URL - Universal Resources

[greggy]

No greggy, I'm not a holder, but given the previous hullabaloo over copper and uranium in Mt Isa & Cloncurry, who can afford not to pay attention to anyone drilling some holes there LOL

Its just that separate vehicles would give people the option of whether to go for the copper or the uranium projects. I for one would go for the uranium option. The copper project does not appeal that much to me as Xstrata could have taken up its option by now if it really wanted to.
DYOR

 

[exgeo]

I was tempted to try and flip this one to get a quick profit and then buy back in again later on, hopefully cheaper. But this is one that I think I can't afford to be short of. Sure as some of the previous posters have mentioned, value may not be realised in the current corporate structure. But rest assured, if they have something valuable (which I believe they do) then either value will out, or they will get bought. Simple as that. Maybe it won't get quick daytrader-type results, but for the patient it will be a rewarding stock to hold. Look at how many uranium companies have been bought; just the ones I can think of are Valhalla, Redport, Summit, Marathon (but well out of the money offer). The REE might be worth something too.

 

[Mousie]

The REE might be worth something too.

The REE? What's that?

 

[greggy]

The REE? What's that?

I think REE stand for Rare Earth Elements.
DYOR

 

[Mousie]

I think REE stand for Rare Earth Elements.
DYOR

LOL ok thanks greggy

 

[greggy]

LOL ok thanks greggy

No problem. As I write, URL is trading at 16c.
DYOR

 

[exgeo]

The combined REE content of these samples is 2-5%, around 3% weighted average. This compares with Nolans Bore (Arafura, ARU) resource of 3.9% REE. URL's samples were 1.7-4.7% Uranium, compared to ARU's resource which contains 0.031% Uranium.

.......Uranium (%).... REE (%)
URL... 1.7-4.7........ 2.0-5.0
ARU.... 0.031............ 3.9

Cerium Price US$1.65/kg
Lanthanum Price US$1.65/kg (both from ARU website)

 

[spottygoose]

The Australian

Wait for ALP U-turn, Summit chief urges
Robin Bromby
March 03, 2007

DON'T sell to Paladin - the coming change to Labor Party policy on uranium mining will make your company worth a lot more.

That is the message Summit Resources managing director Alan Eggers has for his shareholders after a hostile takeover bid by Paladin Resources.
Paladin is offering one of its shares for every 2.04 Summit shares.

Success would give Paladin outright control of several high-grade uranium deposits around Mt Isa, including two 50-50 owned by Paladin.

Mr Eggers said Paladin's offer was timed to close just two weeks before the Australian Labor Party conference at which Labor was expected to ditch its "no new mines" policy.

Mr Eggers said Queensland Premier Peter Beattie had said he would abide by ALP policy -- in other words, Summit could start developing mines in Queensland.

Moreover, there would be some more good news for Summit shareholders next month when new resource estimates would be reported for several of the uranium projects.

"Mt Isa is potentially much bigger and it is one of the top five uranium projects globally," he added.

Mr Eggers, whose family holds 7 per cent of Summit, has decided to dig in for the big fight with Paladin.

He argued that Paladin was after the Queensland ground to balance its political risk in Africa, with its Malawi project being in a country that ranked in the bottom 20 for political risk.

His bottom line: if Paladin wants Summit, it's going to have to pay a great deal more.

In other Queensland uranium news, Universal Resources has reported high grades from surface sampling near the old Mary Kathleen mine.

Sampling is a very preliminary form of exploration, but the grades were high - up to 4.76percent uranium with the samples also containing rare earths including cerium, lanthanum and yttrium.

Mary Kathleen operated until 1982 and produced nearly 9000 tonnes of uranium at an average grade of 0.13 per cent.

Lanthanum, which is used in camera lenses, and cerium, used in aluminium alloys and carbon arc lighting, were associated with the uranium mined at Mary Kathleen.

 

[greggy]

The Australian

Wait for ALP U-turn, Summit chief urges
Robin Bromby
March 03, 2007

DON'T sell to Paladin - the coming change to Labor Party policy on uranium mining will make your company worth a lot more.

That is the message Summit Resources managing director Alan Eggers has for his shareholders after a hostile takeover bid by Paladin Resources.
Paladin is offering one of its shares for every 2.04 Summit shares.

Success would give Paladin outright control of several high-grade uranium deposits around Mt Isa, including two 50-50 owned by Paladin.

Mr Eggers said Paladin's offer was timed to close just two weeks before the Australian Labor Party conference at which Labor was expected to ditch its "no new mines" policy.

Mr Eggers said Queensland Premier Peter Beattie had said he would abide by ALP policy -- in other words, Summit could start developing mines in Queensland.

Moreover, there would be some more good news for Summit shareholders next month when new resource estimates would be reported for several of the uranium projects.

"Mt Isa is potentially much bigger and it is one of the top five uranium projects globally," he added.

Mr Eggers, whose family holds 7 per cent of Summit, has decided to dig in for the big fight with Paladin.

He argued that Paladin was after the Queensland ground to balance its political risk in Africa, with its Malawi project being in a country that ranked in the bottom 20 for political risk.

His bottom line: if Paladin wants Summit, it's going to have to pay a great deal more.

In other Queensland uranium news, Universal Resources has reported high grades from surface sampling near the old Mary Kathleen mine.

Sampling is a very preliminary form of exploration, but the grades were high - up to 4.76percent uranium with the samples also containing rare earths including cerium, lanthanum and yttrium.

Mary Kathleen operated until 1982 and produced nearly 9000 tonnes of uranium at an average grade of 0.13 per cent.

Lanthanum, which is used in camera lenses, and cerium, used in aluminium alloys and carbon arc lighting, were associated with the uranium mined at Mary Kathleen.

Its still early days, but URL's results were excellent.
DYOR

 

[spottygoose]

From Minebox 6/3/06

Universal records high-grade uranium at Mt Isa


Universal Resources Ltd has continued to build on its exploration success within the company’s major 3,600sqkm tenement holding in the Mt Isa Inlier region of North West Queensland, with the announcement of high-grade uranium and rare earth results from surface sampling of three prospects.

The results, from an ongoing program targeting uranium mineralisation 10km north-east of the former Mary Kathleen uranium mine, are consistent with mineralisation within the historic mine.

The most significant results from rock chip samples selected by scintillometer screening included:
· 4.76% uranium, 2.07% cerium, 3.04% lanthanum, 0.78% yttrium;
· 4.36% uranium, 1.79% cerium, 2.66% lanthanum, 0.77% yttrium;
· 3.59% uranium, 1.42% cerium, 2.33% lanthanum, 0.50% yttrium;
· 2.93% uranium, 1.16% cerium, 1.67% lanthanum, 0.46% yttrium;
· 2.96% uranium, 0.72% cerium, 0.94% lanthanum, 0.18% yttrium; and
· 1.74% uranium, 0.75% cerium, 0.93% lanthanum, 0.35% yttrium.

Universal is continuing the surface sampling program and will release further results as they become available.

“These results from this richly endowed region are very pleasing and significant,” Universal Resources’ Managing Director, Michael Hulmes, said. “Lanthanum and cerium mineralisation were also associated with uranium in the Mary Kathleen mine and the significant Mary Kathleen deposits have been reported as hosting one of Australia’s largest rare earth accumulations.”

“Multi-element analysis of rock grab samples shows persistently high uranium values associated with light rare earth elements, thorium, iron and vanadium,” he added. “This outcome is even more exciting, considering the prospects we are currently focusing on are located on tenements adjoining our Roseby Copper Project.”

The initial phase of the ongoing uranium exploration and sampling program has included first pass geological reconnaissance mapping, rock grab sampling and broad band gamma ray scintillator ground surveys conducted over several anomalies previously identified by airborne radiometric programs.

Universal conducted follow-up soil sampling over the Janet Maude, Mount Harold and Mount Harold South anomalies identified by the scintillometer, to assess the nature, potential size and distribution of mineralisation.

“Our strong cash position puts us in an advantageous position to further evaluate all of our uranium prospects in the Mt Isa Inlier region, including the Godkin and Godkin Extended anomalies,” Mr Hulmes said.

Universal will continue its uranium exploration program while conducting further copper exploration and progressing the development of the Roseby Copper Project towards the commencement of mining later this year.

The company had cash on deposit totalling $12.4 million as at December 31, 2006.

 

[krisbarry]

I scooped up a parcel of URL today at 12.5 cents. I like it when a share price dumps! Now I just have to wait for the up-lift!

 

[exgeo]

I would have done the same if I hadn't already bought some (at 15c!). I guess the copper price rising in the last few days won't hurt.

 

[spottygoose]

Source: www.smh.com.au/business

Fall in copper price forces Universal into rethink on Roseby
Jamie Freed
March 17, 2007

UNIVERSAL Resources has demonstrated the pitfalls of basing a mining project on boom-time prices.

The Queensland copper hopeful said it would have to retool its Roseby copper project because it could not obtain debt financing due to the metal's steep price fall since its feasibility study, which was completed six months ago.

At the time, Universal said it could achieve an astounding 62 per cent internal rate of return on its Mt Isa project - albeit only if the copper price remained at the August average of $US3.50 a pound.

It also provided a base case with copper at the more realistic price of $US2 a pound, which it said would provide a 19.5 per cent internal rate of return and would pay back the $337 million capital cost in less than four years.

But with copper prices down 30 per cent since last May and some analysts lowering their 2008 average price forecasts below $US2 a pound, Universal's corporate advisers told the company it was unlikely to obtain the $250 million or so of debt funding it was seeking for the project.

Universal shares tumbled 23 per cent on Friday, to close 3.5c lower at 12c.

Universal managing director Michael Hulmes said his company would examine building a smaller project of unknown size based on its higher-grade resources. It had already once lowered its planned production from 50,000 tonnes of copper a year to 34,000 tonnes.

Mr Hulmes added Universal might be able to open its mine by late 2008 as planned.

"There's a bit of a silver lining out there, in that a smaller plant will be quicker to build," he said.

But Brian Rear, the managing director of CopperCo - which made an unsuccessful bid for Universal two years ago and maintains a 9 per cent stake in the company - said Universal was "grasping at straws".

CopperCo had a smaller market value than Universal at the time of its scrip bid, but has since grown to become six times the size of its rival. CopperCo plans to open a mine, also near Mt Isa, in July.

Fat Prophets analyst Gavin Wendt was sceptical about Universal's prospects.

"They have been beavering away at the thing for so long now," he said. "One has to question whether this project will ever be developed. How much higher do prices have to go before this project is economic?"

 

[krisbarry]

I reckon we will see a bounce in the share price of URL on Monday.

3 reasons:

* Large rise in the price of copper

* Over-reaction to the announcements released late last week

* Up-comming drilling of Uranium

Would I be correct?

 

[Mousie]

I reckon we will see a bounce in the share price of URL on Monday.

3 reasons:

* Large rise in the price of copper

* Over-reaction to the announcements released late last week

* Up-comming drilling of Uranium

Would I be correct?

Hard to say,

Maybe not a huge one on Monday; world markets dropped last weekend. Better not to get your hopes up to high, though I can certainly understand if you're hoping for a quick exit seeing that you bought near the bottom?

URL will only start to move significantly if they announce either:

1. positive U drilling results, or

2. a spin-off of their U assets, which PLENTY of shareholders are "holding out" for IMO.

And not to mention you gotta reckon with any further instability in the markets as happened in the last few weeks.

 

[krisbarry]

Thats not always true, many stocks dump and recover the very next day or two. We don't need a reason for a share price to rise, all it takes is many investors to take advantage of lower prices to move it higher. Its low was 11 on Friday and it closed at 12 cents, so already its started its bounce.

When stocks dump its a mad rush to exit and this just compounds the problem. Then the scabs (like me) come in and scoop up parcels at what could be described as a bargain prices.

I expect that new investors will take a look and start to buy back in by this arvo.

When a "so called bad announcement" is released panic sets in and all logic goes out the window. Remember Friday was an over-reaction, now that we have all re-grouped and had time to digest the info, its not all that bad.

 

[krisbarry]

Volume has now dropped off and the share price only slipped a little yesterday, so I expect a change in market sentiment today.

Will the volume start to increase and buying back occur?

Look at the end of the day copper prices are on the rise again, we now have to factor in a uranium play and a new debt finance agreement will take place shortly, paving the way for higher share price.

 

[spitrader1]

Volume has now dropped off and the share price only slipped a little yesterday, so I expect a change in market sentiment today.

Will the volume start to increase and buying back occur?

Look at the end of the day copper prices are on the rise again, we now have to factor in a uranium play and a new debt finance agreement will take place shortly, paving the way for higher share price.

what an absoloute dog, and crap announcement. This company is a joke. How can you relaesae on the 15th of amrch that the roseby project is to not go ahead because of the copper price and then on the 23rd announce high grade copper finds. DOG WITH FLEAS. im waiting for the enxt uranium announcement to come out that they found the same amount of uranium in air abnormalitites that you could find if you walked down pitt street, and im going to short it with my ears pinned.

 

[bumble_boo_bum]

Anyone got a view on the quality of those intial Uranium results? And anyone know when they expect to do more U drilling?

And lastly, all shareholders please write to management politely asking them to spin off the U assets, so we can all sleep happily at night!

 

[mmmmining]

Seeing the battle between SMM, PDN, and Areva.

What for, for the known resources? Would you like to pay $30/lb for an explorer? With this kind of money, you can buy almost all uranium explorers in WA, or in NT, and not too short in SA.

Why, why, and why?

I figure it out,it is the battle of land holding.

Mt Isa region is reach in Copper, Gold, Zinc, Silver, Iron Ore, REO and of course URANIUM.

It would not be too difficult to figure it out other people want to joint the party.

They are not going to pay $1.5b for it, they are not going to pay even $100m for it. How?

Buy the land nearby, and not owned by SMM.

There are quite a few companies have it. URL is one of them which holds large parcels.

I bet it is just a matter of time that someone speak French (Canadians too) will take a seriously look at it.

Before that, I suggest that you guys take a serious look at it too.