In a bid to get some balanced discussion on this potential gusher I will raise another negative aspect of the Iranian project. UCL has been very positive to date about their growing majority shareholding in the venture, however given the political climate in the country it is in fact a negative.
The failure of UCL to secure sizeable Iranian investment could well work against our holdings if the stand-off between Iran and the rest of the world continues on its course. Foreign ownership of the base metal largest mine in the country would be a great excuse for the Iranian government to seize the asset if and when the standoff over their nuclear program proceeds to the muted sanctions. A large local ownership would protect foreign investors from such action.
I would like to see UCL explain why Iranian investors are running from this as fast as they can. It’s a serious issue.
UCL Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
