Uranium Investika Increases Ownership to 20%
I have also reviewed UMC Energy financials and noted that,
45 of the 60 holes planned for 2007 have been drilled and airborne survey was completed in early October 2007. Non critical lands have been dropped to reduce leasing costs.
The following statement was made public in October 2007 in UMC financials.
Drilling has been handicapped by unacceptably low core recoveries, as a result of the extremely friable porous sandstones in the uranium bearing zones. Remedial attention has been paid to this activity and specialized equipment, better suited to the recovery of very soft material, has been sourced. Regrettably, much of the drilling work may need to be repeated next dry season in order to obtain reliable data upon which to build improved geological knowledge of the uranium potential of the permit areas.
The above statement seems strange at best, it needs further clarification and qualifying. Many importants simple facts are missing in the above statement and probably that is why they continued drilling 45 holes.
Its hard to believe they continued drilled 45 holes without taking corrective action, to at least get some meaningful results. As noted below Investika is waiting for results.
Regardless of the above statement, major shareholders have continued to increase ownership in UMC Energy and Cline. Why is that? Is it because Raw Uranium is easy to detect in drill core?
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All notes below are from Investika Report
Investika Ltd ABN 45 000 673 423 Appendix 4E
Results for announcement to the market for the year to 31 December 2007
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Morondava Uranium Project, Madagascar : Exploration activities which comprised a drilling programme on the Folakara leases and an airborne survey of the Makay leases were completed in late November with the onset of the wet season. It is intended to finalise the assay and analysis of these results during the first quarter of 2008. This assessment will form the basis for planning future exploration programmes over the tenement areas.
The Company increased its interest in the Morondava Uranium Project to 16.32% through increasing its holding in UMC Energy plc from 11.69% to 20.4% by issuing 500,000 ordinary shares with a fair value of $2 million and through acquiring shares on-market at a cost of $225,293.
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Notes Of The Financial Statements For Year Ended 31 December 2007
UMC Energy plc
Mining exploration and evaluation on the Morondava uranium project in Madagascar
Ownership year end Dec 2007 = 20.4% Dec 2006 = 11.7%
Clearly Investika has increased its ownership. Based on what results?
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7. SUBSEQUENT EVENTS
Between 1 January 2008 and 28 Feb 2008, the date of this report the following material transactions have occurred. Investika has: advanced $183,897 by way of loan to UMC Energy plc, under a $500,000 loan facility entered into with that company.
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MP