RE: RE: brainstorming: where......
Hi all,
With an investor-friend of mine in the US, I discussed the perspectives of Stans as a first-moving, major REE play operating from Kyrgystan. All of a sudden he came up with the following idea:
"So, given China's predatory history in this arena, what's to prevent them from pressuring their 'neighbor' Kyrgystan from nationalizing the REE business (maybe throwing a few bucks but not much to STANS) and becoming a captive supplier to China?"
My first reaction: Funny, is this still the American view of the world, the one you, "andech" just talked about? But no way, he is just to intelligent, this was meant to provoke me.
So I replied:
Dear B.
Honesly, I hope not, and to me it wouldn't make much sense for the sake of this jung democracy.
Only half a year ago, Kyrgystan elected its president, and a still very young democratic parliament. Lately the new government is working on a new mining law, one reason for Stans being late in delivering its due PFS. They (Kyrgystan) wish to be a reliable partner in order to attract foreign money. Since they "just" (in a historical timescale) escaped more or less the Russian dictate, this country is not keen at all to fall back into dependency. This is based on multiple publicly spread interviews of the new president, the coordinating ministries and the Minister of Mining. They even involve German expertise, to do so.
We see a similar situation with Mongolia, who escaped the Chinese influence and now would do anything, for staying independent. International markets are so much more attractive, which doesn't mean, Mongolia wouldn't sell its commodities or products (like electricity) to China. But no way they wish to become part of the old structures again. Their government is also working on a more efficient Mining law for the sake of not getting exploited, which I think is fair enough.
By the way, when looking at the SP of Stans you'll notice a major drop: Stans' management is late with the PFS giving room for all sorts of rumors incl. a major short attack, spread via Seeking Alpha. SA's platform really behaves like a double edged knife. We will know, when the PFS is out. Hold thumbs for me.
Yours, ...
GLTY, mikado_D