An obscure ZIM in Africa traded Down Under Message Board

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Gold/Mining/Energy : An obscure ZIM in Africa traded Down Under

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To: TobagoJack who wrote (818)	5/7/2003 1:25:00 AM
From: Canuck Dave	Read Replies (1) of 867

Well, let me issue one or two cautionary notes. First, apparently they do not get institutional buying because of the potential legal liability of shareholders in the event of an eco-disaster. I put the probability rather low, and there is legislation proposed to change the rules. Being overseas, this is probably a moot point for you in any event. Secondly, they do go up and down based on the price of gas and oil (I think gas will go, check out big dog's boom boom room for some very sharp people on this). The higher dividend ones tend to fluctuate more, as you might expect. Thirdly, they are ultimately sinking funds and have to replenish assets. Typically, they have 6-12 years of production life at any one time. Oddly enough, if gas prices stay high this is a bigger problem than if prices cycle up and down. Fourthly, let's toss a few cyber-beers on May 15. Dividend day! CD

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