Wednesday, September 19, 2007
Strathmore (STM.V, STHJF) press releases
"Pssst! Hey mister!"
The man looks back and sees a kid pulling a wagon with a bunch of rocks in it.
"Wanna buy some core samples?"
"Huh? No, thanks."
"I'll throw in these old papers along with it."
Curious, the man looks at the papers. "Holy cow! This is the legendary Gas Hills database the old Seventy-Niners talked about back at the old Disco Mine. How much do you want for this stuff?"
"fif' thousand for the whole wagon load."
"Kid, I'm being serious here."
"So am I. The Denison guys are gonna give me forty-kay for it as soon as they get back."
"Ok, look kid, I don't have that much cash right now, but I'll give you twenty thousand shares of Strathmore Minerals stock for it."
"Let me check my Blackberry here... just a sec... that's on the Canadian exchange, right?"
"Make it twenny five!"
Strathmore Minerals Corp. ("Strathmore") (TSX:STM - News) has agreed to issue 25,000 common shares to an arms length party to acquire a geological data base in the Gas Hills area of Wyoming.Ok, so maybe it didn't go like that. But they provide almost no information about who sold it, why, how they happened to run into it. There's another odd press release today, as well.
Strathmore is buying another property in the Grant's Uranium District in New Mexico. No price mentioned. Seems to have maybe 9 million pounds at 3 to 4 pounds per ton. Probably needs an underground mine. More ore for the mill.
Meanwhile there's all sorts of conflicting speculation about the future price of uranium. No one knows. But one thing I do know is that no one in the past two and a half years has refuted the basic thesis of investing in Strathmore. Anyone who's read The Black Swan knows that doesn't mean that much.
The more important part of the book is the concept of "Extremistan" and "Mediocristan", the very simple principle that determines which one something falls into, and the very different characteristics of things in each place.