{"id":417,"date":"2010-10-15T16:59:56","date_gmt":"2010-10-15T05:59:56","guid":{"rendered":"http:\/\/www.australianuranium.com.au\/blog\/?p=417"},"modified":"2010-10-15T16:59:56","modified_gmt":"2010-10-15T05:59:56","slug":"uranium-warming-up-best-mkt-capresource-opportunity","status":"publish","type":"post","link":"https:\/\/www.australianuranium.com.au\/blog\/uranium-warming-up-best-mkt-capresource-opportunity\/","title":{"rendered":"Uranium warming up. Best Mkt Cap\/Resource opportunity"},"content":{"rendered":"

As a long term uranium investor I like to keep a fairly close eye on several factors including the spot price, the long term price, the direction of the global uranium companies share prices<\/a> as well as the Australian Uranium Share Price Index<\/a> and the\u00a0 global uranium fund’s (GURAF) trend<\/a>.<\/p>\n

Recently we have seen an increase in both the spot and long term uranium price and over the last week a rise in several of the ASX listed uranium plays.<\/strong><\/p>\n

This lead me to have a look at the market caps and JORC resources of our ASX listed uranium plays<\/a><\/strong>.<\/p>\n

I must admit the results surprised me in that one company in a safe, uranium mining friendly country, has a verified resource (291m pounds) almost equal to Paladin’s but a market cap of $19.6 million compared to Paladin’s 2.8 billion. Extract has slightly bigger resource than Paladin’s and a market cap of $1.5 million. Paladin are mining, Extract probably will be mining in 2011 but that doesn’t really indicate why my “find” is 100 times cheaper. Even more interestingly my “find” has good reason to believe that it will have a resource of around 1 billion pounds of uranium, around 3 times more than Extract current 400m pounds.<\/p>\n

Here is what Australian-Shares.com<\/a> says about my “find<\/a>“.<\/p>\n

\u201cAura Energy<\/a> (ASX: AEE, “Aura”) is a uranium explorer with projects in Australia, Sweden and Africa. The Company has assembled an exceptional portfolio of properties on three continents, including a major presence in Sweden’s Alum Shale Province, one of the largest depositories of uranium in the world. The Company continues to be very active, with drilling completed on all three continents in 2008.
\nAura is a major landholder in the mineralised Alum Shale of central Sweden. The Alum Shale is widely distributed throughout the Baltic States and locally contains exceptionally large resources of uranium, vanadium, molybdenum and nickel<\/strong>.<\/p>\n

Aura’s Storsjon Project adjoins Continental Precious Metals’ (TSX: CZQ) Viken Project, which has a published resource of 1.05 billion pounds U3O8 <\/strong>grading 0.017%. This size of resource makes Viken the second largest published uranium deposit in the world after Olympic Dam.
\nAura’s considers that it holds approximately half of the uranium field, and anticipates defining resources of similar size to Viken in its Storsjon Project<\/strong>.\u201c<\/p>\n

I can hear you thinking it is the grades dummy<\/em>:\u00a0 “The resource, using a 100ppm U3<\/sub>O8<\/sub> cut-off, gives the H\u00e4gg\u00e5n Project a contained uranium content of 291 Mlbs. This resource places H\u00e4gg\u00e5n seventh within the ten largest undeveloped uranium resources that are compliant with ASX or TSX requirements”<\/p>\n

But from their latest metallurgy results published yesterday (14th\/October\/2010) Their\u00a0 tank leach metallurgy seems to be promising\u2026 They also\u00a0 have a massive amount of Vanadium, some Zn, Ni, Mb.<\/p>\n

“The first metallurgical test results for Aura\u2019s H\u00e4gg\u00e5n Uranium\u2010Molybdenum\u2010Vanadium Project in Sweden gave high uranium recoveries using conventional treatment methods:<\/p>\n