NGDThere is a lot of talk about NGD,which is another clunker I have owned .I bought Harte thinking (foolishly)that NGD management knew what it was doing .
One might imagine that the NGD shareholders can be none too pleased with thier investment in Harte ,the 25 million looks lost .I imagine the CEO of New Gold who presumably sought board approval for this 25 million dollar investment will and should be subject to severe criticism over this investment.They have struggled financially for years since the Oliphant days and can ill afford a 25 million dollar loss .Putting more money into Harte would be"throwing good money after bad".Ngd had to farm out Blackwater which they couldn't afford to bring on stream and produce .Why on earth they then turned around and invested in Harte is a total mystery .They (the management of NGD) have a lot of explaining to do .
If NGD was primarily a US company I have little doubt that some law firm or another would launch a class action suit against them ,my experience in such cases has been that it is generally the attorneys who come out of these situations the best, the common retail shareholders get pennies on the dollar .
I expect the midnight oil has been burning over the weekend in Australia and Canada; in terms of the mine and its employees being taken over by a well run and funded Aussie gold mining company with multiple mines is,I would think the best outcome for thier jobs and future.