TPS Position Update – January 29, 2013

January 29, 2013

. . . . Magellan Petroleum (NASDAQ: MPET) – Hold

MPET shares are on the move!

Our position in MPET has taken a nice turn to the upside, with our gains at 26% as of this writing.  That’s a nice start, but we feel there’s much more in store.

Here’s the deal…

The company announced several updates regarding its Australian operations.  The results were encouraging across the board.  Demand for the company’s gas resources is ramping up and certain properties are getting closer to production.

Basically, MPET is heading in exactly the direction we expected.  And, there’s still plenty of upside.

We’re moving our MPET position to hold.  Hang on for bigger gains ahead.

. . . . UR-Energy (AMEX: URG) – Buy up to $0.98

Good news is pushing URG shares higher.

Our position is up 6% after a small pullback.  But, the stock briefly flirted with our buy up to price and could be headed past it soon.

The company just provided an update on its Lost Creek Uranium Mine Project.  And, it’s plenty encouraging.

Power and roads are now completed to the construction site.  The foundation is nearly complete for the plant building.  And well construction is proceeding as planned.

That’s exactly the sort of news we like to hear.

We don’t expect URG to remain in our buying range much longer.  So, grab the shares now if you haven’t already.

. . . . Aetrium (NASDAQ: ATRM) – Sell

We wanted to give ATRM a chance to right the ship.  However, the legal battle/shareholder revolt is dragging on.

And in the meantime, the stock is stagnating.  There hasn’t been any industry/product related news on the company for some time.  It makes it very difficult to have faith in future growth.

What’s more, volume has dropped significantly.  Investors seem to be done with ATRM while it sorts out its many problems.

Let’s go ahead and sell ATRM as well while we still have a large portion of our capital intact.  We’ll reallocate it to a company with a brighter future.

Please Note:

We don’t necessarily review every open position in each Position Update.  We focus on the positions experiencing significant news, notable price movement, or a change in recommendation.  Please refer to the Performance page on our website for our current buy, sell, or hold recommendation for any positions not mentioned in the Update.

Action To Take

• Sell Aetrium (NASDAQ: ATRM)
• Move Magellan Petroleum (NASDAQ: MPET) from Buy to Hold

Category: TPS Update