RE:RE:Coiling SpringI share the pain Unk.
The long time shareholders are worn down by the almost constant Mongolian weasling and chiselling. It’s like a siege from the days of the Great Khans! But not unreasonable, knowing how valuable ETG’s interests are (just ignore the stock price for a minute, the market lost the thread and a rational valuation here long ago - Mongolia and Rio successfully chased away most buying pressure), to expect a big bump-up and buy out to close out the trade.
Latest out of the London tax arbitration is the Mongolians claiming the whole IA is invalid. Which is a bit of a surprise considering the number of payments, inducements, benefits, investments, jobs etc.,. they have collected under the IA.
Watching what happened with the sudden imposition of the ridiculously punitive Windfall Profits Tax, the arrest of foreigners in connection with South Gobi (remember Hotel Mongolia?), the absolute piracy and theft of Khan Resources property, the refusal to pay the Khan damages award, the numerous attempts to subvert or impose extreme interpretations on their agreements and laws ... it is absolutely bizarre they can turn on a dime and say they are encouraging foreign investment, they want to float large bond and equity issues on international markets.
There is a kind of manic, crazed aspect to the modern Mongolian personality. I remember during the Summer Olympics when a Mongolian wrestler lost a match by a jusge’s descision on some discretionary call, the coaches kept into the ring and began flinging off their clothing until they were stomping around in their underpants. I thought, yup, that is that volatile temper we have seen time and again. I wonder how traumatic it was in the Soviet era, there is some very complicated psychology going on. Lots of pride, I know they can be very hospitable, hard-working, many good aspects, but aggressive, angry, xenophobic, hot-tempered, irrational, mercurial ... lol no shortage of energy!
All along I have taken the view ... amend of the day Mongolia needs global trade and balance of trade improvements, the cash flow from OT whether by equity ownership or all the downstream benefits to their economy is irresistible. They will end up at the table because a failure to conclude a stable project at OT will condemn them to decades of poverty and irrelevance. IMHO.
cg