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Uranium
Why Uranium Mining Stocks Will Be a Great Investment for the Next
Few Years
By John Derrick Hughes Platinum Quality Author
 I
believe that shares in uranium mining and exploration companies
will be excellent investments for the next few years. The reason
is simple: oil is a declining resource. There have been no significant
new discoveries of oil anywhere in the world in decades. Eventually
oil will run out, probably sooner than we think. We won’t run out
of oil tomorrow, but it will happen over the next few decades.
Since
battery storage is not developed enough to switch to solar power,
and since no-one wants a windmill farm in their backyards, we are
left with nuclear power as the only logical future energy source.
Nuclear power has three obvious advantages: First, it’s clean. It
produces no smog or greenhouse gases. Obviously it does produce
radioactive waste, but as technology improves we are able to increasingly
utilize what used to be considered spent fuel, and all of the radioactive
waste produced from all of the nuclear reactors currently in use
could be stored in a few large buildings.
Second,
it’s plentiful. Rocks containing uranium are found on many places
on earth, and because great quantities of uranium are not required
to fuel a nuclear reactor, it is estimated that we have enough uranium
on earth to last for at least the next few hundred years.
Finally,
there are large concentrations of uranium in places like Canada
and Australia, two very friendly countries. For all of these reasons,
uranium mining companies will be great investments for many years
to come.
While
uranium is plentiful, it takes many years to bring new mines into
production, so it is likely that the demand/supply imbalance will
not end until approximately 2015 when new mines are in full production.
Of course every exploration company does not become profitable,
so when investing in junior uranium companies it is essential that
risk is minimized by investing in a basket of stocks, such as those
recommended on web sites that feature uranium mining companies.
Uranium stocks are very volatile, so do your due diligence before
investing.
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