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Montauk Metals Inc V.MTK

Alternate Symbol(s):  GAYGF

Montauk Metals Inc. is a Canada-based mineral exploration company. The Company is focused on seeking new exploration projects. Its subsidiaries include Galway Resources Vetas Holdco Ltd. (Cayman Islands), Galway Resources Vetas Holdco Ltd. and Sucursal Colombia and Galway Gold US Inc.


TSXV:MTK - Post by User

Bullboard Posts
Comment by Eaglegoldon Oct 18, 2013 4:37pm
230 Views
Post# 21829082

RE:Qui Bono

RE:Qui BonoThere are only three possible explanations I can think of:
1. Hold down the price while waiting for the paramo decision before making a takeover offer (that is, sacrifice hundreds of thousands or a few millions of dollars on the cheap sales, then buy the shares back higher when taking out the whole company, but getting the whole enchilada at a much lower price and therefore save many millions or tens of millions overall). This obviously would be the optimistic view.
2. Somebody is selling on an advance leak of the coming paramo decision and is dumping out. It benefits the seller to get out at 10 cents, rather than less. That's the negative view. It assumes that the bureaucrats and politicians are being suicidally stupid for reasons that would otherwise support a positive decision for the mining companies, as detailed over on the Eco-oro board.
3. Somebody just needs or wants to sell and move the money elsewhere. This would just be coincidental timing.
We ought to find out soon what the paramo decision is; it is certain that the relevant decision-makers know what they are going to say, and these things are never sealed tight. There is always a leak, which makes me nervous. As Eco-oro found three years ago, politicians and bureaucrats can indeed be suicidally stupid. One can only hope that since then the message the miners have been sending about responsible legal mining being vastly better than environmentally destructive illegal mining has been received. I can only say that it seems highly likely to me that the latest activity is linked to the decision being released very soon.
Declaration: I sold GWY on the takeover, bought back into GWM, but I have been waiting for the bottom on GLW. I continue to be ever longer on EOM, and find this latest selldown on both GLW and EOM make me hold my breath.
Bullboard Posts