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12/12/09

Hillary/Evo

The background: The USA is not on friendly diplomatic terms with Iran (natch). Bolivia is on friendly diplomatic terms with Iran.

First Hillary, quoted via Two Weeks Notice:
"If people want to flirt with Iran, they should take a look at what the consequences might well be for them. And we hope that they will think twice."

Now Evo, quoted via AFP (trans: Otto):

They say that Iran exports terrorism. Do you know who exports terrorism? Those people who send troops to other countries, who install themselves in military bases, they are the ones that practice terrorism. It is the government of The United States that practices terrorism at the moment."

The Bolivian Election: Results update


We're now at 91.4% of votes counted and so things are pretty much set in stone with maybe half a point here or there of variation possible. The MAS party (i.e. "vote Evo") is at 62.5% of the national vote but here's how MAS is doing in the nine departments of Bolivia in order, best to worst (with just a few votes to count, remember). All data taken from the official election site, right here:
  • La Paz 80.25%
  • Oruro 79.16%
  • Potosí 78.05%
  • Cochabamba 66.2%
  • Chuquisaca 56.05%
  • Tarija 51.09%
  • Pando 44.51% (PPB-Convergencia wins with 51.07%)
  • Santa Cruz 40.9% (PPB-Convergencia wins with 52.61%)
  • Beni 37.64% (PPB-Convergencia wins with 53.17%)

Or in other words, Evo Morales has swept the board. No surprises about the high percentages in his traditional strongholds of La Paz, Oruro and Potosí of course, but the two thirds of voters in Cochabamba is a remarkable result. Also noteworthy is that MAS has scored wins in Chuquisaca (the Sucre region) and an overall majority in Tarija too (supposedly a bastion of anti-Evo feeling, remember).

The most significant opposition remains in Santa Cruz but even there MAS has scored more than 40% of the votes. Also worth noting that of the 15 provinces inside the department of Santa Cruz, Evo Morales has won a majority in nine of them. The bulk of the popular vote goes against Evo in the main city of Santa Cruz, but the outlying areas are as MAS Party as the rest of the country. In other words, the whole of the "massive controversial splitting in two of a whole country" rests on the shoulders of the 427,000 people in the city of Santa Cruz that have voted against Evo (while 269,000 have voted for him there). If that's as bad as it gets, then those that still call Bolivia a country divided are on very shaky ground. The sparsely populated states of Beni and Pando have a lower percentage of votes for MAS, but calling them decisive is like pointing to Alabama's 2008 voting tendencies as evidence that the USA is split down the middle and on the brink of civil war.

Finally, the myth of a rigged vote is easily disproved. All the neutral observers in Bolivia for the vote (including Mercosur, the OAS, the Carter Center and a couple of others that I can't remember offhand) remarked on the totally free, fair transparent and democratic manner of last sunday's vote, with special mention made of the new registry system that assures equity. Sorry O'Grady, you've been caught making shit up again.

UPDATE on the update: 96% now counted and MAS holds 63.12%

In the world of the corrupt Canadian miner....

....if you pay a bribe you are an innocent victim of extortion. A good job of reporting from G&M's Andy Hoffman. Excerpt:
In an interview, Blackfire president Brent Willis said the company thought the payments were being made to the town and to sponsor the annual fair, not to the mayor personally.

The company also thinks that Santa Claus exists, the tooth fairies really do come and take away those molars from under your pillows late at night and that thing about childbirth being painful can't be true cos storks bring them along in wicker baskets. But your not allowed to mention any of this in Canada, ya knowz, cos it upsets the mentally challenged sector of fine upstandin' citizens that think butter wouldn't melt in the mouth of its mining executives.

12/11/09

Gold price explained

Beck - Not So Mellow Goldwww.thedailyshow.com




Latinobarometro 2009, out now

Get your copy of the 115 page report on this link right here.

By the way, it's an 8.5 mega PDF download, so be patient.

The Friday OT: Monty Python; Argument Clinic

Classic, worth watching a hundred times.



The joke is still surreally fresh after all these years, but the thing that makes me go "wow" the most about this sketch is the consummate comic timing of John Cleese. Just as one example, Cleese's "yes it is" at minute 1:07 bats off Palin beautifully and gets a laugh where nobody else could.

But hell...too much analysis. This is just plain funny.

UPDATE: For another Friday funny video, I recommend ten percent's offering tonight. Good stuff.

Trading Post (mentionable edition)


These stocks (amongst others) will be featured in IKN33, out Sunday:

Ventana Gold (VEN.to) down 4.6% at $8.84

Dia Bras (DIB.v) UNCH at $0.22

Vena Resources (VEM.to) down 5.9% at $0.32

Fortuna Silver (FVI.v) up 3.6% at $2.03

B2Gold (BTO.to) down 2.3% at $1.30

Dynasty (DMM.to) down 1.2% at $4.94.

Lots of others, besides.

Ventana Gold (VEN.to): Master Blaster

Eike (for it is he)

Today's insider trades filings on Ventana Gold (VEN.to) are interesting and explain why VEN went through a moment of intraday weakness yesterday that saw the stock under $9. Here's the segment from Canadian Insider:

Ventana Gold Corp. (VEN)

As of December 10th, 2009
Filing Date Transaction Date Insider Name Ownership Type Securities Nature of transaction # or value acquired or disposed of Unit Price
Dec 10/09 Dec 04/09 63X Master Fund Direct Ownership Common Shares 10 - Disposition in the public market -1,000,000 $10.200
Dec 10/09 Oct 15/09 63X Master Fund Direct Ownership Common Shares 10 - Acquisition in the public market 2,155,300 $6.021
Dec 10/09 Oct 05/09 63X Master Fund Direct Ownership Common Shares 10 - Acquisition in the public market 4,875,300 $5.467
Dec 10/09 Aug 12/09 63X Master Fund Direct Ownership Common Shares 10 - Acquisition in the public market 1,814,200 $4.271
Dec 10/09 Jul 22/09 63X Master Fund Direct Ownership Common Shares 00 - Opening Balance-


The 63X Master Fund is the investment fund run by our pal and Brazilian squillionaire Eike Batista. What we see here is the 8.8m or so shares that Eike bought mostly (8.2m) back in July (and for some reason only registered in August/October) period have finally been filed (and by the looks of things he's not going to sweat over a CAD$1,000 late filing fee, is he?). But we also see that he's dumped a million of the shares in the last few days. The reason for this apparent vote of no confidence must be the legal action that's surfaced between VEN.to and local owners of the 'La Bodega' property, Sociedad Mineral La Bodega (SMLB) and its controllers, the Gelvez family of the Colombian region in question.

Not much doubt that it's a net negative to see Batista selling like this, however much you want to spin it as "wisely taking profits, still owns plenty" to feed some illusion or other. BUT, one thing that does strike me is that all of a suddenly sudden, Batista (via his 63X Master Fund) is suddenly keen on being transparent about his trades when previously he didn't give a damn about filing his inside position correctly. One guess here....and it is a pure guess...is that Eike wants to get a few nerves flowing through the marketplace about VEN.to stock. He'd actually like to see the price drop. If that's so, as he currently owns 7.8m or so VEN shares he's either shooting himself in the foot (virtually impossible) or he's looking to add at a lower price later.

OK, this could go down as an extrapolated conspiracy theory and Occam and his razor may well disagree with me here. Another thing to note is that the 1m share sale puts Eike under 10% owned and no longer an insider of record (i.e. he can do what he wants out of the public gaze) But Eike isn't one of the world's most successful investors by sheer chance, y'knowz.

So the bottom line is that this story has a long way to travel yet, but Eike has added a very short term negative to the mix with his sale. DYODD.

Chart of the day is....

...this scalped from The Economist's take on the Latinobarometro annual survey, version 2009 that's out at 10:30am Santiago time today (it's a Chilean firm).

We'll be looking more closely at the Latinobarometro results in the next few days. Hat Tip to Jurgen for the chart.

12/10/09

Zero Currency 9


Dec 10th

Trading Post (are we allowed to buy the weakness yet? edition)


Ventana Gold (VEN.to) down 0.5% at $9.20 and at the lowest price seen since the start of its recent travails.

New Gold (NGD) down 4.1% at U$3.31 and at the lowest price seen since the start of its recent travails.

Fortuna Silver (FVI.v) down 3% at $1.96 and at the lowest price seen since this time yesterday.

Oro Gold (OGR.v) down 13% at $0.47 and at the lowest price seen since late May 2009, as the news out today did little to suggest that Trinidad is going to grow into a decent sized deposit. Dem's da breaks, boys.

Focus Ventures (FCV.v) down 5.6% at $0.85 and at the lowest price seen since the bullshit newsletter boyz pumped this thing in near unison. But don't worry, dumbasses, cos chief pump artiste Louis James of Casey Sycophants Inc. is on site right now and he'll surely give it all he's got.

December 2011

On this day, December 14th, 2011, IKN records the words spoken by President Barack Obama regarding the US invasion of Venezuela that started last night:

"When I accepted the Nobel Peace Prize in December 2009, I was leading a country that was, at that time, accelerating its war in Afghanistan. At that time I said that a nonviolent movement could not have halted Hitler's armies, negotiations cannot convince al-Qaida's leaders to lay down their arms and that noting force is sometimes necessary is not a call to cynicism, it is a recognition of history.

"This is as true today as it was then. Last month's decision of the dictator Hugo Chávez to refuse to sell his country's natural resources to the USA is an open act of defiance against our great nation that wishes to uphold and maintain the ideals of peace and democracy. Denying oil to the USA is a clear violation of human rights and threatens the lifestyle that we all hold so dear. Though we desire peace, the belief that peace is desirable is rarely enough to achieve it. We will defend ourselves by all full spectrum means at our disposal and we will continue to seek long-lasting peace.

"The invasion surge that I, as Commander in Chief of the US armed forces, ordered into Venezuela last night will not be a permanent presence in the country. We are there to get the job done and will then leave Venezuela to decide its own future of peace and democracy and will respect its sovereign decisions once a democratic government that truly represents its people has been installed. We know that, however great and justified the cause, that in the moments of war some will kill, some will be killed. No matter how justified, war promises human tragedy, but let us reach for the world that ought to be. We can understand that there will be war, and still strive for peace. God bless America."

Bolivia Election count update (and best ever photo of Evo)

Last night the official Bolivian votey countey people announced the MAS party (i.e. Evo Morales) with 59% of the votes with a touch over half of all ballot papers counted (51% to be exact). This 59% is bound to go up due to the way Evo is more popular in those rural areas that get counted last, so the original exit poll calculations of around 63% look like being an accurate reflection. It should take the rest of the week before we get a final result. UPDATE Thursday AM: The official tally is now 63% Morales with 78% of votes counted.

Meanwhile, check out this photo of Evo by The New Yorker's house snapper, Platon. It comes from this article that has 50 full face portraits of world leaders by the photographer and is well worth a visit, especially for the audio comments from the photographer about each photo and how it was taken (don't miss the Chávez or the Uribe commentaries), but in my humble opinion (and that of the reader who gave me the original headsup, who we'll call 'M'), the Evo photo is one great portrait.

click to enlarge (gets big)

Dear goldbugs: Are you embarrassed?


Cam Hui, one of the smarter bizbrains that shares via blogs, has written a thought-provoking post on gold, the miners and the goldbug legions.

Good news from Argentina


Alfredo Astiz, hit man in the Videla dictatorship nicknamed "Angel of Death" responsible for multiple Dirty War murders and while in the army capable of things like this during the Falklands conflict....
Astiz is known to have committed several war crimes during this period, notably attempting to lure Royal Navy helicopters to land on a helipad he had previously mined, after he had surrendered to British forces. The pilots were suspicious, and landed elsewhere. Astiz also attempted to encourage Royal Marines across a minefield, after he had surrendered.

....was hospitalized last night suffering from a kidney tumour.

I hope it really hurts, you bag of shit.

Chart of the day is.......

.........the silver year to date sweepstakes, new update.

click to enlarge

The week since our last update has seen Fortuna move up to 2nd place, mainly because it dropped less than Bear Creek (BCM.v). Getting tighter at the top, with EDR.to coming back to its field a bit, too.

Impact Silver (IPT.v) has snatched 5th from US Silver (USA.v). ECU.to is now 15% down on the year, goes to show just how bad at stockpicking those GATA scamsters really are. In the long run, fundies still count.

12/9/09

How do you say "Don't Tase Me Dude" in Spanish?

It had to be Colombia, didn't it? A nice catch by RB over at Ten Percent sees the Colombian Police Force opting out of their usual "control devices" (e.g. thumbscrews, spare FARC uniforms to slip on innocent victims, unmarked graves) and going all thoroughly modern on the world:

(FinancialWire) Taser International, Inc. (NASDAQ: TASR), a market leader in digital evidence solutions and electronic control devices, announced an order from the Colombian National Police for 140 Taser(R) X26 ECDs and related accessories. The contract was placed with Tasers exclusive distributor, Eagle Commercial, S.A. in Colombia.

Now you know how Uribe can guarantee a decent turnout on election day next year.

Mojitos served. The end.

Trading Post (hanging tough edition)

Gold is down U$7.30 at $1,122/oz right now and well off its U$1,147 high this morning. Silver is down 33c at U$17.21/oz and the gold silver ratio has breached 65X. Despite all that, gold stocks are net positive on the day, with the HUI index up 0.7%. (XAU in positive territory, too). That's a pretty good performance, with larger gold plays like EGO, NEM and HL all doing well. Hardly the stuff that panics are made of and clear signals that it was gold the metal that got ahead of itself, not the companies that drag the stuff out the ground.


B2Gold (BTO.to) up 2.3% at $1.33. Haywood joined the party this morning with a $1.75 target and a buy reco on BTO. Better late than never, boyz. Once again, strong volumes with 14m shares doing the rounds.

Vena Resources (VEM.to) up 6.3% at $0.34 on this lunchtime's news. Add 161k shares traded in Lima to the 87.5K traded in Toronto.

Fortuna Silver (FVI.v) up 4.3% at $1.93. FVI had a plug awful day yesterday but there's a bit more sanity in the air today and the stock has rebounded some of the lost pennies.

Chariot Resources (CHD.to) down 1.6% at $0.315. CHD got pumped (yet again) by the can of corn this morning on the back of yesterdy's PR. So be it. RayJames' Meyer says "underperform" though. Between The Zed and Meyer, I know which one I listen to more.

Ventana Gold (VEN.to) down 2% at $9.21, She popped early, she dropped later. It's beginning to look like a bad habit. I'm surprised the retail market hasn't cottoned on to the real problem with Los Gelvez yet. There will be more information about risk for this stock in IKN33, out next Sunday.

Colossus Minerals (CSI.to) down 0.8% at $5.06. Talking of vastly underestimated political risk, i wonder how those who took parts of the recent $5.75 bot deal in this pumphouse special are feeling right now? Nicholas CampbellSoup over at the can of corn said its latest drill results were "unbelieveable" about 24 hours before that bot deal (led by the can of corn, of all places) was announced. It was like saying , "Britney has taken illegal drugs? Unbelieveable!".


Vena Resources news (VEM.to)


Thought for the day: When a small junior mining company specializing in Peru attracts a decent, world class joint venture partner, then you can virtually guarantee that the bigboy miner in question can spot a bargain or a good, solid team with which it can work.

So what can you deduce from a small mining company like Vena Resources (VEM.to) that has attracted not one but three world class companies to JV with it?
  • In Base Metals, Vena Resources JVs with Glencore, as big as it gets in the sector.
  • In Uranium, Vena Resources JVs with Cameco, world leader in the metal.
  • And now in Precious Metals, Vena Resources has attracted Gold Fields (GFI) as a JV partner to explore its highly prospective Esquilache project in southern Peru.

So ask yourself this: What do serious, world leading mining companies see in VEM.to that the retail market has up to now ignored? Your humble correspondent owns, so DYODD. Now check out today's press release pasted below:

TORONTO, ONTARIO--(Marketwire - Dec. 9, 2009) - Vena Resources Inc. ("Vena" or the "Company") (TSX:VEM - News; LIMA:VEM - News; FRANKFURT:V1R - News) is pleased to announce that it has signed a definitive Joint venture agreement with Gold Fields, the third largest gold producer in the world, to create a new Peruvian company "NewCo" to jointly explore the Esquilache regional project 100% owned by Vena in southern Peru. "NewCo" rights will not include the historical San Antonio de Esquilache gold/silver mine that is currently undergoing a 3,000 meter drill program.

Under the terms of the joint venture, Gold Fields can earn an initial 51% interest in "NewCo" by spending US$1.5 million on exploration and maintenance within three years of the effective date of the joint venture agreement. Gold Fields can earn an additional 19% interest in "NewCo" by spending an additional US$3 million on exploration and maintenance within the subsequent three year period to bring its total interest to 70%. If Gold Fields does not complete the additional investment of US$3 million, its interest in "NewCo" will remain at 51%.

Further development of the project would be subject to normal straight line dilution clauses. Should either party dilute to below 15%, then it would exit with a 1% NSR. The "NewCo" owner would have the right to purchase one-half (or 0.5%) of this NSR interest for US$2 million.

Gold Fields will be the initial operator and full pre-emptive rights will apply in the case that either party wishes to assign or sell its interest in the joint venture or its rights to the NSR royalty to an unrelated party. The parties have agreed that NewCo's Management Committee will be comprised of two representatives of Vena Resources and two representatives of Gold Fields with Gold Fields having the casting vote.

Gold Fields is one of the world's largest unhedged producers of gold with attributable production of 3.6 million ounces(1) per annum from nine operating mines in South Africa, Ghana, Australia and Peru. Gold Fields also has an extensive growth pipeline with both greenfields and near mine exploration projects at various stages of development. Gold Fields has total attributable mineral reserves of 81 million ounces and mineral resources of 271 million ounces.

(1) Based on the annualized run rate for the first quarter of fiscal 2010.

Juan Vegarra, Chairman and CEO of Vena Resources commented,

"We welcome Gold Fields to the Esquilache region. Vena is very focused on drilling the historical Esquilache gold/silver mine while working with Gold Fields to explore the early-stage areas surrounding the historical mine. Access to geological knowledge and global expertise is what Vena looks for in any partnership. Gold Fields is the third global mining company that Vena has entered into a joint venture agreement with - the others being Cameco in Uranium and Glencore in Zinc."

The transaction remains subject to regulatory approvals.

To view the map associated with this Press Release please visit the following link: http://media3.marketwire.com/docs/VEM-1209.jpg

Statements in this press release regarding the Company's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties, such as estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements.

Shares Outstanding: 88,098,949

Fully-Diluted: 103,428,387



The only miraculous thing about Peru's economy......

...is that the phrase "Dutch Disease" is not used by the dumbasses in suits (you know them by the title "economists") to describe this one trick pony growth story.


This chart above is the whole decade of Peru's exports. Traditional exports apart from hard rock mining (i.e. fishing, agro, oil&gas) have hardly changed. Non-trad exports (some agro produce such as avocados and asparagus, then textiles, wood and paper, non metallic minerals and any product further up the value added chain) have hardly changed, either. The whole of Peru's growth is based on mining and the dumbasses in suits that point to Venezuela's utter dependence on oil exports then ignore Peru's utter dependence on metals are either deliberately skewing reality to prove a political point or they are, to quote the vernacular, simply TEH STOOOOPID.

Dutch Disease: coming to an economic miracle near you soon (if China decides to stop buying metals all of a sudden). Kow-Tow, Twobreakfasts....Kow-Tow.

Venezuela rig count stupidity (this week's coveted award)

One of the classic potshots aimed at Venezuela from time to time is the imminent decline, or implosion or just plain death of its oil industry. This has been going on for the last five years at least, but those with their rabid hatred for all things Chávez have never let facts get in the way of their made up bullshit and continue banging the drum.

The latest salvo against Venezuela's oil industry is one of their old chestnuts, that of the rig count. In a nutshell, by counting the number of rigs in operation you can get a decent idea as to how the sector is operating...the more rigs, the more dynamic and healthy things are. Makes sense, right? So here's the chart for the Venezuelan rig count, as supplied by industry leaders Schlumberger (resource page here). It discounts the 50 nationally owned rigs and just concentrates on foreign owned rigs (and as such matches the latest Vzla government figure of 140 rigs to a tee).

As we can see, in the last few months we've seen a drop-off in Venezuelan rig activity and there's not much doubt about that. So as day follows night, this is being jumped upon by the myopic oppos as clear evidence of the imminent etc etc blah blah we're all gonna die. (helped along by slanted reports from people who should know better). What we need here is a bit of context, so this chart below isn't the kind of thing the Chávezhaters will be showing off to their sycophants any time in the near future.


Yup you got it; apart from that oil strike period in late 2002/early 2003, the world rig count pretty much matches the evolution of rig counts in Venezuela. So rather than predict the end of PDVSA these Chávezhaters should be wailing about the death of the whole freakin' world oil industry, shouldn't they? Or maybe they should just cut to that Mayan 2012 prediction about the end of times and blame Chávez for that too. Or maybe, just maybe they should learn a little bit more about their subject and then they might just...

MAG Silver (MAG.to)(MVG)

Damn the hides of this opportunistic, self-centred management team. If it weren't for their managerial stupidity and greed this company would have added oodles more shareholder value in 2009.

MAG Silver Corp. (MAG)

As of December 8th, 2009
Filing Date Transaction Date Insider Name Ownership Type Securities Nature of transaction # or value acquired or disposed of Unit Price
Dec 08/09 Dec 01/09 MacInnis, Daniel Thomas Direct Ownership Common Shares 10 - Disposition in the public market -2,000 $7.180
Dec 08/09 Dec 01/09 MacInnis, Daniel Thomas Direct Ownership Common Shares 10 - Disposition in the public market -2,000 $7.150
Dec 08/09 Dec 01/09 MacInnis, Daniel Thomas Direct Ownership Common Shares 10 - Disposition in the public market -2,000 $7.150
Dec 08/09 Dec 01/09 MacInnis, Daniel Thomas Direct Ownership Common Shares 10 - Disposition in the public market -2,000 $7.130
Dec 08/09 Dec 01/09 MacInnis, Daniel Thomas Direct Ownership Common Shares 10 - Disposition in the public market -2,000 $7.100
Dec 08/09 Dec 02/09 Megaw, Peter Indirect Ownership Common Shares 47 - Disposition by gift -38,200


But of course, these fools will blame Fresnillo for all their woes.

Chart of the day is....

...this again. Feel free to yawn.


The idea of 'datum' as the singular never sits well with me, either. Call me a cwazy wabbit gwammar webel if you like, I don't care.

12/8/09

Trading Post (immaculate edition)

Named after one of the more important dates in the calendar of LatAm's favoured cult.

Ventana Gold (VEN.to) down 2.3% at $9.51. VEN started out soft today then popped to $10 or so on this news about met (the easy-to-recover side of the camp, for those who remember the presentation at the Denver Gold Show). After the pop comes the drop and the rot has set in again. Volumes low and put today down as one for the fear camp.

Dia Bras (DIB.v) up 6.8% at $0.235 with more solid exploration news out of the company this morning. This turnaround story deserves some of your DD time. Lowish volumes today shouldn't put you off.

Chariot Resource (CHD.to) up 6.5% at $0.33. Subscribers received a Flash update about this stock at 10:51am EST, eight minutes after this press release hit the wires.

Troy Resources (TRY.to) up 5.3% at $2.40. TRY has had a rough time of it thru the rights issue process and has trodden water at best. But last night's action in Oz was eyecatching and smacks of "worst is over". Now utterly undervalued.

TheNewCrystallex (EC.v) down a penny at $1.18 but the madness continued yesterday. Interested in this stock? Why not tattoo "sucker" on your forehead and be done with it.

Nadagold (NG) down 6.4% at U$5.41. Another four dollars to drop before we begin to approach fair value. Horrid.

Riverside Resources (RRI.v) and a Live Online Investor Presentation Today

Riverside Resources (RRI.v), the likeable junior exploration play with Mexico expertise and also a hot looking Arizona property in the works, is running a live, interactive free-to-join online presentation today. Here's the company blurb (dated yesterday, so the Dec 8th date is in fact today) and here's the link to go see. Note the time, 10am California/Vancouver.
We are pleased to invite you to Riverside Resources Live Online Investor Presentation (LOIP), taking place tomorrow, December 8, 2009 at 10:00 am (Pacific Standard Time).

John-Marke Staude, President & CEO of Riverside Resources, will provide an overview of the Company and an update on the Company's various Gold Projects located in Mexico and the USA.

So now you know. Here's the link to the Presentation again...be there or be square.

News roundup (surgically removing the warts from local current affairs)

Oh noes! Reports of Canadian mining companies murdering Mexicans aren't confined to stooopid blogs any more. Seems there have been three arrests in the Mariano Abarca Robledo murder case and amazingly, astoundingly, incredibly the people are Blackfire people. Hoodathunkit? Hey fringe loonies, send your next batch of unhinged mails to Reuters, Globe'n'Mail, CTV and all their goddam lefty pals.

Chile goes to the polls this weekend to elect a new prez. Although its very unlikely that we'll see an outright winner and a ballotage is set to happen, Reuters runs a "what the candidates want to do with the Chilean mining industry" report that's useful for you mineheads out there. Here's the link.

Lithium Junior Miners = Snake oil Salesmen, part 1,496. Just ain't gonna happen, sheeple.

A classic press release from Connie Mack regarding Bolivia's elections. Despite all world bodies being present in the Bolivian elections and declaring them a shining example of fair voting, and despite no overseeing body being present in the Honduras farce that has already been shown as utterly rigged, Connie (probably jealous that he needs FakeTan while Evo got da real thang) says that...

“Morales’ close relationship to Chavez and his anti-freedom and anti-democracy actions threaten the freedom, security and prosperity of Bolivia and the entire hemisphere. Perhaps Morales should travel to Honduras to get a lesson in how democracy actually works in Latin America.”

...errrrr...yeah, dude....whatevs. Democracy is always more refreshing when tanks and souljas are in da house, police brutality reigns and that extrajudicial bodycount goes haywire.
Honduras Presidential Palace, June 2009

Chart of the day is....

...the gold/silver ratio, standing at 64.27X at time of press (45 mins before the bell).


DYODD, dudettes and dudes.

12/7/09

A blog on Chile to recommend

We have a new blog on the links list over there on the right. The dude's name is Robert L. Funk, (which is a great start in itself) and I happened across it via Two Weeks Notice.

Funk's subject is Chile, and although he doesn't seem to be the most frequent of bloggers if he can write things like this...

Yet it is hard to take Garcia seriously when he says things like this. Chileans are only jealous of peruvians for their food and -- although they would never admit it -- for their pisco sour. Not for their politics nor for their economic model. And certainly not for their president.

...as far as I'm concerned he knows his subject very well indeed. So go along, check out his humble corner of cyberspace and maybe put him on your RSS. I have.

Soccer in Brazil: A very lucrative sport

Here's the first part of the AP note, click through for the rest

SAO PAULO – Thieves who spent months tunneling from a rented house to an armored car company made off with nearly $6 million over the weekend as season-ending soccer matches virtually paralyzed the nation, Brazilian authorities said Monday.

The heist was discovered Sunday evening — after the games ended. Officers followed the tunnel from the company's safe some 110 yards (100 meters) underground to a house, Sao Paulo police said in a statement.

Police said the home, abandoned when they arrived, had been occupied for about four months. Its former occupants are considered suspects, but there were no immediate arrests.

Officials with the armored car company — Transnacional Transporte de Valores e Seguranca Patrimonial Ltda — told officers 10 million reals ($5.9 million) were missing, according to the statement.

Globo TV's G1 Web site reported that electricity was cut off to the company's office and some security cameras were not on when the theft happened, but authorities did not immediately confirm that.

The heist occurred on the last weekend of the soccer season, when the league championship and relegation matches had people nationwide glued to their televisions.

A security guard at the building heard a loud noise at about 5 p.m. Sunday, but figured it was from fireworks that sports fans had been setting off throughout the afternoon CONTINUES HERE

Trading Post (mashed potatoes edition)

Lunch was good.

Dorato Resources (DRI.v) up 24% at $1.19 and whoever tipped this stock to you today is a serious, serious dumbass. More chance of a spear drilling through the chest of a geologist than a rig drilling through any rock covered by this company.

MAG Silver (MVG)(MAG.to) up a penny at U$6.69 and yet again holding well through the stormy weather. You almost think that........nah! Surely not!

Riverside Resources (RRI.v) up 6.4% at $0.67 and was pumped today by something called "the resource windfall spectator"*. Volumes low but direction right.

Dynasty Metals (DMM.to) down 4.7% at $5.22. See below.

Fortuna Silver (FVI.v) down 1.9% at $2.04 on fair volumes and off its lows. Today Versant Partners opened coverage on FVI with a buy rating, a strange call on the upgrading of Caylloma and a $3.25 price target. I have no idea where you could get a copy of the analysis.


*nah, me neither, but thanks for the headsup, TS

Regarding Dynasty Metals (DMM.to)

One of the nicest things about running this blog are the very smart people who I've met along the way. One of them, reader 'PL', just sent me the following mail and I think he's nailed DMM with his observations here. Also, check out the movement DMM made late November and compare it to the present day action. DYODD cos I own.

Hi Otto, just take a look at the candlevolume chart powered by stockcharts.com


Thats interesting isnt it? I think Dynasty is one of the strongest junior golds out there, I think the last drops on low volume are pure strength and I took the chance and bought some additional shares. Thanks for your coverage. Best regards from XXXXXXX

The Evo/Hugo English Media Bullshit Award

So today's contest is to see just how long it takes for English language media to mention the name "Hugo Chávez" in its report about the Bolivian presidential election won yesterday by Evo Morales.
Reuters manages to last out a full 30 lines before Chávez's name pops up.

Wall St Journal?: Line 17

Christian Science Monitor doesn't beat about the bush and gets its Chávez mention in line two. Dumbasses.

Over at The Guardian ROOOORY tries his best, but caves in on line 43 (probably because he couldn't be arsed to fly to Bolivia and filed from Caracas).

The Daily Telegraph: Line 24

Disassociated Press's Bajak tries his hardest but cracks on line 57

But the winner is Bloomberg's Jonathan Levin, who actually managed to file a report on the election without mentioning Chávez or Venezuela at all.

It might sound weird to you, but the election was in Bolivia, the candidates were Bolivian, the issues were Bolivian and the voters were Bolivian. Out of all the English language dross and pap written on the vote, only one English language reporter had the common decency and respect to keep it local. I mean, would you find it strange to hear about Gordon Brown's role in Obama's election victory, or how Sarkozy's win was affected by Merkel?

Yours, sick to the back teeth by English media reporting of LatAm, Otto.

The US Dollar

So buy yourself your own favourite miner while the sale is on.

There goes a component of my long term portfolio....


I've never been a fan of Franco Nevada, (FNV.to) but that Lassonde does know a cheapo metal bargain when he sees it. I think C$6.75 for IRC.to is an absolute steal and let's hope there's another smartypants out there who will see the value and counterbid this cash deal. The main reason to hope is that I hold IRC.to (not its ROY version) in the long term portfolio (update: just to clear up something mailed through, all I meant was that I own the Canadian listing of International Royalty and not the US listing. Yup, i know IRC and ROY are the same animal)

What to replace it with now?


TORONTO, Dec. 6 /CNW/ - Franco-Nevada Corporation ("Franco-Nevada") announced today that it has informed International Royalty Corporation (TSX: IRC - News; AMEX: ROY - News; "IRC") that Franco-Nevada intends to, directly or indirectly through a wholly-owned subsidiary, make a formal all-cash offer to IRC shareholders to acquire any or all of the outstanding common shares of IRC (the "Offer") for C$6.75 cash per share.

The Offer price represents a 54% premium to the 20 day volume weighted average trading price of IRC shares on the Toronto Stock Exchange for the period ending December 4, 2009 and a 43% premium to the closing price of IRC shares on the TSX on that date.

Franco-Nevada intends to yada yada continues here

Regarding voter fraud

Here's a question for you: Why does the USA get all hot and bothered about voter fraud in Iranian elections but totally ignores the most blatant vote rigging and number manipulation possible when it comes to the joke election in Honduras?


"Honduran coup regime's claims about 60% turnout at free and fair elections is revealed as fraud. Also implicated in the video are the wide array of media outlets and governments that have unquestioningly accepted the electoral data of a regime that overthrew the last elected president."

This Real News Network video blows the lid off the affair in this must watch 12 minute report. Hat tip delacour at LANR.

Chart of the day is....

...gold futures, daily candle.
This from 07:28am, about two hours before the fun starts.

12/6/09

Evo wins


Exit polls (that tend to underestimate Evo votes, but maybe the new system is more accurate) have Evo at between 61% and 63% and the clear winner of today's presidential election. This compares to his previous 54% win, which speaks its own volume. Manfred Reyes Villas looks like polling around 23% to 25% (right in line with the pre-election opinion polls) and will be catching his flight tomorrow morning, for sure.

But the real win is in congress, where it looks like Evo's MAS party has taken 25 of the 36 seats and has an absolute 2/3rds majority which will allow MAS to push through all the legislation it cares to push.

Finally, turnout looks very high on a first headcount. It will now be interesting to see just how well (or not) Evo did in the traditional oppostion states such as Santa Cruz. The detailed results will take a couple of days to filter through, but tonight Evo can enjoy a comprehensive victory in Bolivia.

Next week Chile, a place where the right always wins.... even when it calls itself the left.

The IKN Weekly, out now


IKN32 has just plopped into subscribers' mailboxes (hopefully...mail me if there's a problem, folks). This week we take an overview of regional risk and lots of other stuff besides. All in the name of science, peace and democracy. I'm off for a beer.

Evo votes


I say Evo gets 58% today. Any takers for above or below that?

Zero Currency 8


December 5th