Price Drop and LT General The recent price drop is of little concern to me. Not unexpected, the new resource estimate was weak. Speculators bailiing out, get rich quick folks bailing out, short term investors bailing, falling share price scares out a bunch more. I can't time the market EVER, so I'll just stay with a strong company that is running a good business in a good sector and running it intelligently and wisely.
One area that I am not wrapping my head around very well is the addition of the LT GEN to the board. Someone speculated before that this might be to garner governmental interest and utilize this as a strategic reserve.
Any other thoughts/ideas as to why? I am sure he is an intelligent man with a good business persepective and education.
But . . . maybe for contacts? Government permits?
And what does it mean if this is declared a strategic reserve?
China started their strategic metal reserve in 2010 and it is expected to be 100,000 tons of rare metals. Specifically for copper, the Strategic Reserve Bureau was ordered to have 2 million tons of copper by 2015.
Columbia has a different tact on it. They are restricting mining on millions of hectacres of land where they know metals are vs storing the physical metals.
Anyone have any ideas?
Thanks,
Jason