As the Dome5 project is not far away from Broken Hill, I am not surprise it turns out to be a company maker.
Initial result already show High grade Zn/Pb in place. 1m or 0.85m is not attractive of course, but at least it clearly indicate the hige grade resource underground. Like oil drilling, Teck may miss the right place to drill, the previous drilling results looks more like Teck just drilled the Zn trace.
According to the JV agreement, we can clearly see Teck actually doesnot wanna miss Dome5 at all. Otherwise it would just sell it to UXA, no need to pay 3 times cost to get partial interest back.
Target is 5mt at 16%(Zn+Pb) = 0.8mt Zn metal= $2 billion IGV. 50 km to railway, plus excellent grade.
PS, Robdd, I think I already answered your question in my previous post.
I cannot predict a near term 2 or 3 baggers return, but I am sure the SP will test 5.2c resistance after UXA issue the Dome5 drilling commencement report. And I also posted my long term target for UXA is 20c, however it depends on the cash flow from USA---which Major North Amercian Company is UXA's Partner and the NT U3O8 results.
Currently, I sniff a possible JV agreement with the Major North Amercian Company, NOT JUST GET CASH FLOW FROM UXA'S TECHNOLOGY.
Anyway interesting time ahead for UXA, plenty of reports coming on the way.
Hree --1 ann due U3O8, 1 ann due Zinc, Pb 1 ann due Coal, not sure SA at least drilling commence before June 2011 USA 2 or 5 ann WA 1 ann due NT 2 ann due
Cheers
UXA Price at posting:
4.3¢ Sentiment: LT Buy Disclosure: Held
