| We talked, in a taped telephone interview at his | | | | extremely attractive, both cost-wise and |
| home in Singapore, with Billionaire Jim Rogers, | | | | environmental-wise. The huge stockpiles of |
| legendary commodities trader, who picked the | | | | uranium, which were built up during the cold war |
| bottom of the commodities bull market in 1999. | | | | are being used, are being depleted. So, I see a |
| With George Soros, Jim Rogers co-founded the | | | | great future for uranium and nuclear power. |
| Quantum Fund in 1970. | | | | StockInterview: Spot uranium prices have steadily |
| Over the next decade, Quantum Fund grew by | | | | risen for nearly six years without a correction. |
| more than 3,300 percent. Rogers retired, later a | | | | How do you look at uranium as a commodities |
| guest professor of finance at the Columbia | | | | trader? |
| University Graduate School of Business, and still | | | | Jim Rogers: Well, whenever something goes |
| later circumnavigating the globe to firsthand | | | | straight up for six years, without even a |
| discover new investment opportunities. He is | | | | correction, one has to be worried. Obviously, |
| widely and often quoted in the media about his | | | | corrections are normal in financial markets. |
| views on the commodities market. Bestselling | | | | Whether there's going to be a correction in the |
| author, investment biker, adventure capitalist and | | | | next year or two, I don't have a clue. More or |
| widely followed, Jim Rogers talks about what he's | | | | less, it is following the oil market, as you probably |
| now investing in. | | | | know. If and when oil has a big correction, I |
| StockInterview: In an interview with Reuters, | | | | suspect uranium will too. They don't necessarily |
| about a month ago, you told the reporter that | | | | move together, but to some extent they have |
| cleaner burning fuels, such as natural gas would | | | | and probably will. Until somebody brings a lot of |
| out-perform oil. Do you still believe natural gas will | | | | new uranium on stream, though, the surprise will |
| perform well, comparative to the rest of the | | | | be how high the price of uranium stays, and how |
| commodities in this bull market? | | | | high it eventually goes. There aren't any big |
| Jim Rogers: Oh, yes. As I said, the bull market is | | | | uranium mines being opened anywhere in the |
| not over yet. The bull market has years to go, as | | | | world. Uranium is still worrisome to some people, |
| far as I can see. Speaking specifically of natural | | | | so I would suspect it will take more than a |
| gas, on a historic basis it's much cheaper than | | | | decade to bring a new big uranium mine on |
| crude oil, or even coal, at this stage. It's gotten | | | | stream, anywhere in the world. |
| whacked down because there has been a glut of | | | | StockInterview: It's been about twenty years |
| natural gas - in the U.S. anyway - which is one of | | | | since a new uranium deposit was discovered. |
| the main markets for natural gas. But longer | | | | Jim Rogers: That's what I'm saying. It takes a long |
| term, natural gas production is declining in North | | | | time. Expanding a mine is different from opening a |
| America. | | | | new mine. There has been one lead mine opened |
| StockInterview: How does coalbed methane gas | | | | in the world in 25 years. Some people are starting |
| fit into this picture? | | | | to expand production from lead mines and copper |
| Jim Rogers: As long as it's economic, it is a viable | | | | mines. But this idea of bringing huge new mines on |
| source of energy. You will see people using | | | | the scene is just not happening anywhere in the |
| methane. You'll see people using lots of viable | | | | world in most commodities. One reason is |
| alternatives as the price of energy stays up and | | | | because in the last 25 years, unfortunately, |
| goes higher and higher. | | | | nobody got an engineering degree. Everybody |
| StockInterview: Speaking of cleaner burning fuels, | | | | was getting MBAs in stocks and bonds. So, there |
| how do you feel about uranium and nuclear | | | | is a huge shortage of engineers in the world right |
| power? Both uranium and nuclear energy appear | | | | now; not just engineers, even workers to work in |
| to be undergoing a renaissance. | | | | mines. All the people got old or retired or died out. |
| Jim Rogers: Well, there is a revival of nuclear | | | | And not only engineers and workers, you can't |
| power. Nuclear power is cheaper than many other | | | | get tires for your tractors. You can't get tractors. |
| sources of energy, and so it is having a | | | | There's a shortage of everything because nobody |
| comeback, if you will. In many parts of the world, | | | | has been investing in productive capacity. You've |
| it never went away. The French never stopped | | | | got to have tractors. You've got to have tires. |
| using nuclear power. The Koreans never stopped | | | | You've got to have engineers. You've got to have |
| using nuclear power. Other people are now coming | | | | everything to bring new capacity on stream. While |
| to nuclear power. The Chinese are going to build | | | | there are shortages of all these things, that's why |
| at least 25 nuclear power plants in the next | | | | the bull markets last so long. Bull markets |
| fifteen years or so. Even in the U.S., some of the | | | | historically have lasted 15 to 23 years. This one |
| environmentalists are starting re-examine nuclear | | | | probably will too. |
| power because it is cleaner than coal, or some of | | | | COPYRIGHT © 2007 by StockInterview, Inc. |
| the other carbon based energy sources. If it's | | | | ALL RIGHTS RESERVED. |
| controlled properly, then nuclear power can be | | | | |