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10:53
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Originally posted by micky78:
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RJSo the later they drill the better it is for me. Without those options, IMHO can easily get to 6c ($33 million company) and with good drill results BMG can easily raise capital at 5c which is better than options exercised at 2c. So the later they drill the better it is for me."Argentina government has bankrupted so many times on massive debt. Their inflation in 2018 was 48% (yes 48% not 4.8%). The last time they have inflation below 10% was in 2009. They are borrowing on super high interest rate (due to poor credit rating, default loans), spend more than they earn. Do you think politicians who got voted in by their local people will let foreign lithium companies to mine high margin lithium without paying much tax while locals suffer 48% inflation?" I said... "If inflation is 48%, how much will it cost to build a mine in 3 years time? Each year how much wage increase you need to pay for 48% inflation?" I honestly feel they open up the market to lure foreign companies into the country, than once they spend billions building up mines they will inevitably charge massive tax. It is workers and local people vote politicians into the office not foreign companies who make massive margin and pay little tax.They even said WA, NSW and QLD have too much tax.... "horrible, Argentina is the best place (exact quote)".
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You forget that the massive inflation is offset by equally massive currency devaluation. They tend to keep pace with each other. From the latest ORE quarterly, Inflation vs Devaluation chart for Argentina...
