RE:RE:Next Bull Market, J. Bhandari Resource Investor/SpeakerAs you will recall, my posts have repeatedly stated that 2018 is too early for any recovery in this market. Unless there is a major jolt to the supply chain or another catalyst I do not see any significant change until around 2020. Most folks here are focussed on the short term and expecting some kind of miracle. However the material moves very slowly through its use cycle from mining to finished fuel bundles. It does not respond at all like oil or coal or gas or any commodity come to that. It is unique.
If you are concerned about the burn rate of cash (certainly a factor to consider) then change the proportio of holdings in this stock. However I really do not see CGN discarding this asset. A more likely scenario is they will buy out all (or a proportion) of us so they have at least a 51% stake and therefore control of the asset. Perhaps that is why they appear (on the surface) unconcerned at the rate at which money is being consumed. If they wait long enough (the Chinese are VERY patient people) FCU will fall right into their hands.
Adjust your Uranium holdings based on the relative risk of each stock. Running out of money is a very real risk and should not be ignored by any competent investor.
Malcolm