Shirley, It would seem to me that were a company or an individual selling based on insider information..they would do it in a manner that would draw less attention to themselves. Dumping 200,000 shares on a thin market is a little to obvious.
Selling based on unfounded rumor?
1)Barrick is backing out of Diablillos. Between their failure to notify PFG Mch 31 of their intention to do so, the fact that they have twice mentioned Diablillos in quarterly reports, reported to be one of their top 4 properties, continued drilling ect -- this seems unlikely. Did anyone check on Boby Yellins question about whether they had some sort of escape clause or way out of parnership agreement? What penalties exist should they fail to complete their terms of the agreement?
2)Cerro Blanco turning up blank. If five holes have been drilled then someone has knowledge about the visible nature of the drill results. Many people at PFG, Barricks observer, drill personel etc. Here again it would seem that if visible drill results looks bad then there would be a more general sell off as more than one house would be quickly involved. Maybe CMS can shed some light on this. The plumber and the accountant gave us a heads up along the line "visible results look encouraging" during early drilling on Diablillos. Since this is our own property we can't blame Barrick for not hearing.
3)NB Raising Cash?
4)Disgusted investor? This is my favorite. I can sympathize with this guy. He bought high expecting a big run on good drill results. BRE-X fraud, market croaks, infill rather than stepout results, nothing on CB for another month etc, etc, etc. Tells his broker "Come monday I don't want to own one share of a Canadian Junior Mining stock"
I'm going to email John regarding the two questions I've raised. Should he respond, I'll post the answers.
Regards, Dave |
