Uramin Share Discussion Threads

[papillon] 18/6/2007 22:55

Hi Netsdeal. Cline of course holds 40% of LSE:UEP, which is currently looking good for another rise.

[netsdeal] 18/6/2007 22:49

somehow ADVFN.COM's data are corrupted today - 10x put on CCO, SXR and BRD at open!

if anyone is interested in Canada, another uranium sleeper is Cline Mining (TSE:CMK), in addition to Bluerock Resources (TSX:BRD). no reason is given here to enourage DYOR. nevertheless, in a piece of news on marketwire also shown at the website, Bluerock "reiterates its commitment to grow its stable of conventional uranium projects in the US south west, and in particular its focus on near term production potential in the Uravan Uranium District." .

CMK bb:

[papillon] 18/6/2007 22:35

simon, NWT will NOT be incorporated into this "NEW" company. NWT will continue to be listed on the TSX as a separate identity. All this announcement of a possible listing on AIM by the "NEW" company means is that NWT will have a 38.5% shareholding in a "NEW" company that, hopefully, will list on AIM. Another 38.5% of these "NEW" shares will be held by the current shareholders of UMN who will be given shares in this "NEW" company as a special dividend. Your UMN shares are currently ISA'able because they are dual listed. Unless this "NEW" company starts out life being dual listed, then NO you will NOT be able to hold it in an ISA because it will only be listed on AIM.

[simonbroughton] 18/6/2007 21:59

The question on my mind is:- Is NWT going to be incorporated into this new company and listed on the TSX as well? My UMN shares are in my ISA and I would not wish to have to sell any shares in the new company should they be ineligible for an ISA.

[wassapper] 18/6/2007 21:49

Thanks pap - I believe they have corrected it.

[papillon] 18/6/2007 18:19

wassapper, UMN's stake has been reduced to 38.5% in the JV company in Niger (NWT also has reduced its stake to 38.5% as well). This is because there has been a placing of 23% of the company (to Hayward Securities) to raise US$19 million to fund exploration. Based on that price that means UMN stake is worth US$32 million but one must assume that the cash placing was done at a discount. I would expect a much higher value to be placed on UMN's stake when it is listed on AIM. I'm sure there would be an awful lot of interest in a uranium explorer with such excellent blocks in Niger plus US$19 million in cash to fund a drilling programme so no need to raise further cash on listing. UMN's stake, I would guess, could be valued at more than US$50 million. It currently makes UMN a risk free hold in anticipation of a further bid. We could well have UMN 2 listing soon!!

[wassapper] 18/6/2007 17:48

Uramin To List Niger Uranium On AIM

The bid by AREVA, the French uranium company, for Uramin has received plenty of attention in the press, but there is a sub-story developing underneath it which may be of interest to those investors who had no shares in Uramin. Earlier this month Uramin announced that it had agreed to form a joint venture with Canadian listed Northwestern Mineral Ventures over a total of eight highly prospective uranium concessions in Niger. Each company will have a 38.5 per cent interest in the new company prior to an IPO as it is now moving towards a listing on AIM. The remaining 23% was acquired by private placees following a US$19,000,000 private placement arranged by Haywood Securities (UK) Limited. A name has yet to be announced officially but Niger Uranium looks a fair bet and more should be heard about it in the near future.

[gsands] 18/6/2007 17:33

No - I meant GLA, but more of a conversation starter than a serious comment. Thanks for the feedback chaps, am learning all the time thanks to your input.

[papillon] 18/6/2007 17:23

GSands, "adding to their VML today". To the best of my knowledge GLA have a huge wedge of cash plus only 2 investments; UMN and QUA. UMN being worth over £80 million and QUA being a lot smaller. GLA intend returning a chunk of cash to investors and in their RNS of friday 15/06/07 suggest their next investment would be in "soft" commodities so GLA investing in VML seems very unlikely. I presume you mean Geiger Counter, GCL?

[netsdeal] 18/6/2007 17:21

it's possible, GSands, but VML seems to be more of a cup of tea to GCL and GCL got into VML a few times at a much lower price than the prevailing market price (so makes a lot more money than if we invest in VML ourselves).

Since EMC/EMU is now pretty much SXR, another candidate to switch to is perhaps FSY, which is very similar to UMN. Moreover, its share price has come down a lot, together with many other good u stocks, and is hence a lot more attractively priced than UMN at the moment. In fact, it has gone up by some 20% since Areva's bid to UMN was confirmed.

Of course, it has a much smaller chance of a double than TSX:BRD.

[gsands] 18/6/2007 17:08

Netsdeal,

Maybe GLA have been adding to their VML today, to replace their UMN holding.

[marnewton] 18/6/2007 16:59

pap,

Yes, I agree...I'm holding my remaining 50% of UMN for the time being.

I saw your posts on BRM...I'll keep an eye on them.

For the sake of clarity post 2404 referred to UKX (I shoulda marked it o/t).

Cheers,

M

[papillon] 18/6/2007 16:44

Martin, I'll hang on to UMN for a couple of weeks in hope of a counter bid. BRM posted a nice little rise today. They are currently drilling. Hopefully they will be able to increase their current U assets.

[marnewton] 18/6/2007 15:41

The power to move markets...I WISH! LOL

Just traded out (EDIT: the FTSE that is)...tomorrow's another day.

Cheers N

M

[netsdeal] 18/6/2007 14:42

cheers, M! it looks that your UKX short is moving the market!!!

[netsdeal] 18/6/2007 14:28

Martin, yes, me too, i only dipped a toe in it for a feel (don't want to miss the train, and shall add more when it leaves the station...)

[marnewton] 18/6/2007 14:24

Netsdeal,

Good post...and thanks for that on KAH...today's buy was the first of a phased approach;@)

Cheers,

M

EDIT: PS Jeremy Du Plessis is da man! Pity he's thrown his weight behind that Updata chap

[marnewton] 18/6/2007 14:12

Blimey pap, I hope I'm right too...I've just seen today's shareprice action at FEP!!

Thanks for the UMN article.

M

[netsdeal] 18/6/2007 14:11

Lots of excellent posts accumulated through the weekend, more than I could find time to cope with!

Pap, I think you're spot on that UMN wants to sell and wants cash only. So this might preclude the likes of PDN, SXR etc. As the Japanese and the Koreans are more keen on Canadian assets, this leaves perhaps the Chinese, the Russians or the Indians as a counter-bidder, although I feel none of them will really make a move at this second phase of the uranium boom until a lot later. The Russians simply want to compete with the West and do not really need the metal themselves (Atomstroyexport is building seven nuclear reactors – including in Iran, China, Bulgaria and India, and is following the Areva model and is hence in talks with Vietnam, Malaysia, Egypt, Namibia, Morocco, South Africa, Algeria, Brazil, Chile and Argentina, plus Australia The Indians, I dno't understand, as they have the world's largest thorium reserve and the 5th largest uranium reserve (according to some stats). So the most likely candiate will be the Chinese, as everybody speculates, also because they have not enough uranium underground at home (nor enough oil or gas, you name it).

As for arriving at my target of 405p a month ago, I simply used the technique shown in this book: The Definitive Guide to Point and Figure by Jeremy Du Plessis. The final straw to my decision completely to switch to other u stocks of a better value was just like everyone else - the long awaited bid has finally come and hence the end of my journey on this one; time to move on.

While I have sold out all my UMN at just above 405p, I still hold some through GLA. And this is forever, I suppose, as GLA has been using money for investment really wisely. Why should I do the hard work finding potential winners myself, but not let them do all this for me?

If one wishes to invest the UMN proceeds back to the u sector again, the best in the UK (or LSE International) will have to be GCL (primarily listed on, EDITED for correction, Channel Islands Stock Exchange [CISX:GCL] for tax purposes). As it's traded on LSE International, it has tax advantages, but you'll have to phone to trade (mostly not web-tradeable). Their stock picking skills would certainly be better than me and perhaps many, and they get in privately or at a low placing price (eg, into VML etc).

Martin, i also think KAH is reversing... of a more upside potential in the UK than many.

Alternatively, if one wishes to get into Canada, TSX:BRD looks an excellent one. Together with some highly-valued peers, it had a presentation in London earlier, at which both lowerSharpNose and Trader Horne attended, but it perhaps is the most undervalued of them. The thing is it has just turned around and is perhaps just starting its upward trend... better than waiting for others to show a sign of turning up (or down)...

[keston07] 18/6/2007 13:19

Moving up again !!

[papillon] 18/6/2007 12:59

Hope you are right Martin, re FEP as I have just bought some back. Have a gander at Article says shareholders holding out for £4.50.

[marnewton] 18/6/2007 12:50

pap,

I must admit I was tempted to re-invest in UMN this morning...as you say, almost risk-free!

But, I've still got a substantial holding and thought it best to diversify (diworsify!?).

As for FEP, chart-wise it may be shaping up for recovery!

M

[pomp circumstance] 18/6/2007 12:37

buyers of the company arent buying it for whats its worth now tho!

[papillon] 18/6/2007 12:25

Martin, sold most of my FEP this morning, for a loss. A mistake!! Kept some. Hoping they might get a farm in soon. Topped up UMN and my smaller BMC holding. Gambling on bid situations. Actually UMN at current price not really a gamble. There is the Areva bid price PLUS the Niger share distribution which should be worth around 20 cents on top of the US$7.75 Areva bid price.