GREY:BHNGF - Post by User
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GK52N106Won Mar 19, 2011 8:44pm
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Post# 18311664
Uranium Resilient
Uranium ResilientI'm surprised at how resilient the spot price has been and how positively uranium companies have either recovered, or didn't drop that much at all.
Really, the biggest of them all - CCO - is hanging out at around 28 dollars a share, when for the longest time it was either 21 dollars or lower. Even juniors are bouncing back.
It seems like most of the scare is over, and nobody has directly died because of it - which will fortify, justify and strengthen the uranium industry. I know China, Germany and France have expressed a need for concern, but it's like a poker bluff because they have all the infrastructure in place for uranium and if they change direction they have nothing else to fall back on.
Really, for all of those worried about airborne radiation, don't really understand the consequences of the oilsands energy - try hanging out in say, the Wood Buffalo Region for years with your family and watch how your kids mutate.
That's likely why the uranium industry has a long term future. Oilsands provide a 24 hour a day 7 day a week detrimental effect on the environment and human health, whereas reactors only seem to be compromised by natural disasters.
So where does that leave Al and Pele Mountain Resources? Even the die hard supporters on this board have lost confidence in GEM management and after the AGM meeting feel that there is no credibility.
If the uranium industry holds over the course of the next 2 -3 weeks, and GEM still has no positive PA release regarding ECO Ridge, then it's a given that GEM is dead in the water. Their cash flow will run disgustingly low by Q3, there will be further dilution, and AL is already seriously overpaid for somebody barely qualified to be a Wal-Mart greeter.