Toronto-based Crystallex had a mining contract to develop a massive gold deposit in Venezuela called Las Cristinas. But in 2008, Hugo Chavez’s government denied a permit that the company needed to build the mine, without providing a real explanation.
As I stated in 2008....we should have immediately filed for arbitration when the permit was denied....and while we still had operating cash. Nothing would have prohibited KRY from negotiating with the Chinese and\or Venezuela (from a position of strength) while the arbitration clock was ticking.
Does anyone seriously believe that Fung optimized shareholder value by getting us to this point?
Oh...and by the by....before any of the suits get on my case for re-stating my original 2008 opinion (with the benefit of hindsight) without owning any shares...let me say that (unfortunately) I still hold shares in my IRA account that I purchased at $4.50 each.
Peace 'n Luv...GW
