Uranium Res Inc (NASDAQ:URRE)
The Company was organized in 1977 to mine uranium in the U.S by using an in situ recovery mining method, a process by which groundwater is fortified with an oxidizing agent and pumped into the ore body causing the uranium contained to dissolve.
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After a terrible 2011, and with India and Chinese markets clamoring to get into the nuclear energy age, the energy market will see a boom in the next year.
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URRE is in bed with Cameco Resources. There is no doubt in my mind that they will fail to implement Phase III drilling in November of 2012. Cameco always puts their money where their mouth is and this is going to be huge!
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It's been a rough spring for uranium producers. The low cost producers, Cameco and Uranium One, can weather the storm. I have my doubts about Uranium Resources. They're not going to be profitable unless uranium prices stay above $100/lb, whcih seems unlikely in the near term. On top of that, insiders have been selling, including a couple of million shares this past Friday.
A company like this is not rationally priced at a price to book of 5, as it currently is. I expect it to test it's 52 week lows, trading in the $0.5/share range within the next few months. If you like uranium and are interested in a speculative play with potential huge returns, look to Denison mines instead, and for less speculative investing, turn to Cameco which is profitable even at these reduced uranium prices, and pays a dividend as well.
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India make plans for nuclear developments that will more than double global uranium production. China's Nuclear Energy Association announced two weeks ago they will boost atomic capacity as much as eight times by the time 2020 rolls around.
By 2030, India's Atomic Energy Commission is increasing production 13-fold.
Turkey has a 4.8 GWe reaction site under construction on its Mediterranean coast and plans for a similar project on the Black Sea. They're looking to build a third reactor on the Bulgarian border.
The United Arab Emirates has construction plans for four 1,400 MWe reactors. And Sweden just reportedly reversed its moratorium on new reactors.
The demand is very real, folks — despite the horrific events in Japan.
But that demand won't be met, so long as supply remains tight...
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oversold. uranium prices will go up.
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This is going up up up. Uranium went down for no reason.
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soon as japan's crisis of nuclear fizzles, soaring
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In spite of the recent Nuclear disaster in Japan, there are very bright days ahead for Nuclear Energy.
Obama approved a $8B loan provision last fall for the construction of new nuke plants. China and India have plans for about 100-150 new plants within the next 10 years, and have said they are moving forward with their projects.
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Nuclear power isnt going anywhere. News headlines kills stocks. Nuclear power will continue to grow and this company will be the Saudi Arabia of Uranium. One of the largest supplies of uranium in the world. Coincidentally, their new find in New Mexico will be pumping out uranium at full force by 2014, right around the same time that demand should be going up exponentially.
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if anyone believes,nuclear energy is by by,the had better buy buy lol,its not going anywhere (remember BP????)
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The worldwide demand for uranium will most certainly increase causing prices to rise. With the recent pulllback this company's share price must go up./
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Can't get much more bad news, but demand won't change dramatically in the near to intermediate term.
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7 billion people in the world, media overblowing meltdown in Japan means this is a money make in the long term.
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just because !
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Demand for Uranium!!!
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uranium
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Uranium is a solid play for the foreseeable future. Only question will be the management of the company and how they operate.
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When the Chinese are buying Uranium like crazy, I am too. Don't fight the trend.
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As uranium prices rise, URRE will be a major beneficiary. Demand seems to be out-stripping supply, and the major sources of supply are constrained. Natural buyers are stockpiling the metal. They are domestic and that's another benefit.
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