RE:RE:RE:RE:RE:RE:RE:uranium miners Going to Soar Next weekThanks Trips. I own PDN and it has not been one of my stellar performers (yes Giz I do make bad decisions sometimes). However I only have about $20k in it so not going to be the end of the world if it does go belly up. Very interesting thought that if the CNNC buys out their L-H mine it will pull more U off the market...PDN sells mainly at spot price (one of the reasons for their problems...no long term contracts like CCO). So I agree that the demise of PDN may actually be a positive for the overall market. I have been looking at Deep Yellow and Bamnnerman resources both have mines in Namibia. These are 30c and 3c stocks respectively (AUD). I was quite fortunate to buy in very low into NXE but even now it has plenty of upside and I have no plans to sell any U stocks right now...especially this one. Timing this market has been extraordinarily difficult and I have been trying to understand what is actually going on out there. I have concluded that there is no one single magic bullet that will drive this higher. It is a very complex interplay between enrichers, miners, buyers and traders. The key catalysts (IMHO) are in order of importance and effect. 1. Swiss trading arm of Russia/Kazakhs 2. Japanese reactor restarts 3. Construction and fuelling of new plants 4. Selling by the DoE 5. Tailings enrichment by enrichment plant operators.
Japanese restarts have been much slower than I had anticipated and likely has perpetuated the perceived oversupply. But I do not buy this oversupply argument since there was more above ground supply of Uranium during the last bull run than there is now. The Japanese now have 5 plants running and another 4 in the wings for this fall...these are the larger OHI 3 & 4 and the Genkai 3 & 4 units...about 1250MW each...so more fuel than the smaller ones already running which are about 850MW....so they need 50T more fuel.
But.....I am not a market timer or a trader...I simply see the supply and demand fundamentals...the fact that Uranium is hated by everyone...and the very low prices of Uranium stocks.......all signs that there is a pent up bull market about to hit us...when...do not know but I will be there when it does hit....and I am VERY well prepared for this one.