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Gold/Mining/Energy : ARU.V Aurelian Resources Inc

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To: safeharbour who wrote (187)2/23/2007 12:34:27 AM
From: BritNick  Read Replies (1) of 516
 
The geopolitical risk in Kry is already built into the stock price. Chavez has been in power for close to 10 years. Mining was nationalized 30 years ago.

KRY... I love KRY...13.6 soon to be 17 reserves at a cost of $160.00 per ounce to get er out, you bet I am fully invested in KRY. I am probably over invested in it. LOL

Ecuador on the other hand have been under a leftist regime for less than 3 months,(ARU is down from $40.00 since Correa was elected) they are having a referendum in April that will determine if a constituent assembly will be set up.

This assembly will be tasked with writing a new constitution which will determine the fate of foreign investment and Natural resources, worst case they nationalize, best case they move towards a new mining legislation. IMHO

Powerful special interest groups are banging their drums for nationalization. This stock seems to be stuck, you tell me why!! If they continue on this path this stock will present an excellent shorting opportunity, a traders dream no doubt.

To end, the mining situation in Venezuela is known, the mining situation in Ecuador is not, the two are profoundly different but thanks for asking.

BTW Safeharbour I thought I told you this already.
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