Thought I'd try keeping a journal here on GEI.. There's a lot of knowledgeable people here so I look forward to hearing any advice and tips.
My background is in IT, although I do have an MBS.
Attitude to Investing
Up to now I've been a saver. I'm relatively new to stocks / shares. Only been dipping my toes in every now and again.. This is my first major foray. I'm not interested in day trading. My initial strategy has been to look for stocks which I think will be worth more in 3-5 years time. I'm a ponderous decision maker.
Have only one investment so far. The details are below. I've copied and pasted it from an earlier thread.
Why I like it:
- Current JORC resource is 158m lb.. The chairman said recently that this may double in the next resource update which will be announced "early 2011". This will have a big impact on the shareprice when announced..
- Low extraction costs. Unlike other Uranium mines ACAP's resource is sitting in the top 70 metres. In Sep the chairman announced costs will be lower than $30/lb.. This is much cheaper than other producers. Uranium will be mined in open pits. Using radiometric sorting and heap leach extraction the costs will be low.
- There are roads, train lines and power supply right beside the resource.
- ACAP has only explored 20% of its tenements.. 80% to go. This could turn out to be one of the top undeveloped uranium resources in the world. It's already in top 20.
- Not taking into account the next resource upgrade, ACAP's uranium is currently valued at 58c /lb (rough back of beer mat calc). Similar explorers are valued at $2/lb. Uranium producers are valued at $10/lb..
- The company operates in a mining friendly country - Botswana.
- Likely to apply for mining license mid 2011
- Likely to start producing in 2012/2013
Bought ACAP at 0.575 a couple of weeks ago.
I've contacted the company to get an update on their timelines for completion of their feasability studies. Couldn't find up to date info anywhere..