a business approach to hedging, page-3

First, it's my understanding that it is more like two years of production. Second, the construction delays that have since occurred and will almost certainly be added to have put us in a position that we will likely have to settle the obligation with cash. Third, they haven't hedged their construction and production costs which will move in tandem with copper prices. Fourth, investors in copper mines want exposure to copper prices because they believe they are going higher. This was a pure speculative gamble on the part of management. They bet against copper prices. They were wrong and have lost $10 million or more already that will likely have to be settled in cash, before the first concentrate is ever produced. Finally, we didn't receive any cash in the deal, only a right to sell production at the set price. It's just another bonehead move by an utterly clueless management team. Mark my words, we will be forced to close these hedges at a large cash cost before the mine ever reaches commercial production. JP Morgan banksters will be there to foot the bill in exchange for another large percentage of the equity. By then my butt will be pretty sore from kicking myself for not selling out of this black hole. Give me $0.30 and I'm gone. I still might sell for a tax loss before the year is out.

Please correct me if I have misinterpreted anything.