I met with Gary & Stephen yesterday and they are very optimistic about finishing the Mill by 2012. The final application for approval should happen by Q1 2011 and they were pretty convinced that everything will be fine with CDPHE, EPA & NRC.

Remember that there hasn't been a new mill constructed since 1982. Read the Associtated Press , Feb 17, 2010. President Obama announced more than $8 Billion in Federal loan gurantees for construction of first Nuclear power plants. Lot's of New potential clients for Energy Fuels !! Now.... I asked Stephen if Energy Fuels qualifies for Obama's loan guarantee for their Mill construction and they said No but they are definitely looking into it.

As for Water they already locked in an agreement with the County for access to the Dolores River by pipeline approx 7 miles away.

As for Mill specs, they are expecting to produce approx half (800 tonnes ) uranium as Denison Mines but potential to increase. Denison produces approx 1500 TPY and the current stock is $1.61 (this includes Vanadium production of approx 520,000 lbs)

They already have potential contracts with some of the local miners in the area but could not be specific with terms etc.

Risks - If Uranium falls below $60 lbs the margins would be too costly to produce. Finding feeders (miners, clients etc.) could prove to be challenging as they do have other mills (competition) within the 100+ mile radius (Utah & Arizona) that's been there since WWII & the Cold War. Probably the most notable RISK, EFR's license application gets rejected.

Upside - They will also convert the ore received into Vanadium Oxide. (Current mkt $8.30 lb) Stephen said if Vanadium hits $12 lb, that price alone would be enough to cover all costs to carry the new Mill. Unfortunately Vanadium comes from the waste of Uranium and if your not converting ore into Uranium then you are not producing Vanadium.

Expect to see some announcements soon to raise capital. The boys wouldn't be running around telling their story if they didn't need $$. Probably $200 - $250mm. Aprox 30% equity and they are looking for a Strategic partner.

EFR - $0.205 today.