HATHOR EXPLORATION (V-HAT) $2.26 +0.16

I just don’t get it! Yesterday, Hathor Exploration comes
out with news that we figured was absolutely excellent and
the stock loses ground on the day on absolutely enormous
volume in a market that is seeing a huge rebound for uranium. Like I said, I don’t get it.

We’ve had a lot of luck in this rally with several of our
favorite stocks from Energold Drilling to UR-Energy to Bankers Petroleum, having big moves, but Hathor, which we figure is the “exploration play of the day” has delivered some
good results and yet the market couldn’t care less.

This ongoing story has all the elements of a good Hollywood script, corporate intrigue, all sorts of talk about analysts thinking this and that, potential buyers of the company from around the world, exploration in the wilds of the
north country—kind of like a big Wall Street story with a
few less zeros involved. The only thing missing is probably a little bit of sex.

When we write this script, we would like to have a role
for Angelina Jolie, but right now we don’t see where that
could quite fit in...maybe there’s a different angle—maybe
Steve Stanley is a cross-cross dresser or Tony Nunziata is
a pole dancer in another life, but let’s get to the news from
Hathor yesterday as the Coffin’s write in the Hard Rock
Analyst, “Eight of ten holes had significant uranium mineralization of which four has one or more high grade sections. The highlight holes include Hole 101 which intersected 3.5 metres grading 16.98% U308…” “These are
great holes that indicate room for more discoveries in the
sandstone and potential for new, very high grade zones in
the basement. Not withstanding the strong results, HAT
closed lower. The stock seems to have become a haven
for swing traders…” We’ve written before of how high the
Coffin’s think this stock could be down the road.

Eric Zaunscherb of Canaccord writes, “The results re

leased continue to conform to our geological model. They

continue to demonstrate that mineralization is continuous

within specific structures, that those structures may be

extended, that the system has untested room to provide

new mineralized structures, and that the unconformity and

above are fertile hosts for new and significant mineraliza

tion.” Zaunscherb remains his target of $4.50 and we’ve

written in the past that that’s what he thinks it is worth

based on what they have now.


Wayne Hewgill of Research Capital writes, “The second set of results from the winter drilling programme
have returned excellent results above the unconformity
on the Roughrider Zone…” “With uranium mineralization
clearly identified above the unconformity, the question is
how big is it? With the long-term price of uranium very
strong, we believe that companies with solid projects will
trade at a premium in the market. We believe that Hathor
is clearly the best high grade deposit held by a junior
company.” His target is $4.80, but remember, how these
targets can move.

Bart Jaworski of Raymond James writes, “The impact
(of drilling) is slightly positive. We recommend long-term
investors buy shares of HAT on continued exploration
upside and ample funding.” Jaworski has a target of
$6.10.

The Hathor saga continues and we are certainly hoping after the grief it has caused, that there is a happy ending sometime this year.

Of all the reports out though, the most intriguing was
that by Salman Partners where they write, “For now, until
at least we receive the assay data for the 39 remaining
drill holes, we are maintaining our target price of
Cdn$5.50 per share.”

However, they take a look at the other event of yesterday and that was Denison buying out Hathor’s partner at
Russell Lake which could have further positive implications for Hathor and Salmon Partners writes, “We believe
that Denison would not have made the above transaction
unless it believed that the Russell Lake property had significant exploration potential. Therefore, we believe that
Denison’s stamp of approval is good for Hathor.

We are also pleased that Hathor has secured a partner
that is highly experienced in exploration in the Athabasca
Basin.”