First Nickel Inc. FNKLF

Metals & Mining Industrial Metals & Minerals

"First Nickel Inc was incorporated as 2035666 Ontario Inc., under the laws of the Province of Ontario on November 12, 2003. The Company is a Canadian mining company focused on becoming a mid-tier base metal producer through the successful mining, exploration, development and acquisition of opportunities throughout North America."

GREY:FNKLF - Post by User

First Nickel Inc.

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Comment by victor75on May 28, 2008 7:32am

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Post# 15117319

RE: FNI - fair market value + insider holdings?

Interesting listen from a US perspective relating to the allegation that Canadian financial institutions deliberately short shares of mining companies ahead of a financing, and then cover that short position with shares from that offering, pocketing the difference.

I believe that this scenario was likely the case with FNI's $0.40 PP financing in Sept/06, where a huge short position (see complete short history attached) existed prior to the closing, with short positions covered after the closing of the offering, and then the share price was driven down by a further 25% to the $0.30 level. In this case around 3 million shorts were covered.

When I listened to this piece I immediately thought of Consolidated Spire Ventures (CZS) which has recently announced a financing @ $0.175 and the share price has been driven down to $0.14 (20% lower), where I accumulated some yesterday.

Victor