Investing in Uranium - Playing the Recent Slump in Prices

Investing in Uraniumupon an active exploration program at the McClean,
The price of Uranium has been extremely volatileMidwest, Wheeler River, Wolly, Waterfound and
over the past year from a high of just over $300Mongolia properties.
(USD) per Metric Tonne in June of 2007 to a recentDenison also acts as manager for Uranium
low of $75 (USD) per Metric Tonne as of October 11,Participation Corporation. Uranium Participation
2007.Corporation is a publicly traded company that is
This price drop has drastically affected major Uraniuminvolved in the buying, holding and selling of uranium in
producers with some stock prices dropping by half.concentrates.
As the world commodity boom and demand forFurther, Denison is engaged in mine decommissioning
energy continues to escalate, it is time to invest inand environmental services through its Denison
Uranium while stocks are extremely cheap to reapEnvironmental Services (DES) division.
the benefits of the rebound in Uranium prices.Uranium One Inc. (UUU): Currently trading at over a
Many analysts have stated that Uranium has hit a22% discount to its 52 week high..
bottom and is ready for a rally as Demand fromUranium One, Inc., formerly SXR Uranium One Inc., is
China, India and other expanding economies willengaged through its subsidiaries in the acquisition,
continue to drive prices higher. Investors thinkingexploration and development of properties for the
about playing this scenario should look to Canada forproduction of uranium in South Africa, Australia,
Uranium investment opportunities as Canada is theCanada and the United States and gold in South
largest producer in the World.Africa. The Company owns 70% of the operating
As a result of the price slide in Uranium there areAkdala Uranium Mine in Kazakhstan and is also
many great bargains to invest capital. The followingdeveloping the South Inkai and Kharasan Uranium
investments may be appropriate for those whoProjects in Kazakhstan. Uranium One owns the
believe in the long term appreciation of uraniumDominion Uranium Project in South Africa, as well as
prices:the Honeymoon Uranium Project in South Australia. In
Cameco (CCO): The stock is currently over 30%the United States, Uranium One has extensive
below its recent high in June.property holdings in Wyoming, Texas, Utah and New
Cameco is the worlds largest producer of uraniumMexico, including the Shootaring Canyon Mill and the
concentrates. Cameco Corporation (Cameco) isHobson ISR facility. Uranium One is also engaged in
primarily engaged in the exploration for and theuranium exploration activities in the United States, the
development, mining, refining and conversion ofAthabasca Basin of Saskatchewan, South Africa,
uranium for sale as fuel for generating electricity inAustralia and the Kyrgyz Republic.
nuclear power reactors in Canada and other countries.Paladin Resources (PDN): Currently trading at of a
Its mines are principally located in the uranium-rich40% discount to its 52 week high.
Athabaska basin in northern Saskatchewan.Paladin Resources is an Australian uranium exploration
The Company has a 31.6% interest in Bruce Powerand development company. Paladin Resources Ltd
L.P. (BPLP), which operates the four Bruce B nuclearoperates in the resource industry, with a principal
reactors in Ontario. The Company wholly ownsbusiness of evaluation and development of uranium
Zircatec Precision Industries, Inc., whose primaryprojects in Africa and Australia. Its wholly owned
business is the fabrication of nuclear fuel bundles.projects include the Langer Heinrich Uranium Project,
Cameco's 52.7% subsidiary Centerra Gold Inc.which is located in Namibia, Southern Africa, and
(Centerra) is involved in the exploration for and thehosts surficial, calcrete type uranium deposit; the
development, mining and sale of gold. Cameco hasKayelekera Uranium Project, which is located in
four segments: uranium, fuel services, nuclearnorthern Malawi, Southern Africa; the Manyingee
electricity generation and gold. In June 2006, theUranium Project, which is located in the north west
Company acquired a 19.5% interest in UNOR Inc,of Western Australia, and hosts sandstone deposits,
whose principal properties are 226 mineral claims inand the Oobagooma Project, which is located in the
northwestern Nunavut on the Hornby Basin.West Kimberley region of Western Australia, and
Dension (DML): The stock is currently trading at overhosts sandstone deposits. Its joint venture with
a 60% discount from its 52 week high.Quasar Resources Pty Ltd covers two exploration
Denison Mines Corp. (Denison), formerly known aslicenses in the northern Frome Basin in South
International Uranium Corporation, along with itsAustralia.
subsidiary companies and joint ventures is engaged inAn investor that wants be diversified within Uranium
uranium exploration and production. The company'sinvestments may want to consider investing in an
principal assets are a 22.5% interest in one of theinvestment vehicle such as The Uranium Participation
world's largest uranium facilities at McClean Lake inCorporation (which invests the majority of its assets
Northern Saskatchewan and a 25.17% interest in thein uranium.
Midwest Uranium Project. Denison also has embarked