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Mineral Resources Minister Tom Koutsantonis has backed enrichment of uranium in South Australia.
http://au.finance.yahoo.com/news/Time-debate-uranium-abc-543358699.html?x=0

Mr Koutsantonis said he was keen for a debate on the merits of enriching uranium.

“One day down the track we’re going to have to start enriching uranium in South Australia, whether that’s in the next 10 years, 20 years or 50 years I don’t know,” he said.

The Minister says demand for uranium is growing and the state must look at more than just mining it.

“The old adage of digging something out of the ground, sending it offshore has got to change, we’ve got to value-add here in South Australia,” he said.

Greg Hall from uranium explorer Toro Energy says there is no urgency.

“I don’t think it’s a high priority for the Government. I think the priority for the Government is new resource development such as new uranium mines and value-adding their energy strategy going forward,” he said.

The SA Government says it does not expect the Japanese nuclear plant crisis to affect SA’s uranium industry.

At a uranium industry conference in Adelaide, industry consultant Greg Rudd said now was not the time to debate Australia’s nuclear future.

“No-one now is going to go out and back, for example, a nuclear power industry in Australia in this political cycle,” he said.

“They’d be stupid to do it.” Ends…

Well not being a politician I am happy to back the idea and in fact I have been pushing for a “cradle to grave” nuclear solution for years.

http://www.topstocks.com.au/stock_discussion_forum.php?action=show_thread&threadid=539335

I wonder what this marked divergence is telling us….

I haven’t seen it this pronounced over the last few years…

I guess next week will tell the story….

Global

Australian

Two China uranium stories today caught my eye…

Does this mean that EXT is in China’s sights? And if so what premium will China pay to have one of the world’s largest, economically viable uranium resources?

I hold EXT

One day latter 9/3/2011
We the holders of Extract Resources seem to be in for an interesting time with a tussle developing between Rio, Kalahari, China Guangdong Nuclear Power and Extract for majority control of the Hsuab project destined to be the world’s second largest uranium mine.

“RBC analyst Adam Schatzker said: “We believe that CGNPC’s motivation in acquiring Kalahari is to ultimately gain significant future uranium production offtake. The next logical move will be for CGNPC to acquire Extract.”

“This is a play by Kalahari to force Rio Tinto’s hand if they can; Kalahari are sellers and they want to get out,” said Simon Tonkin at Patersons Securities in Perth.

This time may you live in interesting times may be a blessing rather than an ancient Chinese curse.
Edit/Delete Message

I’ve pulled out of all the Australian uranium explorer plays that don’t have overseas projects. It isn’t that we don’t have great Australian uranium resources… it is about what is going to happen with our looming green senate.

The article below is a taste of what is to come:

Green group casts doubt over uranium plans

The Conservation Council of Western Australia says the Environmental Protection Authority must thoroughly scrutinise Toro Energy’s proposal to mine uranium in Wiluna.

Toro Energy yesterday submitted its plan and the authority will now assess whether it is environmentally viable.

The council’s Mia Pepper says three mining companies have made proposals to mine for uranium in Wiluna and the environment will be unable to cope.

“We’ve got in that area, within a 100 kilometre radius, with uranium mine proposals that all required upwards to 6.5 million litres of water a day, all of that adds up and we’re talking about a dry and arid area with very little amounts of water and very little recharge of those water sources,” she said.
http://www.abc.net.au/news/stories/2011/03/04/3155101.htm

Visit http://www.australianuranium.com.au/uranium-stocks.html for information about the following:

Australian Uranium Stocks – Producers

Australian Uranium Stocks – Explorers with Operations in Australia

Australian Uranium Stocks – Explorers with Operations Not in Australia

Australian Uranium Stocks – Resources (Largest to smallest)

According to Reuters the U.S. Energy Dept plans to sell 2,000 tonnes of surplus uranium annually 2011-2013.

The sales are said to be scheduled at three monthly intervals and subsequently might push down spot prices.

WASHINGTON (Reuters) – The U.S. Energy Department plans to sell 2,000 tonnes of surplus uranium annually 2011-2013, which could push spot prices lower over the next three years.

The uranium is suitable for nuclear power plants….

I wonder if this will effect our emerging producers like EXT?

I guess Paladin, ERA and our other producers could take a hit as they are selling product over the next few years… but it is a leap to think that it will affect them much and probably shouldn’t impact our emerging producers at all….. unless emotion becomes the driving factor.

Sometimes I wonder at just how dumb the Yanks seem to be. Wouldn’t it be a rational play to store the uranium for a rainy day? But I guess they are so broke this could be the “rainy day”. But they are going to look a bit silly when their overseas oil supplies dwindle and their new found love of CSM and Shale gas starts to whither as gas bubbles into their water courses and side effects from fraccing chemicals start to emerge… but live for the day eh?

We saw the same type of short sighted behavior here in Australia and the UK with the gold reserves sell-offs that cost Australia and the UK billions of dollars…

I’ve held them for years and I have thrown in the towel and sold them…. They have good technology but afterall how long can you wait….

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The ALTEX-Global is the world’s leading Uranium share price index. The index tracks the performance of the largest 25 publically listed companies by market capitalisation that have a primary focus on the exploration and production of Uranium. Fact Sheet

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Green Senate? Or Global trend?

Extract Resources could easily be labeled the magic pudding for its early investors. Those of us that have been in it over the last 5 years plus have seen 50x gains and EXT seems to be on a roll again with their announcement of a finding more uranium in the Hsuab project area.

Be bold… buy and HOLD!

AEE Investor presentation.

Australian Shares company summaries:
In order of resource size
EXT
ERA
AEE
GGG
BMN

Australian Shares company discussion/posts
EXTRACT RESOURCES ASX: EXT
Energy Resources Australia ASX: ERA
Aura Energy ASX: AEE
Greenland Energy and Minerals ASX: GGG