James Dines Predicts a Buying Panic in Uranium

Interviewer:
You accept been calling a balderdash bazaar in uranium and, already again, you were the aboriginal articulation in the now-growing army of uranium bulls.
James Dines:
What a surprise.
Interviewer:
Why are you bullish on uranium?
James Dines:
It's actual important to get into a balderdash bazaar early. The earlier, the better. That's if the bigger allotment assets are made. That's why we got into the Internets actual early. We got chock-full out in 2000. We were in banknote for a year and again went to metals, as the way to play the China bang in 2001. We're still in those. In 2002, we angry bullish on uranium as a different way to play the advancing bang in the accomplished activity complex.
Interviewer:
But why uranium, as against to addition blazon of metal?
James Dines:
Basically, the western apple appeal is outpacing accumulation by about 300 actor pounds a year. All-around uranium use, excluding the growing acceptance by China and the above Soviet Union, is active at about 155 actor pounds a year, as compared with all-around assembly of alone about 94 actor pounds. There are alone about 500 barter for this stuff, not counting terrorists (joke). Because of that, it's not a approved commodity. The accessible can't go and buy uranium. In August 2003, there was a abominable blackout in Canada. The utilities were shaken. They accomplished if they don't pay attention, the lights go out. That was a bang in the shin for utilities to activate actual investment in the basement of the electricity grid. But what is absolutely beneath the world's alarm is that nuclear plants are aswell anxious about a curtailment of uranium. If they run out of uranium, the lights go out. You can't about-face to addition fuel. You can't bung addition log on the fire, so to speak. Because of that, there is a growing agitation a part of the buyers. That's why I became what I'm calling myself: The Original Uranium Bug. And calling, or predicting, the advancing Uranium Melt Up and affairs panic.
Interviewer:
A agitation over uranium. Why do you say that?
James Dines:
There's traveling to be a affairs panic. The basal band is that in 2002, there were 441 nuclear reactors common and addition 34 beneath construction. Six new reactors began bartering assembly in 2002, three in China, two in South Korea and one in Japan. There was architecture amorphous on six reactors in India and four in South Korea. There are added units advancing in Finland, Russia, Ukraine, Romania, and Brazil. China appear afresh they were traveling to body 5 added nuclear facilities. All of the governments of the apple accept been abashed by the allocution of the adversity in accepting oil. I wouldn't be afraid if added of them began architecture up their cardinal oil affluence as the US has done. That would turbo the accomplished carbon-based ammunition crisis higher. That makes nuclear added than a competitor. The amount of uranium hit $7.10 on Christmas Day 2000, and again began a low, quiet and apathetic climb. The basal line, which I categorical in my book on Accumulation Psychology, is that a new balderdash bazaar accept to be airy to the crowd. The aftereffect to that is if you see appearance on Wall Street, you are too late.
Interviewer:
Some are authoritative predictions of $50 uranium or even higher. What do you think?
James Dines:
$50, $60, annihilation is possible. If you are active a account and your best was accepting uranium at any amount or accepting the lights go out, which would you do? This is my way of arena the accomplished advancing activity boom. I anticipate it's the smartest way. This is unique. This metal is just not there. We're just not traveling to accept it.
Interviewer:
How abundant of a role does Cameco (NYSE: CCJ) play in this market?
James Dines:
They ascendancy the world's bigger high-grade affluence and bargain operations, a advantageous position. They accumulation about 20 percent of the western world's uranium. It's America's alone uranium producer, in Wyoming and Nebraska. About 20 percent of America's activity is produced by nuclear. That accounts for about 35 percent of the western world's consumption.
Interviewer:
Is there any added way to play the uranium balderdash market?
James Dines:
There is no added way to play it, as far I apperceive of. The utilities buy the accepting so you can't buy the metal. There is no added way. That's why I like the uranium way of arena the activity boom. Some of my added predictions, like the Advancing Age of the End of Petroleum - this aeon is traveling to see the end of the petroleum age. We're traveling to use it up. You accept China and India advancing onstream. You've got the auto age advancing to those two countries. Not even one percent of their citizens own cars yet. With all these cars advancing onstream, al of a sudden anybody is abashed about nailing down their petroleum supplies. I don't accept to acquaint you how atomic the Middle East could be. Annihilation could appear there. A anarchy in Saudi Arabia - the a lot of admired absolute acreage on the planet and it's accepting gunned afterwards by not just Al Qaedah, but every added big amateur on the acreage accumulation is saying, we charge oil. That's area the basin is. As that basin shrinks, it's traveling to become added and added valuable. There will be added of a charge into added activity sources. You already see it traveling into atramentous and accustomed gas. Unless they're traveling to alpha putting windmills on cars, it's over. If it will end, who knows?
Interviewer:
Any guesses?
James Dines:
You apprehend all kinds of guesses. There were alone so abounding dinosaurs and ferns. It's finite, and it is clay cheap. People accuse at $1.67 for gasoline, but they pay $10/gallon for Gatorade. White-out is $25/gallon. Evian is $21/gallon. Pepto-Bismol is $123/gallon. People accept no abstraction of how top oil is traveling to go. Oil is traveling to go through the roof. A complete activity portfolio should absolutely cover some oils. But to me, the centermost of the chessboard is traveling to be uranium. It's traveling to get a lot worse afore it gets better. Already you alpha accepting boundless prices for oil, there's no absolute to what uranium could do. Even with an accelerated conduct program, it's traveling to yield years to accompany it on. And they haven't even started it yet. There's an activity crisis advancing of the aboriginal magnitude.