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Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers -- Ignore unavailable to you. Want to Upgrade?

To: hubris33 who wrote (8699)	3/31/2006 5:48:34 PM
From: E. Charters	Respond to of 78417

Canadian companies mine 80% of the gold in Arizona and Nevada, or used to. Us companies used to complain about flow thru as it gave CDN companies such an advantage in keeping their doors open. But the exemption was only for work done on CDN properties. We would like to see real NAFTA access to capital south of the border. It is almost impossible for US people to invest in CDN companies. Canadians haven't got the capital to develop their own mines. They need foreign cash. When the doors were open and CDN capital gains were 0, the mining industry of Canada was built. Toronto Stock Exchange traded more shares than the NYSE. To get an offering okayed in a State takes a lot of money. It had better be a substantial offering. No way of knowing if your company has that sales appeal to make it worthwhile. Mining needs flow thru right to production. I can see were if the company is making money that it is not needed, but mining being such high risk and such good foreign exchange, the net benefit to the economy far outweighs the perceived lack of tax flow to the government that it engenders. In fact the net tax to the government actually increases with the increased business of caused by flow thru spending. It underscores that governments like Canada's are fundamentally bankrupt if they would whine about supporting a business like mining that used to supply 38% of our foreign exchange because it supposedly sequesters 300 million dollars of otherwise taxed capital. They aren't adding it up right. Most of what the governments of G7 countrie have done in the past 30 years to increase government revenues and protect the environment interferes with business, prevents technological advances and research that could use energy more efficiently, and decreases business, ultimately making it harder to pay debt. In the end there is a net decrease in modernization and a net increase in pollution from aging inefficient industry. EC<:-}