Tuesday, October 24, 2006

Follow-up on Cigar Lake

Yesterday, I posted the news about Cigar Lake and my initial response. After having had a chance to read a bit more and digest the news, it is even bigger than I had first thought. The mine opening may take much longer than a year and this will impact 30% of the supply on which the market was depending. This article from StockInterview is worth reading very carefully:

Cameco’s Cigar Lake Mine Drowning:
Where Will U.S. Utilities Get Uranium Now?

Sprott Market Strategist:
Some May Sign $100 Long-Term Contracts

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