The sweet calculation of triple-digit profit
By Christian DeHaemer
Supply drops 32%
One of our favorite large-cap uranium miners recently announced that its uranium oxide production was 28% lower in the first quarter due to a cyclone that hit its Ranger Mine in the Northern Territory of Australia.
The volume of ore milled for the three months was 32% lower than in the same quarter last year. This was largely the result of a processing plant shutdown and restart forced by the extreme weather.
Demand increases by $94 million
Uranium Participation Corp. (U.TO) is a publicly traded hedge fund set up to buy uranium. This is the only way for an average investor to buy directly into uranium.
And get this... This hedge fund recently offered 6,500,000 shares to the public at $14.60 with an aggregate gross proceeds of $94, 900,000. By law, 85% of this cash hoard must be used to buy uranium.
The spot market for uranium trades an average of $56.5 million every week. There are only 26 million pounds traded every year, so you could see how even a new $94 million investment could change the market.
That’s all for now. This is your favorite stock picker and great looking guy,
Christian DeHaemer,
GRESSOR
The Uranium Mine in China’s Crosshairs
“A state-owned Chinese company is to invest $30 million in a uranium mine in South Australia's northeast.”
ABC News
“China vows to stockpile mineral reserves.”
International Herald Tribune
“China is already scrambling to corner contracts for uranium ore….”
The Guardian
“The people’s republic is embarking on the world’s biggest nuclear spree.”
Newsweek
A tiny miner has been catapulted to the new No. 1 supplier of U308. And China is ready to pounce on it. Discover how “Mega-U308” could turn your $10,000 into $40,003... starting now
| |