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Strategies & Market Trends : Strictly: Drilling II -- Ignore unavailable to you. Want to Upgrade?

To: t4texas who wrote (11887)	5/7/2002 5:15:48 PM
From: t4texas	Read Replies (1) \| Respond to of 36161

with it looking like things are never going to settle down in the mideast, i feel better holding the gold miners even on this dip today. some new world issue seems to pop up about every two days that shakes things up.

To: t4texas who wrote (11887)	5/7/2002 9:59:37 PM
From: Frank Pembleton	Read Replies (2) \| Respond to of 36161

t4, I might be a little careful here in the short term ... Cameco is primarily an uranium producer that holds a 15% share of the Bruce Nuke Generator in Ontario... I'm thinking the stock chart is just a reflection of the slowdown we're seeing in the economy combined with the uncertainty of deregulation of the power business in that province. There's also the Russians putting some extra pressure on the price of uranium with their missile dismantlement program. Chart: uxc.com If you like the idea of nuke generation, this company, long-term is a good investment and a reasonable speculation. First off, I see generating electricity via natural gas an expensive pain in the ass. Since I seriously started tracking the electricity sector this past year - I've rarely ever seen a spark spread to the positive. You cannot make money generating electricity (at spot) with natural gas (at spot) - no way! It also looks like nukes are definitely in a new growth stage. British Power along with Cameco are re-starting 2 more units at Bruce which will increase the power output by 50%. The company has strong cash flow, low debt and pays a dividend but... historically this company becomes a buy when it trades at book value -- presently it's P/B is about one-and-a-half-times. Regards Frank P.