Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.

Silvercorp Metals Inc. T.SVM

Alternate Symbol(s):  SVM

Silvercorp is a Canadian mining company producing silver, gold, lead, and zinc with a long history of profitability and growth potential. The Company’s strategy is to create shareholder value by 1) focusing on generating free cashflow from long life mines; 2) organic growth through extensive drilling for discovery; 3) equity investments in potential world class opportunities; 4) ongoing merger and acquisition efforts to unlock value; and 5) long term commitment to responsible mining and ESG.


TSX:SVM - Post by User

Bullboard Posts
Post by BNPUNon Jun 08, 2009 11:17am
345 Views
Post# 16051862

Can someone please explain

Can someone please explainwhat the point is in purchasing a company - for a 50% premium - that is of less value than your current company?

KDX can't possibly have a lower cost of mining than the Ying mine.
KDX is not in China so labour costs will be substantially higher than what we had in any of our China mines.
Then there are the permitting issues.  We can open mines in China in record time.  This won't happen in the US, especially now with Obama in charge.

I fail to see the rationale of this.

The only thing that can save Rui is for silver to go to $50 in a hurry.  But we would have been just fine anyway if that had happened.

Rui should have stuck to what he knows and bought a Chinese mining company.
Bullboard Posts