RE: Syria and Mexico11 Oct 2018 11:26
I am not suggesting that ortega will suddenly go anti mining.what I am raising is that with the nica act together with the civil disobedience nicaraguas economy is heading for hard times and all avenues for raising cash are possibilities.I have noted from sections of the opposition that there is fairly strong objections to the very generous tax concessions given to large industry.
You mentioned about drc.as an example of miners operating in difficult climes.you are correct but both mexico and drc have industry majors that have a large clout together but still have been hit after the event .this happens all over the world,which is why the sector is termed high risk.large multi project majors can spread the risk.mexico and drc have large deposits of lithium and cobalt as well as gold copper etc so is why even with risks there have been so many investments there.gold is present all over the planet ,even in northern ireland as you know.what my point is ,is that investors have to consider possible risks.
This doesn't make funding impossible,but the situation for sure makes it more difficult.
I note you think that the nica act has been factored into our sp.where as nero believes everything is down to the gold price.mc states that we are massively undervalued to a basket of peers so it would seem obvious to me neros view is flawed.Obviously it is unhelpful and a serious rise in the gold price should help.
It still doesn't explain how with positive news aaz and omi have had stellar gains over the last couple of months and cnr with permits granted is hovering around a 2 1/2 year low. I cannot see a strong case for cnr sale .we have been for sale once ,admittedly without permits but without sucess .as you previously pointed out ,explorers are bought out without full permitting.the situation exept permiting is more risky .b2 gold have progressed to a large company since being in nica.I can see a case for a low ball offer coming from them.they are a far stronger company now than they were 5 years ago and cnr has a value much lower than 5 years ago .in fact less than the cash invested.This is mr Beaties strategy ,buy when prices are depressed.much the same as with pglc.
I cant see an offer being high enough to satisfy holders .when I look at the price graph for both aaz and hum for 4 years prior to production it doesnt make a very convincing case for sp advancement during the next four years.These companies are our peers to my mind. Four years down the line they have m caps 3-4 times cnr and are producing.
A 10 per cent stake is what we need ,let s hope mc is on it.I doubt he would just pluck the idea out of thin air.That is the piece of news I am waiting on that should help things along.
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