Market reviews and recommendations of BCC Invest JSC (Kazakhstan) analysts for March 12, 2010

/IRBIS, March 12, 2010/ - BCC Invest JSC has provided IRBIS with a survey of main events, market reviews and investment ideas for March 12, 2010. JSC BCC Invest is noted the following important events in the market: - Uranium One: Results of a teleconference and the price of uranium. Yesterday the company held a teleconference on the financial results for the year 2009. Among the many question in a conference call a question was raised regarding the company's order books for the current year. It is noteworthy that about 3.5 million pounds of production for this year is already contracted. 1.3 million pounds of this amount is sold at an average price of $ 44 per pound. This is somewhat above the current futures price of uranium on the NYMEX. Dynamics of futures for uranium in recent years significantly decreased, which is possible and put pressure on the dynamics of the company. However, the fact that sales are not heavily dependent on stock prices, and sales contract in advance, makes less dependent on the dynamics and value of the company. The company also announced that it has total contracts for 27 million pounds, of which 13 million pounds are sold at a price of $ 47 per pound. However, uranium prices are still low. According to Ux Consulting, the beginning of this year, uranium prices have fallen by 8.4% after falling by 19% in 2009. Low prices are already beginning to affect the production. For example, France's Areva said that may reduce forecast production in 2012 to 20%, since a fall in the cost of uranium is forcing companies to revise their projects. However, any reduction in existing or planned production is unlikely to have an impact on spot prices in the short term, because it will take some time to this effect have made their way onto the market. In general, analysts ASYL INVEST consider statements and projections of the company positive. The Company will substantially increase its production this year and next, but the rising cost of uranium would be able to provide substantial support the company's business and growth of its financial performance. - S&P500: The index of wide market grew and came close to the maximum values from October 2008. - Metals: Copper has risen in price during yesterday's trading on the background of repeated earthquakes in Chile. At the auction on March 10 the company has repurchased 92 771 preference share at a price of 21 180.06 tenge per share. - Economy of Kazakhstan: GDP, according to the operative data of the Agency of the Republic of Kazakhstan on Statistics, in January- December 2009 amounted at current prices KZT15,887.8 billion. Compared with the same period in 2008, real GDP grew by 1.2%. In the structure of the GDP share of production of goods amounted to 43.8%, services - 54.8%. The given material has exclusively information character and is not the offer or recommendation to make any transactions with the stocks. Agency Irbis doesn't take responsibility for the opinions which are in given material. [2010-03-12]