Alternate Energy Holdings Inc. (PINK:AEHI) stock continues gaining value on heavy buying pressure after the company announced they are moving into the last phase of local and state approval process for their plans to build a nuclear power plant in Payette County, Idaho.
The plans that were criticized by many are now facing the ultimate trial. If the company doesn’t get the approval, their whole business will be reduced by a significant portion. None of the many subsidiaries of Alternate Energy are making money yet, and the plan for building a nuclear plant is their top project.[BANNER]
Although the share price is already reacting to the news, the public hearing before the Payette County Board of Planning and Zoning Committee is not expected to happen until the end of the year, following the most optimistic prognoses.
It appears that traders are using this stock for short term plays only. Investing in the company long term would be very risky at the point where they haven’t got a permission to build the nuclear plant.
If the permit is granted, the company will still have to raise capital for the project. There are substantial doubts if the private sector could fund the construction and AEHI doesn’t have the Federal loan guarantees. The Payette County also holds the lowest energy prices in the country because of the established hydro power stations, which counters Alternate Energy’s CEO statements about the green and cheap power the nuclear plant produces – alternative energy sources are already doing it.
