CLK,
Thanks for your last input, and all your inputs. There are certainly things to be cautious about regarding this and other Canadian junior stocks. However, I should note that oil and gas stocks have held up better than many other stocks in the Canadian market place, and should not all be lumped together. Earlier investors may not have made much in these stocks, but, at least, they haven't lost much either.
Having said that, the risks as I see them now are (1) that somehow the JV thing will not happen. The results might be good, but for one reason or another, a change in management, for instance, and it doesn't come off. That is the slightly longer risk. And (2), in the nearer term, I see a risk in the market as a whole tanking, and taking the price down a bit more.
Another risk to be considered in SIR vs. ERB is that SIR is less liquid. I believe the spread of SIR was $.10 yesterday. but $.04 of ERB. That's the flip side of the coin for greater appreciation potential for SIR.
/Carl |
