Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Precious and Base Metal Investing -- Ignore unavailable to you. Want to Upgrade?

To: jrhana who wrote (13801)	7/11/2003 12:34:17 PM
From: The Vet	Respond to of 39344

ABER has been listed on NASDAQ for years as ABER. Trade is thin but the arbitragers always match the TSE price within a cent or two. I have a nice core holding that I accumulated over a long period. It has done very well for me but I am not selling because I can't see anything better for the mid to long term. The nice thing with ABER is that they financed their share of the mine cost without loss of any of their cut or without dilution. In fact De Beers paid for a large chunk of it when Aber sold the share they had in Snap Lake to De Beers for $143 million (or something like that - I don't have the figure at hand)... The rest came from the banks and could be paid off in a couple of years. Not bad for a small company to get to this stage with only 50 million shares out and getting 40% of the output with no strings attached.... The mine cost over 2 billion to build but of course 60% of that came from Rio Tinto. Having RT as an operator is a plus IMO, they have the experience and the money to overcome any problems. Their marketing deal with Tiffany is quite nice too... It gives them direct exposure to retail and allows them to sidestep De Beers to some extent if they wish....