RE:RE:RE:RE:RE:Cameco’s $450-million cash infusion excites
Wateroperator,
Your post will certainly add perspective to any who choose to read mine. But if the tax bill is indeed that much plus the interest maybe CCO really does face the Waterloo that I refer to in my post.
There must be some understanding between the Bruce partners that if you can’t chew the moccasin any more you’ve got to leave the table. CCO hasn’t got some miraculous pot of gold to endlessly dip into, to meet expenses. The uranium industry has been in a long drought and I don’t think they are dining on stake and caviar over at CCO either. But when management says that to remain in the Bruce is not in the interest of share holders you’ve got to interpret that as,- they can’t “take the gaff” any longer. Maybe the proceeds from this sale will just be used for an unpaid tax bill or simply to plug holes in their dike.
But let’s not forget that the whole mining sector is best characterized as feast or famine. For those of us who play the juniors we like the strength of a bell weather (CCO) to steady things out in times of trouble; some entity that doesn’t lose its head when others around them are losing theirs. But if the drought lasts long enough, even the CCO’s of this world will eventually have to stuff their remaining capital down their cannon, and ready themselves to pull the trigger at that “opportune time,” and boy,” you gotta get that one right! I think the advice in most text books generally advise not to go there unless absolutely necessary, - you know, when your fresh out of options. And no text can help you because there you operate on instinct alone.
So when Gitzel talks “core” that means “mostly mining” and by logical extension, - feast or famine. Yes, that’s very much a part of the mining core. So if it’s truly “core” that he is talking about then the money is headed for DML.