Topic: How To Invest

Hi, Pat: What is your opinion of the following two uranium mining companies: Denison Mines and Crosshair?

Article Excerpt

Denison Mines, $3.12, symbol DML on Toronto (Shares outstanding: 339.7 million; Market cap: $1.1 billion; www.denisonmines.com), develops, produces and explores for uranium. Korea Electric Power Company owns 17% of Denison. The company’s main mining operations are the McLean Lake mine and the Midwest project, both in northern Saskatchewan’s Athabasca region. Denison owns 22.5% of McClean Lake and 25.17% of Midwest. The company also holds interests in a number of small mines in Colorado and Utah. On top of its mining operations, Denison owns 22.5% of the uranium-processing mill at McClean Lake, and 100% of the White Mesa mill in Utah. These mills extract uranium from ore, producing a dry powder known as yellowcake. Denison also recovers uranium and other metals from waste materials at White Mesa. As well, the company produces vanadium as a by-product from some of its mines in Colorado and Utah. Vanadium is used to strengthen steel. The mineral’s value should increase as demand for steel rises with an…