what is wrong??, page-9

I have looked briefly at Intrepid over the last couple of days and would make the following comments to those who are anxious and scratching their heads about the downside spiral of the share price (despite positive activity elsewhere in the gold sector).

Surely the issue with IAU is the regulatory/country risk associated with where the Tujuh Bukit deposit sits....in the middle of an Indonesian protected forest park. If they can't mine it then it isn't worth a lot. They rely on the Indonesian Govt to sign off on the development and whilst it is likely that this will happen (but when?), there is sufficient risk in the overall market (and the state of the global economy) to put potential buyers off as well as encourage the odd nervous nelly to sell in the interim.

So sellers are letting stock go whilst potential buyers are standing back and watching and waiting...the perfect recipe for a stock to go down.

In addition, if and when the flag drops, the company will need to raise a LOT of money....another bug bear of the market in tough times.

I would conclude by saying that for those of us who have not bought stock, this looks like a wonderful opportunity building (but of course not so pleasant for those who bought further up). Patience required.