass Psychology, is the fact that a new bull market ought to be invisible to the crowd. The corollary to that is whenever you see bandwagon on Wall Street, you are too late.
Interviewer: Some are creating predictions of $50 uranium or even higher. What do you consider?
James Dines: $50, $60, anything at all is achievable. If you’re running a utility and your selection was getting uranium at any cost or having the lights go out, which would you do? This is my method of playing the entire returning energy boom. I consider it’s the smartest way. That is special. This metal is just not there. We’re just not planning to have it.
Interviewer: How very much of the role does Cameco (NYSE: CCJ) play in this marketplace?
James Dines: They control the world’s largest high-grade reserves and low-cost operations, commanding position. They supply around 20 % from the western world’s uranium. It’s actually America’s only uranium producer, in Wyoming and Nebraska. Around 20 percent of America’s vitality is produced by nuclear. That accounts for around 35 percent of the western world’s consumption.
Interviewer: Is there any other method to perform the uranium bull market?
James Dines: There is certainly no other method to play it, as far I know of. The utilities acquire the stuff so you can not acquire the metal. There’s no other way. Which is why I like the uranium way of playing the power boom. Some of my other predictions, like the Arriving Age from the Finish of Petroleum – this century is planning to see the finish with the petroleum age. We’re heading to use it up. You might have China and India arriving onstream. You’ve got the automobile age coming to those two countries. Not even a single % of their citizens personal automobiles yet. With all these vehicles arriving onstream, suddenly every person is frightened about nailing down their petroleum supplies. I do not have to tell you how explosive the Middle East could be. Anything could occur there. A revolution in Saudi Arabia – the most valuable real estate on the planet and it’s actually being gunned following by not just Al Qaedah, but every other huge player on the land mass is saying, we require oil. That is where the pool is. As that pool shrinks, it is heading to become a lot more and a lot more useful. There is going to be more of a stampede into other energy sources. You already see it heading into coal and natural gas. Unless they’re going to begin putting windmills on cars, it is over. When it will end, who knows?
Interviewer: Any guesses?
James Dines: You hear all kinds of guesses. There were only so many dinosaurs and ferns. It’s actually finite, and it is dirt inexpensive. Folks snivel at $1.67 for gasoline, but they pay $10/gallon for Gatorade. White-out is $25/gallon. Evian is $21/gallon. Pepto-Bismol is $123/gallon. People have no concept of how substantial oil is going to go. Oil is planning to go via the roof. A sound vitality portfolio must undoubtedly include some oils. But to me, the center with the chessboard is going to become uranium. It is heading to get a lot worse before it gets much better. As soon as you begin acquiring sky-high costs for oil, there’s no limit to what uranium could do. Even with an accelerated drilling program, it’s actually heading to take many years to bring it on. And they haven’t even started it yet. There is an vitality crisis arriving with the very first magnitude.
I`m placing my last buy order today for 2M shares at 0.000001 GTC, hoping to get filled before the end of the month. So go get em Bulldog CEO Diamond and don`t forget to take that $750,000 per Month in Credit so you can write a check for the next big one.............
Well, there is still a ramping up of the sell orders for the stock. Will we see another 20% plus drop today. Even if there is more buying than selling in this stock the MM`s will drag the share price down. This stock will only go up now when and if buying overwhelms the MM`s and they have to unload inventory. What will be the catalyst? Does the company really care about their shareholder base? That`s the question I question along with are they really doing enough? Their products should be all over these spills being tested in areas if the company would send them out free of charge with a video on the use. Then at least they would be used or rejected for use. From there PR`s they seem to anticipate large orders but how are they going about securing these orders, if any? Questions, questions, questions equals continued lower stock price. An inventor is a poor business person usually!!!!!!!!!!!!
The problem with a penny stock is there is no real bottom, yet if things pan out, which I still believe there is a chance, then the top in the stock price is open. Wishful thinking for a buyout or a nice PR that production is ramping up do to orders. Still holding!
I`m seeing a drop today to the 12.75 area, as Friday draws near a move back up and resumption of the down market, We`ll see!
Don`t be surprised if the next stake you have will be driven through the stocks listless declining price. I`m starting to see that this small company is going nowhere fast given all the oil related problems current, and little to no MOP in sight. I`ve stopped adding to my 300,000 plus share count and will give it another week maybe. GLTA
Hold that elevator, all aboard! Today the rally extended the price gains but market breadth is definitely waning. I guess the bears are not pressing their cause yet! Setting a bull trap perhaps? Seen this market time and again break support and then immediately rally back up, trapping the bears, then it turns around and breaks resistance and immediately drops back down, trapping the bulls. I see complacency in this elevator! O. K. shorty, you need to get off on this floor, long, you can stay and get another B slapping when shorty gets back on.
New Laptop computer retailing for less than 35 dollars... In India
July 26, 12:46 PM
India tops walmarts price, less than $35.00.
[img]www.ifreshnews.com/wp-content/uploads/2010/07/indians_ipad_6783.jpg
[/img]
http://www.examiner.com/x-49111-Miami-Technology-Examiner~y2010m7d26-New-Laptop-computer-retailing-for-less-than-35-dollars-In-India
Jim Rogers: Stress Test Is a PR Exercise
Published: Monday, 26 Jul 2010 | 6:01 AM ET
Text Size
By: Antonia Oprita
Web Producer, CNBC.com
The stress test in which only seven of 91 European Union banks failed is just a public relations exercise and wasn't tough enough, famous investor Jim Rogers told CNBC.com Monday.
On Friday, EU authorities released the results for the stress tests, with many analysts saying the criteria had been harsher than the ones used to test US banks a year ago. But Rogers said the European test was "a PR exercise just as was America's."
They were "a waste of time – and journalistic ink," he wrote in an e-mail.
Many analysts criticized the fact that a sovereign default in Europe had not been taken into consideration in the criteria for the test, but the head of the Committee of European Banking Supervisors (CEBS) told CNBC that sovereign exposure of banks taking the test had been disclosed.
The European stress tests assume an average fall in gross domestic product of 3 percent, an increase of 6 percent in unemployment and a 6 percent hike in market interest rates.
But there are other factors that haven't been taken into consideration, Rogers said.
"There are more problems coming in the currency markets, pension funds, US states and cities, etc. None of this was considered although the latter is only indirect for the European banks," he said.
European bank stocks rose Monday morning after stress test results, but Rogers said he was not interested in financial stocks. He also said he was not interested at the moment in going long on any stocks.
The European Central Bank will "keep trying for the foreseeable future" to save the euro zone's weaker countries, Rogers said.
Asked what his position was on the euro, Rogers, who bought the single European currency back in June, said he is "watching at the moment."
As opposed to carrying around a bulky laptop when out and about it`s much easier to use a smart-phone along with iStockManager or another realtime trading system. You can use it almost anywhere on wifi....My trading when i`m out pays for the phone usage many times over. In reality pricing is really moving down on all items and fantastic deals abound.
Good trading day everyone...........
FAZ oversold
TNA overbought
Only way to play sometimes is trade before and after hours then sit back a watch the market stay spasmodic.
Keep a close eye during the day Real Time Streaming Futures Charts
http://www.futurespros.com/charts/real-time-futures-charts
and your trading charts. GLTY
Stocks to Mirror '66-82 as Debt Purge Kills Growth, Bedlam's Compton Says
Stocks will stagnate for years as governments cut spending and financial stimulus measures, according to Jonathan Compton, the manager who sold bank shares in September 2007 after warning markets would “break down.”
Stocks may mirror the Dow Jones Industrial Average from 1966 to 1982, when the U.S. benchmark gauge failed to make progress after swinging between gains and losses, Bedlam Asset Management’s Compton said. Record levels of sovereign debt will likely trigger higher interest rates and defaults, sending bonds into a “tail spin” and creating a “gale-force headwind” for stocks, according to Bedlam, which gets its name from a British hospital for the mentally ill.
“We are clearly in a prolonged period of very anemic economic growth,” Compton, 57, who helps oversee about $600 million, said in an interview from London. “Economies and business have to adjust to the end of a prolonged period of government support and easy credit. It is non-negotiable that the outlook for leading governments, thus all debt markets and hence many other asset classes, is poor.”
Reports this month on U.S. manufacturing, employment and home sales have triggered concern that growth will slow in the second half of the year, just as governments from the U.K. to Spain cut spending and record-low borrowing costs stop central banks from further lowering interest rates to stimulate the economy. The MSCI World Index has fallen 4.9 percent in 2010.
Drastic Measures
Compton said that his strategy was influenced by a March paper on public debt from the Bank for International Settlements in Basel, Switzerland, which said that “drastic measures are necessary to check the rapid growth of current and future liabilities of governments and reduce their adverse consequences for long-term growth and monetary stability.”
Aiming to avoid the problems of Greece, which was forced into a bailout from the European Union and International Monetary Fund, European governments are leading the trend in cutting spending. The U.K. has embarked on what the government calls the biggest budget cuts in peacetime.
Compton’s Bedlam Global Fund has about 14 percent in shares of producers of precious metals including gold in a bet that investors seeking protection against an economic downturn will boost the value of the commodity, he said. Companies that rely on government spending and those that are highly indebted are “toxic,” he said.
Gnashing of Teeth
Concerned by a “cross-infection” of financial markets as a credit boom ended, Compton sold all financial and property companies in September 2007 and hoarded 21 percent of his fund in cash. Banks and real-estate stocks accounted for 24 percent of the MSCI World in September 2007, and 25 percent of the fund in January 2007.
“Despite a gnashing of teeth equity markets continue to move in an upward trading channel,” Bedlam wrote in its monthly bulletin on Jan. 10, 2007. “At some point in the first half of 2007, we expect them to break down, possibly sooner rather than later.” The Dow peaked at 14,164.53 on Oct. 9, 2007 and fell 54 percent through March 9, 2009 as the subprime-debt crisis triggered the worst financial crisis since the Great Depression.
The Bedlam Global Fund, which accounts for three quarters of the company’s assets under management, held no bank shares through 2009 and now has less than 2.5 percent of total assets in financials, documents show.
Debt Upon Debt
Faced with “waning” credit growth and a “stuttering” economic recovery, Federal Reserve Chairman Ben S. Bernanke “will attempt one last heave with ‘Quantitative Easing II,’” Compton wrote in the July 16 review of his fund. “Piling record debt upon record debt to escape a record debt problem fails simple common sense tests. The eventual solution must be to shrink the government’s share” of gross domestic product.
Bernanke told the U.S. Senate July 21 that central bankers “remain prepared” to act as needed to aid growth because “the economic outlook remains unusually uncertain.”
While stocks might rally in if the Fed resorts to more stimulus, any gains will likely be short-lived, Compton said.
“Equity indices may enjoy an Indian summer as QEII temporarily makes all assets look cheap,” he added. “Yet such policy is doomed as the quantity of money needed to work will terrify bond markets already suffering oversupply and sovereign stress.”
http://www.bloomberg.com/news/2010-07-23/stocks-to-mirror-66-82-as-debt-purge-kills-growth-bedlam-s-compton-says.html
The market needs awareness of the product plain and clear. We need to know what they are doing to promote their product line. If it wasn`t for Investors Hub, i`d never of found this company months back and I was all over looking for spill plays.
Use the the gulf counties free ad shoppers and list a warehouse sale. 230,000 shares strong and still adding on dips and blips.
Thanks bUrRpPPP
I picked up on that last week with your post to another poster over at China growth stocks forum. Appreciate the heads up as i`d been paying for it.
I`ve held and added some FAZ but it`s just a gut feeling I have about this current rally, I generally day trade all 3x ETF`s due to their volatility. You`ll have to put together a system that works for you that your comfortable with.
This below site has some good daily videos and Ron trades the 3x ETF`s and gives some excellent technical charting exposure. Scroll down to the 3rd video for FAZ or just watch all 3. Also he has his charts to look at on the left side of his site to do your TA research. GLTY hope it helps.....
http://www.thechartpatterntrader.com/
Uranium prices set to rise by 2014
Allan Eggers
http://www.perthnow.com.au/business/uranium-prices-set-to-rise-by-2014-allan-eggers/story-e6frg2r3-1225895691297?from=public_rss
URANIUM industry legend Alan Eggers says mining companies should prepare for a rebound in uranium prices by 2014 when there will be a massive global demand for nuclear power.
Describing the current uranium spot price of $US42 a pound as “dysfunctional”, Mr Eggers, who is the executive chairman of Manhattan Corporation Ltd, said the industry should start warming up for the next boom.
“We see this is an opportunity now to secure resources, build inventories and be ready to produce from 2014-2016.
“It is dysfunctional what the spot price doing, but we can expect to see a rebound and a better price at about $60-70 a pound,” Mr Eggers told the Australian Conference in Fremantle today.
While all uranium mining companies had suffered against a backdrop of plummeting prices over the past year, Mr Eggers echoed a recurring theme of the conference over why the industry was primed to spike.
He said former Prime Minister Kevin Rudd’s ill-fated Resource Super Profit Tax, replaced by Julia Gillard’s Mineral Resource Rent Tax were both bad for the industry and should be opposed despite concessions.
“But hopefully things have stabilised and we can now look at share prices going north in the near future. It is all about energy consumption and nuclear power is a sustainable and clean form of power,” Mr Eggers said.
At present there were 440 nuclear powered plants operating on the planet with another 50 under construction and 380 planned. In addition, 220 ships and submarines used nuclear power and the world counted 250 research reactors, including two in Australia.
“It is a big industry and it is consuming a lot of uranium. China’s demand for energy is insatiable and for uranium very similar, as the world’s largest consumer of energy China now exceeds the United States.
“We believe prices are poised to rebound in the near future and China is going to need 44 million pounds a year of uranium by 2020 and that is going to have to come from somewhere.
“India as well is in a similar situation. They have got a problem, their nuclear power production is constrained by the supply of uranium.
“They have only got three of their 17 reactors working to capacity.
“They are working to around 60 per cent utilisation and by 2020 they plan to produce 20,000 megawatts of power and they are going to need about 18 million pounds a year there as well.
“This is on top of what is going on in the rest of the world.
“Current production is around 100 million pounds and about ten per cent of that is from Olympic Dam (in South Australia),” Mr Eggers said
He said current world consumption of installed capacity was about 200 million pounds, the difference covered by mixed oxide fuels and the decommissioning of nuclear weapon programmes material – notably from Russia – diverting supply to the United States, which consumed 50 million pounds of uranium per annum.
“In the next ten years you can see that US utilities and non US utilities required about another 120 million pounds. In addition to what the shortfall is, when the current round of decommissioning of weapons is completed in Russia in 2013, there is a 220 million pound shortfall looming.
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Of Australian uranium and Manhattan projects, Mr Eggers said he believed the deposits were “world class”.
“It is time investors came back. Uranium was a worst performer in the last 12 months, when it was down 50 per cent, but this is a buying time and in two to three years you are going to reap the benefits,” he said.
His views were endorsed by Treva Klingbiel, President of Trade Tech, who advise on uranium buying and pubish price reporting forecasts.
Ms Klingbiel said identified uranium projects could meet requirements for the next 15-years, but predicted production could be significantly delayed to the point of a shortage in the next five years.
She said help was not arriving from conventional sales markets, but from Asian utility companies who had a longer-term view of energy demands than their non-Asian counterparts.
She said a perfect storm had come together in 2007-08 that spiked the spot price of uranium to around $130 and it was possible to foresee a similar scenario in the future.
“Nuclear power is a growth industry worldwide and looking at 439 operating (nuclear power) plants, 62 under construction, 100 planned and 270 proposed, this projected growth and installed nuclear capacity we see fuelling that next storm.”
She said China’s growth forecast surpassed that of the next four countries combined.
China and Korea were, as a result, buying equity stakes in resource companies in Australia to sustain economic momentum.
“This begs the question. Where will all this uranium come from? The answer is that the industry is looking to countries that do not have sovereign risk issues.
“Australia and Canada are expected to supply the bulk of supply, each doubling capacity by the year 2020,” she said.
For the rest of 2010, she forecast the price of uranium hovering around the $40-45 range rising to $60 in the long-term, potentially fetching $75-$80 at the start of 2014 and continuing on an upward trajectory.
US bank failures in 2010 surpass 100
http://finance.yahoo.com/news/US-bank-failures-in-2010-apf-3974782609.html?x=0&sec=topStories&pos=1&asset=&ccode=
US bank failures this year surpass milestone of 100; regulators shut 7 banks to make 103
WASHINGTON (AP) -- U.S. bank failures this year have surpassed a bleak milestone of 100 as regulators shut down banks in Georgia, Florida, South Carolina, Kansas, Nevada, Minnesota and Oregon.
The seven bank seizures announced Friday bring to 103 the failures so far in 2010. The pace of bank closures this year is well ahead of that of 2009, which saw a total of 140 banks shuttered amid the recession and mounting loan defaults. That was the highest annual tally since 1992, at the height of the savings and loan crisis.
The pace has accelerated as banks' losses mount on loans made for commercial property and development. Many companies have shut down in the recession, vacating shopping malls and office buildings financed by the loans. That has brought delinquent loan payments and defaults by commercial developers.
The Federal Deposit Insurance Corp. said it took over Crescent Bank and Trust Co., based in Jasper, Ga., with about $1 billion in assets; Sterling Bank of Lantana, Fla., with $407.9 million in assets; Williamsburg First National Bank of Kingstree, S.C., $139.3 million in assets; Thunder Bank of Sylvan Grove, Kan., $32.6 million; SouthwestUSA Bank, with one branch in Las Vegas, $214 million; Community Security Bank of New Prague, Minn., $108 million; and Home Valley Bank of Cave Junction, Ore., $251.8 million.
Renasant Bank, based in Tupelo, Miss., agreed to assume the assets and deposits of Crescent Bank and Trust. Iberiabank of Lafayette, La., is acquiring the assets and deposits of Sterling Bank. First Citizens Bank and Trust Co. of Columbia, S.C., is assuming the assets and deposits of Williamsburg First National Bank, while Bennington State Bank in Salina, Kan., is taking the assets and deposits of Thunder Bank.
Roundbank of Waseca, Minn., is assuming those of Community Security Bank. Plaza Bank, based in Irvine, Calif., is acquiring the deposits of SouthwestUSA Bank and $137.3 million of the assets. The FDIC will retain the rest for eventual sale. South Valley Bank & Trust in Klamath Falls, Ore., is assuming the assets and deposits of Home Valley Bank.
The failure of Crescent Bank and Trust is expected to cost the deposit insurance fund about $242.4 million. The resolution of Sterling Bank is estimated to cost $45.5 million; that of Williamsburg First National Bank, $8.8 million; Thunder Bank, $4.5 million; SouthwestUSA Bank, $74.1 million; Community Security Bank, $18.6 million; and Home Valley Bank, $37.1 million.
By this time last year, regulators had closed 64 banks.
The number of bank failures is expected to peak this year and be slightly higher than the 140 that fell in 2009. Twenty-five banks failed in 2008, the year the financial crisis struck with force, and only three succumbed in 2007.
The growing bank failures have sapped billions of dollars out of the deposit insurance fund. It fell into the red last year, and its deficit stood at $20.7 billion as of March 31.
The number of banks on the FDIC's confidential "problem" list jumped to 775 in the first quarter, from 702 three months earlier, even as the industry as a whole had its best quarter in two years.
A majority of institutions posted profit gains in the January-March quarter. But many small and midsized banks are likely to continue to suffer distress in the coming months and years, especially from soured loans for office buildings and development projects.
The FDIC expects the cost of resolving failed banks to total around $60 billion from 2010 through 2014.
The agency mandated last year that banks prepay about $45 billion in premiums, for 2010 through 2012, to replenish the insurance fund.
Depositors' money -- insured up to $250,000 per account -- is not at risk, with the FDIC backed by the government. That insurance cap was made permanent in the financial overhaul legislation signed this week by President Barack Obama.
Done, Northern California covered..........
SF bay area craigslist > north bay > services offered > financial services
Look at this undervalued oil clean-up co.
Date: 2010-07-23, 6:31PM PDT
Reply to: serv-hpwna-1859935023@craigslist.org [Errors when replying to ads?]
Your answer for the oil spill in the water and the sand is here.
FAZ holding up nice today, adding some more in here as the Summer of recovery is fading fast!!!!!!!!
Looking good here, stress test overseas another bate and switch today!
BUDAPEST (Reuters) - Ratings agency Moody's put Hungary on review for a possible downgrade on Friday, citing increased fiscal risks after it suspended talks with the IMF and EU on its existing $25 billion aid deal.
http://finance.yahoo.com/news/Moodys-warns-of-Hungary-rb-2663830896.html?x=0&sec=topStories&pos=5&asset=b134ea27b5b572afa7556b1c61059f7e&ccode=
Agreed, just thought i`d throw that out there even though we already know the mentality towards most of the cleanup.
Sorbent Materials
Sorbent materials are possibly the most talked-about alternative to traditional oil recovery efforts But according to the EPA, they are most often used in small spills or to remove the final traces of a large spill. Sorbent materials absorb oil in varying degrees, with some materials swelling more than 50 percent. Although various sorbent materials have been proposed, government and BP officials have so far only officially "considered" these materials for use in cleaning the spill.
The major concern with sorbent materials is that although they absorb the oil, the materials must be retrieved, which may prove extremely difficult, and could potentially make the situation worse.
There are three distinct types of sorbent materials:
Natural organic sorbents can soak up between 3-15 times their weight, but may sink as a result and tend to be difficult to collect. Examples of natural sorbents include peat moss, straw, sawdust, feathers and even ground corncobs.
Natural inorganic sorbents like clay, perlite, glass wool, sand or volcanic ash all can soak up 4 to 20 times their weight in oil. These substances have similar concerns as natural organic sorbents, but are also inexpensive and available in large quantities, although they are not used on the water's surface.
Synthetic sorbents are similar to plastics and are designed to soak up liquids into their surface and can absorb liquids into their solid structures that causes the material to swell. According to the EPA, most synthetic sorbents can absorb up to 70 times their weight in oil.
Natural Recovery
In some areas, the environmental impact of cleaning up a spill could potentially outweigh the benefits of cleaning certain areas, especially if these places are highly dense with vegetation or relatively remote. Wave action, naturally occurring microorganisms, sunlight and natural water dispersion all contribute to break down oil leaked into the ocean.
Although relying on natural forces and "doing nothing" may be hard for outsiders to swallow, in some cases it is the best environmental option. For many of the cleanup options available to crews, "natural recovery" is an important component.
Gelling Agents
A gelling agent is a chemical used to solidify spilled oil, making it easier to collect. Using the motion of the sea, the gelling agent turns the oil into a rubbery substance that can be easily removed from water with nets, suction devices or skimmers.
The problem with this method is one of quantity. Three times as much gelling agent as oil is needed for the desired effect to take place, and if BP's worst-case estimate is correct, then the slick in the Gulf of Mexico would require nearly half a billion gallons of solidifier. This is simply too impractical to transport and apply to the affected area.
http://www.cnbc.com/id/37593652/17_Ways_To_Clean_Up_The_Gulf_Oil_Spill?slide=6
This is a good one. GLTY tomorrow.....
On the Disconnect Between the Market and the Economy
http://seekingalpha.com/article/215879-on-the-disconnect-between-the-market-and-the-economy
It has been an interesting 24 hours.
* The index of leading economic indicators fell 0.2% in June, the second drop in three months. A negative surprise.
* Unemployment claims rose to 464,000, more than expected.
* Uncle Ben said we are facing a period of “unusual uncertainty.” No kidding.
* Uncle Ben said we need continuing stimulus to a Congress unwilling to stimulate anyone or anything other than lobbyists with cash to contribute.
* Home sales fell 5.1% in June.
All within 24 hours. And with all this bearish data the market is up 2.5%, ostensibly because of earnings and a bump in European exports. What is really going on is a massive day trade and short covering rally based on a cheapening dollar as bond prices rise and interest rates fall. Not to mention Bernanke said things are weak, may get weaker, and that means more liquidity and cheaper capital to borrow and trade.
Markets can move on their own for a while -- but not forever. The economy will catch up with corporate profits and bullish trading. The longer reality is ignored or pushed aside for a daily trade, the harder stocks will fall. Right now, we are on plan for a slow motion train wreck. The longer it takes for the beginning of the derailment, the harder that train will crash.
Don’t take my word for it. Perhaps the greatest and certainly one of the most respected technicians in the world, Louise Yamada, does not see many good things happening. Just listen. http://www.cnbc.com/id/15840232?video=1040148529 She sees the market giving us a sell signal based on failed rallies. Not to mention she believes we are in a structural bear market similar to 1929-1942. That bear market ended, sort of, with the Japanese bombing Pearl Harbor.
Weakening fundamentals, based on data and not wishful thinking, plus the best technician in the world is seeing a correction. Sounds like the market is increasingly separate from reality.
Maybe, but it seems like the rally may continue tomorrow...
Not a chance, it`ll flip over sometime hard during the day. Up Mondays, down Fridays. Anyway picking up blocks AH`s....
Good move, I pick up some too!!!!!!!!
FAZ rebound Friday..... In at 14.55....
Geordie Mark: Glowing Reviews for Uranium Plays
http://www.uranium-stocks.net/geordie-mark-glowing-reviews-for-uranium-plays/
Geordie Mark: Glowing Reviews for Uranium Plays
Mining Stocks — July 20th, 2010
You don’t hear a lot of talk about uranium these days. It’s just not as sexy as gold or silver. But with a host of reactors slated for construction, the sector is rife with opportunities. Haywood Securities Analyst Geordie Mark visits numerous uranium projects each year, researching plays at all levels. In this exclusive interview with The Energy Report, Geordie tells us why he’s given “sector outperform” ratings to no less than 11 companies. It could be the most comprehensive global roundup of uranium plays anywhere.
The Energy Report: The spot price for uranium was $40.75 a pound on June 21, when the long-term price for uranium was $58—a spread of $17.25, or 42%. What’s poised to support a 42% price increase?
Geordie Mark: The spot price actually moved up to $41.75 that night, the first move to the upside in quite a number of months. It’s a positive response to demand coming onstream. The long-term contract market is very different from the spot market; and, historically, it’s significantly bigger in terms of the volumes that are traded. We’re seeing the spot price moving to meet those contract prices going forward. We also think there’s a backdrop of significant demand increase due to a delay in the development-stage projects resulting from financial crisis issues and general market conditions.
TER: How far out do you see the spot price and the futures price meeting?
GM: We’re looking at a marriage maybe even by the end of 2011, with a spot price of $65 and a long-term move out to $70. We certainly expect to narrow the current gap by that point.
TER: And you said part of that is due to the number of projects coming onstream?
GM: That’s right. A few development-stage companies will go into production but, certainly compared to 2007, there have been delays due to equity raising. The number of new projects going forward has been stymied when those projects needed significant capex for development.
TER: At the same time we have a number of new reactors being built.
GM: That’s true. Over the last two years, we’ve seen some significant growth in the number of reactors going into construction. I think something like a 58% increase in the number of reactors are on the planning board; that’s a very good size in terms of a steady increase in future demand.
TER: Given the number of reactors being built or scheduled, why haven’t uranium stocks performed better of late?
GM: There’s a relationship between share prices and general market conditions. Over the last two years, both spot and long-term prices have come off somewhat in response to global financial conditions. I believe spot has come down from about $59 and long-term prices from $80. Company valuations are quite closely linked to commodity prices, so you’re basically seeing the relationship to a softening in the commodity price over that two-year period.
TER: So with demand slated to rise significantly, we should see a corresponding rise in share prices of uranium miners and explorers?
GM: That’s our target forecast for our covered companies and where we see the commodity price going in response to increasing demand. I think the interesting thing is that increasing demand not only corresponds to the number of new reactors coming onstream but also policies echoing out of Europe regarding extending the life of existing reactor fleets. You’re seeing a number of different avenues in which nearer-term demand could increase, which only adds to the longer-term demand of new reactors. There are incremental policy changes toward nuclear power, too, certainly across Europe and coming across through North America. Obviously it’s happening in Asia, with China and South Korea furnishing fairly large reactor-unit increases for their countries.
TER: Some of the most promising uranium projects are in Australia. Although the country is considering a new tax on miners, the Mineral Resources Rent Tax (MRRT), a recent change in leadership in the governing party could be a favorable development. Could you update us on the political climate in Australia as it pertains to the uranium players there?
GM: Well, Australia is interesting. It has the world’s largest accumulated known uranium resources and the largest uranium deposit—Olympic Dam. At the moment, Australia’s federal government allows uranium mining, and other regulations basically filter down state by state. Western Australia is now open to uranium mining. South Australia has an active uranium mining history, as does the Northern Territory. The more recent super-tax proposal, which the Labour Party put forward, created an uncertainty in terms of the value of both current and future mining projects. Julia Gillard, the new Prime Minister, has made motions toward the industry in terms of coming forward and talking about possible modifications to the mining taxation rules. For the time being, it’s hard telling how ultimately this will break down.
TER: Your research talks about some sector outperformers among the conventional explorers. You’ve mentioned Energy Fuels Inc. (TSX:EFR), Mega Uranium Ltd. (TSX:MGA) and Strateco Resources Inc. (TSX.V:RSC). Please update us on those companies.
GM: They provide investors with exposure to uranium in different jurisdictions. For example, Mega has the Lake Maitland project in Western Australia, which is opening up for uranium mining and where a significant proportion of Mega’s assets are located. The company has good partners in a Japanese consortium, which owns about 35% of the asset at Lake Maitland. Mega provides people with exposure to a near-term uranium producer that has a significant support base in terms of these partners. I think that’s one of the more favorable new projects in Australia. We anticipate production maybe in 2013. It would be a lower-cost producer, probably in the high $20s in terms of USD per pound of production.
TER: How much would Mega produce annually at Lake Maitland?
GM: We’re looking at about 1.65 million pounds; it’s small-scale production. It’s basically a thin layer at surface that doesn’t require conventional mining. It’s unconsolidated mud effectively, so 1.65 million pounds a year for the life of the project.
TER: Does Mega have any other projects in Australia?
GM: Lake Maitland is their primary project. Their second main asset in Australia is Ben Lomond, up in far northern Queensland, just outside the city of Townsville. It’s a modest-grade deposit; it’s got potential. They’ve got a bunch of other exploration plays around the world, particularly in Canada.
TER: What’s your target price on Mega?
GM: $0.80.
TER: Before we go further, could you give us an overview of cash costs—low, medium and high—in terms of uranium production?
GM: Sure. Certainly low cash costs now would be below around $25 a pound. Medium would be upper $20s and $30s. High costs are $40s and above.
TER: Okay. What can you tell us about Strateco?
GM: Matoush is a very nice deposit in Québec; very handsome grades, close to 0.6% U3O8. It has a resource of about 20 million pounds of uranium U3O8—small, but higher grade. Our interpretation is that Matoush is the most advanced project for a development-stage company in Canada. Strateco has a big program going at the moment —another 60,000 meters of drilling this year to look for extensions of mineralization, and another 60,000 meters planned for 2011. The orebody is still open. Guy Hébert, the president and CEO, is also working out permitting. We’re looking at permits for the project to start underground development for bulk sampling.
TER: How long would it take for them to get the assay results from that bulk sample?
GM: We’re looking at a couple of years, probably 2012. They have to develop the underground workings first. The main thing in the interim is the underground development itself, and also the exploration drilling they’re doing. It takes time. That’s why we think Strateco is ahead of its peers in terms of submitting proposals to the Canadian Nuclear Safety Commission (CNSC) for licensing and permitting approval. Canada is highly regulated, which is a good thing. It’s mandated, and these things take time.
TER: Alright, what about the others?
GM: Energy Fuels, that’s a uranium-, vanadium-oriented company in Utah and western Colorado. We like them because of the duality of the commodities. In addition to uranium, they have the vanadium, which is an integral component in steel manufacturing. That gives them a bit of a boost. Energy Fuels would be a moderate to higher-cost producer and shares many similarities with Denison Mines Corp. (TSX:DML; NYSE.A:DNN) and its mining and processing operations in the United States.
TER: What are some of their assets?
GM: They have the Piñon Ridge Mill project, permits for which are under review. That process should be complete by early next year. They have a couple of mines that are fully permitted and will be underground mining on the Colorado Plateau. Energy Fuels has the potential to go into production at their Whirlwind Mine, but they don’t have a mill there yet.
TER: A recent edition of Haywood Securities’ Uranium Weekly gives sector outperform ratings to Paladin Energy Ltd. (ASX:PDN; TSX:PDN) and Denison. What upsides do you see there?
GM: I favor Paladin simply because they have two conventional open-pit mines in Africa where they’re ramping up production. There’s one in Namibia, which is the world’s fourth largest uranium-producing country. The new mine that they commissioned last year in Malawi is Kayelekera. Paladin’s a conventional player with production costs of around $30 a pound; it’s a Tier-2 producer at the moment and is looking to expand from there. The company also has development plans in Australia and elsewhere in Africa. They’ve done quite well—they’ve proven themselves to be the new player in terms of conventional mining and milling in the uranium sector.
TER: Are they approaching Cameco Corp. (NYSE:CCJ; TSX:CCO) status?
GM: No, not yet. Cameco is fairly substantial, quite diverse; but Paladin is a Tier 2. There are not many Tier 2 producers out there; they include Uranium One Inc. (TSX:UUU), Paladin and Denison in that fold.
TER: Tell us about Denison.
GM: Denison is basically a North American uranium producer and also produces vanadium from its Utah operations. It’s a higher-cost producer, and certainly the leveraged play in the space. Denison has basically reconstituted itself over the last year and a half in terms of raising equity to minimize long-term debt. They’ve also brought in KEPCO as a partner—Korea Electric Power Company (NYSE:KEP). Basically, Denison is slowly ramping up its production in the U.S. They’ve cut down a few of the higher-cost producing mines to be more prudent in their mining and producing operations. For example, they have a partnership with AREVA (PAR:CEI) at the McClean Lake facility in Canada, which is probably going on care and maintenance in July.
TER: Why is that?
GM: AREVA operates that, so it’s largely their decision. . .probably looking toward future prices to see when it comes back onstream. Denison also produces vanadium, and they have a very exciting discovery in the Athabasca Basin—the Phoenix Zone in the Wheeler River joint venture. Phoenix has had some outstanding drill results over the last year. They’re aiming to get a resource estimate out on that by the end of 2010. Quite an exceptional discovery, I think.
TER: In that same issue of Uranium Weekly, you talk about some in-situ miners. Among your sector outperformers are Uranium Energy Corp. (NYSE.A:UEC), Ur-Energy (NYSE:URG; TSX:URE) and Uranerz Energy Corporation (TSX:URZ; NYSE.A:URZ). Tell us about those.
GM: Uranium Energy, Ur-Energy and Uranerz are all in the U.S., all looking at in-situ uranium recovery—so no physical mining, all sandstone-hosted. We see near-term production out of all three of the companies. That’s this year for Uranium Energy, probably next year for Ur-Energy and late 2011, early 2012 for Uranerz.
TER: This year for Uranium Energy?
GM: Yes. We’re looking at Uranium Energy entering production in October from their Hobson plant and mining from their well fields at Palangana—both in Texas; so, with this timeline, it will effectively be the world’s next uranium producing company. It’s quite an exciting development for the space and the company. They have another project, Goliad, which could potentially add to their production and should get its final permitting by the end of this year. We like Uranium Energy’s lower-cost production base. They’re not large but their cash costs are probably around $22, so quite good there. Production scale potentially 1M–2M pounds annually.
TER: Has the share price moved in anticipation of production?
GM: No, not as yet.
TER: Given that its pending production profile hasn’t been taken into account, might it be a good buying opportunity?
GM: We certainly like them. Our target there is $3.90. They’re trading at around $2.40, so we think that offers a good opportunity. They have a number of catalysts going forward and a big exploration plan around their existing resources. They will update their resource estimate in September; production in October. We’re looking at getting a second well field project ‘Goliad’ permitted by the end of the year. A third project called, Seager-Salvo, could have an initial resource estimate by year-end, as well.
TER: What about Ur-Energy?
GM: Ur-Energy and Uranerz are good peer companies. They’re both in Wyoming, and both submitted applications to go into mining around the end of 2007, beginning of 2008. We’re looking at production next year for Ur-Energy and early 2012 for Uranerz. Let’s go through Ur-Energy. They’ve got a very good cash position and have the Lost Creek and Lost Soldier deposits. They’ve been operating from Lost Creek first—they’re looking at development there. We’re looking at the Nuclear Regulatory Commission (NRC) ultimately providing final permits and licenses to go into production in the second half of this year. It’s the same for Uranerz. We’re looking at probably starting to build at the end of this year, beginning of next year. Lower-cost producer, small scale.
TER: Let’s go back to what’s happening in Africa. Haywood’s research would seem to agree that Africa has a number of promising uranium explorers and developers. Could you talk about some of the juniors Haywood thinks are poised for significant share appreciation?
GM: Africa is blossoming as a region for uranium discovery. Mantra Resources Ltd. (TSX:MRL; ASX:MRU) and Extract Resources Ltd. (TSX:EXT; ASX:EXT) have made some genuine new discoveries there over the last year or two. I think the best thing about Africa is the probability of making discoveries that are more easily exploitable in terms of being at or near surface, so they’re amenable to open-pit mining. Mantra has an exceptional deposit, the Mkuju River Project in Tanzania. I think the company published its first resource estimate at the beginning of last year. . .more than doubled it within a year and still has the potential to increase that resource. They’re looking at production in the second half of 2012. That’s a very quick timeline to production. They’re still looking at increasing the capacity from their plant and milling operation. We’re looking at a modest cash cost of about $25 a pound. Mantra has a lot of positives going forward.
Extract made an outstanding discovery at Rossing South in Namibia. This is 6 km. south of the existing Rossing Mine that Rio Tinto Ltd. (LSE:RIO; NYSE:TP; ASX:RIO) operates. They have close to 300 million pounds of defined resources, which they identified in rapid time. Their resources are significantly higher grade than the existing Rossing operation and they’re looking at expanding on that. It’s a world-class discovery, a fact that their share price has reflected over the last 18 months.
TER: That’s great. Any others?
GM: Bannerman Resources Ltd. (TSX:BAN; ASX:BMN) has done a lot of work in terms of defining the Etango deposit, which has about 160+ million pounds of uranium. It’s tens of kilometers away from Extract’s Rossing South. They’re all very close together, and all alaskite-hosted. That means the mining and processing techniques are well known and understood given the long history of mining at the Rossing Mine.
The Etango deposit is defined over 6 km. of strike length. It crops out—it’s at surface and shallow. Bannerman doesn’t have the grade that Extract has, so they’re a more leveraged play in the space; but we still like Bannerman in terms of a large strategic resource. We’re looking at cost of production in the high $30s or maybe $40 a pound.
The big thing there is that they should get their ultimate mining license over the next few months, so they’ll be one of only three operations to have licenses to go into production. The big players are looking for resources with potential for large-scale production in areas that allow uranium mining. And that’s where Bannerman, Extract and Mantra all come out quite well.
TER: Thank you, Geordie, for updating us on all of these exciting developments.
Dr. Geordie Mark, a research analyst with Haywood Securities, focuses principally on uranium companies involved in exploration, development and production. He joined Haywood Securities from the junior exploration sector, where he was vice president of exploration for Cash Minerals, which concentrated on uranium and iron oxide-copper-gold targets across Canada. Immediately prior to joining the exploration industry full-time, Dr. Mark lectured in economic geology at Monash University, Australia and served as an industry consultant. He completed his Ph.D. in geology in 1998 at James Cook University’s Economic Geology Research Unit in Australia, specializing in aqueous geochemistry and igneous petrology applied to ore-forming systems.
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DISCLOSURE:
1) Brian Sylvester of The Energy Report conducted this interview. He personally and/or his family own the following companies mentioned in this interview: None.
2) The following companies mentioned in the interview are sponsors of The Energy Report: Mega Uranium.
3) Geordie Mark: I personally and/or my family own shares of the following companies mentioned in this interview: Paladin Energy. I personally and/or my family am paid by the following companies mentioned in this interview: None.
4) As of the end of the month immediately preceding this publication either Haywood Securities, Inc., its officers or directors beneficially owned 1% or more of Mantra Resources.
5) Haywood Securities Inc. or an Affiliate has managed or co-managed or participated as selling group in a public offering of Extract Resources, Mantra Resources, Mega Uranium and Uranerz Energy in the past 12 months.
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Got a comment then please add it to this article, all opinions are welcome and very much appreciated by both our readership and the team here.
I`ve been adding CYPB as there is no way this gets done at $4 bucks. Think they need some more lawyers filing suit on behalf of the shareholders!
India Nuclear Power Corp Implementing 36 Projects
http://online.wsj.com/article/SB10001424052748703724104575378492674624982.html
BY ERIC YEP
MUMBAI -- Nuclear Power Corp. of India Ltd. said it is working on at least 36 nuclear power projects with a total capacity of about 34 gigawatts, as Asia's third-largest economy tries to meet a surge in demand for power due to its rapid industrialization and urbanization.
The projects include those under the country's indigenous nuclear program as well as joint ventures with Russia, France and the U.S., said Finance Director Jagdeep Ghai in a recent interview.
The bulk of these projects are expected to be completed in the next decade, which will help the state-run nuclear power producer.
Uranium Investing Plays
http://www.marketoracle.co.uk/Article21260.html
Commodities / Uranium Jul 20, 2010 - 04:00 PM
By: The_Energy_Report
Commodities
Best Financial Markets Analysis ArticleYou don't hear a lot of talk about uranium these days. It's just not as sexy as gold or silver. But with a host of reactors slated for construction, the sector is rife with opportunities. Haywood Securities Analyst Geordie Mark visits numerous uranium projects each year, researching plays at all levels. In this exclusive interview with The Energy Report, Geordie tells us why he's given "sector outperform" ratings to no less than 11 companies. It could be the most comprehensive global roundup of uranium plays anywhere
The Energy Report: The spot price for uranium was $40.75 a pound on June 21, when the long-term price for uranium was $58—a spread of $17.25, or 42%. What's poised to support a 42% price increase?
Geordie Mark: The spot price actually moved up to $41.75 that night, the first move to the upside in quite a number of months. It's a positive response to demand coming onstream. The long-term contract market is very different from the spot market; and, historically, it's significantly bigger in terms of the volumes that are traded. We're seeing the spot price moving to meet those contract prices going forward. We also think there's a backdrop of significant demand increase due to a delay in the development-stage projects resulting from financial crisis issues and general market conditions.
TER: How far out do you see the spot price and the futures price meeting?
GM: We're looking at a marriage maybe even by the end of 2011, with a spot price of $65 and a long-term move out to $70. We certainly expect to narrow the current gap by that point.
TER: And you said part of that is due to the number of projects coming onstream?
GM: That's right. A few development-stage companies will go into production but, certainly compared to 2007, there have been delays due to equity raising. The number of new projects going forward has been stymied when those projects needed significant capex for development.
TER: At the same time we have a number of new reactors being built.
GM: That's true. Over the last two years, we've seen some significant growth in the number of reactors going into construction. I think something like a 58% increase in the number of reactors are on the planning board; that's a very good size in terms of a steady increase in future demand.
TER: Given the number of reactors being built or scheduled, why haven't uranium stocks performed better of late?
GM: There's a relationship between share prices and general market conditions. Over the last two years, both spot and long-term prices have come off somewhat in response to global financial conditions. I believe spot has come down from about $59 and long-term prices from $80. Company valuations are quite closely linked to commodity prices, so you're basically seeing the relationship to a softening in the commodity price over that two-year period.
TER: So with demand slated to rise significantly, we should see a corresponding rise in share prices of uranium miners and explorers?
GM: That's our target forecast for our covered companies and where we see the commodity price going in response to increasing demand. I think the interesting thing is that increasing demand not only corresponds to the number of new reactors coming onstream but also policies echoing out of Europe regarding extending the life of existing reactor fleets. You're seeing a number of different avenues in which nearer-term demand could increase, which only adds to the longer-term demand of new reactors. There are incremental policy changes toward nuclear power, too, certainly across Europe and coming across through North America. Obviously it's happening in Asia, with China and South Korea furnishing fairly large reactor-unit increases for their countries.
TER: Some of the most promising uranium projects are in Australia. Although the country is considering a new tax on miners, the Mineral Resources Rent Tax (MRRT), a recent change in leadership in the governing party could be a favorable development. Could you update us on the political climate in Australia as it pertains to the uranium players there?
GM: Well, Australia is interesting. It has the world's largest accumulated known uranium resources and the largest uranium deposit—Olympic Dam. At the moment, Australia's federal government allows uranium mining, and other regulations basically filter down state by state. Western Australia is now open to uranium mining. South Australia has an active uranium mining history, as does the Northern Territory. The more recent super-tax proposal, which the Labour Party put forward, created an uncertainty in terms of the value of both current and future mining projects. Julia Gillard, the new Prime Minister, has made motions toward the industry in terms of coming forward and talking about possible modifications to the mining taxation rules. For the time being, it's hard telling how ultimately this will break down.
TER: Your research talks about some sector outperformers among the conventional explorers. You've mentioned Energy Fuels Inc. (TSX:EFR), Mega Uranium Ltd. (TSX:MGA) and Strateco Resources Inc. (TSX.V:RSC). Please update us on those companies.
GM: They provide investors with exposure to uranium in different jurisdictions. For example, Mega has the Lake Maitland project in Western Australia, which is opening up for uranium mining and where a significant proportion of Mega's assets are located. The company has good partners in a Japanese consortium, which owns about 35% of the asset at Lake Maitland. Mega provides people with exposure to a near-term uranium producer that has a significant support base in terms of these partners. I think that's one of the more favorable new projects in Australia. We anticipate production maybe in 2013. It would be a lower-cost producer, probably in the high $20s in terms of USD per pound of production.
TER: How much would Mega produce annually at Lake Maitland?
GM: We're looking at about 1.65 million pounds; it's small-scale production. It's basically a thin layer at surface that doesn't require conventional mining. It's unconsolidated mud effectively, so 1.65 million pounds a year for the life of the project.
TER: Does Mega have any other projects in Australia?
GM: Lake Maitland is their primary project. Their second main asset in Australia is Ben Lomond, up in far northern Queensland, just outside the city of Townsville. It's a modest-grade deposit; it's got potential. They've got a bunch of other exploration plays around the world, particularly in Canada.
TER: What's your target price on Mega?
GM: $0.80.
TER: Before we go further, could you give us an overview of cash costs—low, medium and high—in terms of uranium production?
GM: Sure. Certainly low cash costs now would be below around $25 a pound. Medium would be upper $20s and $30s. High costs are $40s and above.
TER: Okay. What can you tell us about Strateco?
GM: Matoush is a very nice deposit in Québec; very handsome grades, close to 0.6% U3O8. It has a resource of about 20 million pounds of uranium U3O8—small, but higher grade. Our interpretation is that Matoush is the most advanced project for a development-stage company in Canada. Strateco has a big program going at the moment —another 60,000 meters of drilling this year to look for extensions of mineralization, and another 60,000 meters planned for 2011. The orebody is still open. Guy Hébert, the president and CEO, is also working out permitting. We're looking at permits for the project to start underground development for bulk sampling.
TER: How long would it take for them to get the assay results from that bulk sample?
GM: We're looking at a couple of years, probably 2012. They have to develop the underground workings first. The main thing in the interim is the underground development itself, and also the exploration drilling they're doing. It takes time. That's why we think Strateco is ahead of its peers in terms of submitting proposals to the Canadian Nuclear Safety Commission (CNSC) for licensing and permitting approval. Canada is highly regulated, which is a good thing. It's mandated, and these things take time.
TER: Alright, what about the others?
GM: Energy Fuels, that's a uranium-, vanadium-oriented company in Utah and western Colorado. We like them because of the duality of the commodities. In addition to uranium, they have the vanadium, which is an integral component in steel manufacturing. That gives them a bit of a boost. Energy Fuels would be a moderate to higher-cost producer and shares many similarities with Denison Mines Corp. (TSX:DML; NYSE.A:DNN) and its mining and processing operations in the United States.
TER: What are some of their assets?
GM: They have the Piñon Ridge Mill project, permits for which are under review. That process should be complete by early next year. They have a couple of mines that are fully permitted and will be underground mining on the Colorado Plateau. Energy Fuels has the potential to go into production at their Whirlwind Mine, but they don't have a mill there yet.
TER: A recent edition of Haywood Securities' Uranium Weekly gives sector outperform ratings to Paladin Energy Ltd. (ASX:PDN; TSX:PDN) and Denison. What upsides do you see there?
GM: I favor Paladin simply because they have two conventional open-pit mines in Africa where they're ramping up production. There's one in Namibia, which is the world's fourth largest uranium-producing country. The new mine that they commissioned last year in Malawi is Kayelekera. Paladin's a conventional player with production costs of around $30 a pound; it's a Tier-2 producer at the moment and is looking to expand from there. The company also has development plans in Australia and elsewhere in Africa. They've done quite well—they've proven themselves to be the new player in terms of conventional mining and milling in the uranium sector.
TER: Are they approaching Cameco Corp. (NYSE:CCJ; TSX:CCO) status?
GM: No, not yet. Cameco is fairly substantial, quite diverse; but Paladin is a Tier 2. There are not many Tier 2 producers out there; they include Uranium One Inc. (TSX:UUU), Paladin and Denison in that fold.
TER: Tell us about Denison.
GM: Denison is basically a North American uranium producer and also produces vanadium from its Utah operations. It's a higher-cost producer, and certainly the leveraged play in the space. Denison has basically reconstituted itself over the last year and a half in terms of raising equity to minimize long-term debt. They've also brought in KEPCO as a partner—Korea Electric Power Company (NYSE:KEP). Basically, Denison is slowly ramping up its production in the U.S. They've cut down a few of the higher-cost producing mines to be more prudent in their mining and producing operations. For example, they have a partnership with AREVA (PAR:CEI) at the McClean Lake facility in Canada, which is probably going on care and maintenance in July.
TER: Why is that?
GM: AREVA operates that, so it's largely their decision. . .probably looking toward future prices to see when it comes back onstream. Denison also produces vanadium, and they have a very exciting discovery in the Athabasca Basin—the Phoenix Zone in the Wheeler River joint venture. Phoenix has had some outstanding drill results over the last year. They're aiming to get a resource estimate out on that by the end of 2010. Quite an exceptional discovery, I think.
TER: In that same issue of Uranium Weekly, you talk about some in-situ miners. Among your sector outperformers are Uranium Energy Corp. (NYSE.A:UEC), Ur-Energy (NYSE:URG; TSX:URE) and Uranerz Energy Corporation (TSX:URZ; NYSE.A:URZ). Tell us about those.
GM: Uranium Energy, Ur-Energy and Uranerz are all in the U.S., all looking at in-situ uranium recovery—so no physical mining, all sandstone-hosted. We see near-term production out of all three of the companies. That's this year for Uranium Energy, probably next year for Ur-Energy and late 2011, early 2012 for Uranerz.
TER: This year for Uranium Energy?
GM: Yes. We're looking at Uranium Energy entering production in October from their Hobson plant and mining from their well fields at Palangana—both in Texas; so, with this timeline, it will effectively be the world's next uranium producing company. It's quite an exciting development for the space and the company. They have another project, Goliad, which could potentially add to their production and should get its final permitting by the end of this year. We like Uranium Energy's lower-cost production base. They're not large but their cash costs are probably around $22, so quite good there. Production scale potentially 1M–2M pounds annually.
TER: Has the share price moved in anticipation of production?
GM: No, not as yet.
TER: Given that its pending production profile hasn't been taken into account, might it be a good buying opportunity?
GM: We certainly like them. Our target there is $3.90. They're trading at around $2.40, so we think that offers a good opportunity. They have a number of catalysts going forward and a big exploration plan around their existing resources. They will update their resource estimate in September; production in October. We're looking at getting a second well field project 'Goliad' permitted by the end of the year. A third project called, Seager-Salvo, could have an initial resource estimate by year-end, as well.
TER: What about Ur-Energy?
GM: Ur-Energy and Uranerz are good peer companies. They're both in Wyoming, and both submitted applications to go into mining around the end of 2007, beginning of 2008. We're looking at production next year for Ur-Energy and early 2012 for Uranerz. Let's go through Ur-Energy. They've got a very good cash position and have the Lost Creek and Lost Soldier deposits. They've been operating from Lost Creek first—they're looking at development there. We're looking at the Nuclear Regulatory Commission (NRC) ultimately providing final permits and licenses to go into production in the second half of this year. It's the same for Uranerz. We're looking at probably starting to build at the end of this year, beginning of next year. Lower-cost producer, small scale.
TER: Let's go back to what's happening in Africa. Haywood's research would seem to agree that Africa has a number of promising uranium explorers and developers. Could you talk about some of the juniors Haywood thinks are poised for significant share appreciation?
GM: Africa is blossoming as a region for uranium discovery. Mantra Resources Ltd. (TSX:MRL; ASX:MRU) and Extract Resources Ltd. (TSX:EXT; ASX:EXT) have made some genuine new discoveries there over the last year or two. I think the best thing about Africa is the probability of making discoveries that are more easily exploitable in terms of being at or near surface, so they're amenable to open-pit mining. Mantra has an exceptional deposit, the Mkuju River Project in Tanzania. I think the company published its first resource estimate at the beginning of last year. . .more than doubled it within a year and still has the potential to increase that resource. They're looking at production in the second half of 2012. That's a very quick timeline to production. They're still looking at increasing the capacity from their plant and milling operation. We're looking at a modest cash cost of about $25 a pound. Mantra has a lot of positives going forward.
Extract made an outstanding discovery at Rossing South in Namibia. This is 6 km. south of the existing Rossing Mine that Rio Tinto Ltd. (LSE:RIO; NYSE:TP; ASX:RIO) operates. They have close to 300 million pounds of defined resources, which they identified in rapid time. Their resources are significantly higher grade than the existing Rossing operation and they're looking at expanding on that. It's a world-class discovery, a fact that their share price has reflected over the last 18 months.
TER: That's great. Any others?
GM: Bannerman Resources Ltd. (TSX:BAN; ASX:BMN) has done a lot of work in terms of defining the Etango deposit, which has about 160+ million pounds of uranium. It's tens of kilometers away from Extract's Rossing South. They're all very close together, and all alaskite-hosted. That means the mining and processing techniques are well known and understood given the long history of mining at the Rossing Mine.
The Etango deposit is defined over 6 km. of strike length. It crops out—it's at surface and shallow. Bannerman doesn't have the grade that Extract has, so they're a more leveraged play in the space; but we still like Bannerman in terms of a large strategic resource. We're looking at cost of production in the high $30s or maybe $40 a pound.
The big thing there is that they should get their ultimate mining license over the next few months, so they'll be one of only three operations to have licenses to go into production. The big players are looking for resources with potential for large-scale production in areas that allow uranium mining. And that's where Bannerman, Extract and Mantra all come out quite well.
TER: Thank you, Geordie, for updating us on all of these exciting developments.
Dr. Geordie Mark, a research analyst with Haywood Securities, focuses principally on uranium companies involved in exploration, development and production. He joined Haywood Securities from the junior exploration sector, where he was vice president of exploration for Cash Minerals, which concentrated on uranium and iron oxide-copper-gold targets across Canada. Immediately prior to joining the exploration industry full-time, Dr. Mark lectured in economic geology at Monash University, Australia and served as an industry consultant. He completed his Ph.D. in geology in 1998 at James Cook University's Economic Geology Research Unit in Australia, specializing in aqueous geochemistry and igneous petrology applied to ore-forming systems.
Tripp Levy PLLC Investigates Buyout of Cypress Bioscience by Ramius
Last update: 7/19/2010 8:52:00 AM
NEW YORK, Jul 19, 2010 (BUSINESS WIRE) -- Tripp Levy PLLC announces an investigation into the proposed acquisition of Cypress Bioscience, Inc. (CYPB). Ramius Value and Opportunity Advisors LLC, a subsidiary of Ramius LLC, announced that it has sent a letter to the Board of Directors of Cypress outlining an offer to acquire all of the outstanding shares of the Company that it does not already own for $4.00 per share in cash. Ramius currently owns 9.9% of the outstanding common stock of Cypress.
The investigation concerns, among other things, whether the consideration to be paid to Cypress shareholders is grossly unfair, inadequate, and substantially below the fair or inherent value of Cypress. Indeed, analysts have recently projected that Cypress' true inherent value is worth as much as $10 per share.
The investigation further concerns whether Ramius, as a significant shareholder of the Cypress may have breached its fiduciary duties by not acting in Cypress shareholders' best interests in connection with the sale process of Cypress.
If you own Cypress common stock and you wish to discuss this matter with us, or have any questions concerning your rights and interests with regard to this matter, please contact
Tripp LevyTripp Levy PLLC125 East 82nd Street9th FloorNew York, New YorkToll Free: 877-772-3975Email: contact@tripplevy.com
Tripp Levy PLLC is a national law firm that specializes in mergers & acquisitions, takeover litigation, shareholder rights, and corporate governance matters in state and federal courts throughout the United States.
Attorney advertising. Prior results do not guarantee a similar outcome.
SOURCE: Tripp Levy PLLC
Tripp Levy PLLC Tripp Levy, 877-772-3975 contact@tripplevy.com
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