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: seventh_son who wrote (33559)	12/23/2004 2:41:08 PM
From: ogi	Read Replies (1) \| Respond to of 39344

Point taken S.S. but let me wiggle this a bit. I was not blacklisting so much as saying why take on the risks of outcomes ,that despite your best efforts of logical evaluation cannot be logically determined. Illogical can often prevail.I was speaking specifically of legal actions, ie claim jumping and anti-mining campaigns aimed at a specific project, again with legal system implications. My point was that it is impossible to predict the outcomes in the majority of cases and often in the event that you get your desired outcome the stock can be so beaten up and the story so out of favour that you are not rewarded for staying with the stock and being right. My father once had a piece of land expropriated ( stolen) in New Brunswick. It took 12 years in court to resolve the matter!! So, how much value to you give the owner of the Esquel deposit in Argentina? How much upside is there in Nevsun now compared to before they were sullied by the actions of the Eritrean Government.They have/had a deposit worth billions. Certainly the stock will never see the gains it would have even if they get the property back and I do believe they will develop the Bisha deposit eventually. As far as Goldrea is concerned, I see no such demonstrable roadblock to their progress. They already have had all their official business approvals from each level of Government and I only purchased after these were secured. Although there is rampant graft in the workings of their economy the Beijing Government is cracking down on these abuses, which is some help. Meantime, I am not aware of any Canadian explorers who have had there projects stopped by corruption. I also believe that the Chinese are committed to growth through profit and perceived progress and that means a real atmosphere of wanting economic success from a local level on up. So I have quantified these risks to my own satisfaction. There are currently no known impediments to the development of Goldrea's properties which surround a fully permitted and operational mine. If there were a lawsuit filed against them or there was a Governement decree that called things into question, I would follow my own advice and bail!! I think if Greenpeace showed up and protested against Goldrea the most likely outcome would be their hastened removal from the country by the Governement. As no such barriers currently exist then the risk IS different than those companies that are faced with them. Hope this long winded diatribe helps clarify my perceived differences in risk between a Gabriel Resources and a Goldrea. Cheers, Ogi