RE:RE:Dolly Varden = 191 million $ cdn ..AAG = 37 million$ cdnYes , it is unstable but the new communist President tried to nationalize the mines but the congress voted it down... There will be no nationalization of the mining companies..
Venezuelan President Chavez did it (stole the company) with the canadian gold company called Crystallex but later an international court ordered the country Venezuela to pay back investors something like over a billion dollars.. As dumb as the communists in South America are, they have to know that nationalizing their mines would absutely obliterate their minng sector and they would have to pay back these companies later on anyway...
So, a major legal precedent has been made and the commies are not going to go there...
In the past 2 years there has been a sizeable deficit in world silver supply and this year will be no different... There is no way that the rulers of our world are going to allow a country like Peru to severely affect the supply of silver to the downside . Socialism might be on it's last legs in South America what with Argentina electing a free-market capitalist... If Argentina starts to prosper, look for other South American countries to start to imitate them...
I believe that the discount that the market has given to AAG for political risk is over-done... Even the commies in Peru have to be aware that Socialism turned Venezuela into one of the absolute poorest countries in the world.. Venezuela is a absolute disaster...So, Peru will try to avoid Venezuela's situation at all costs...
If you think the risk is too high for investing in AAG , then just move on... Nobody is forcing anyone to invest here, right?