chinese want goldmines, page-20

Less than 2 years ago I bought into SBL. A company that had great potential in north west Africa. It had commenced producing gold from a small but efficent new plant and everything was rosy. SBL had over $5m in cash and had a reserve of gold waiting also to be sold. Costs in producing was very good and potential for finding more resourse was high. Then the Directors did their usual trick and looked after themselves by recommending a take over by a Singapore Investment Company. The value of my shares have gone from 4c to now stand at 0.005c and they are still trying to strangle older holders out. No releases of late whether the company is actually producing gold. There is talk that the parent company is lending $50m to SBL but no discussion of what expectations are in regards to output and outcomes.

Am sceptical as to whether ABU would benefit from a Chinese Govt sponsored company rather than simply borrowing the money directly from a bank or going into partnership with a big Austalian. As a Govt company, money can simply be printed in order to pay what they promise....just like the USA and a lot of European countries have been doing of late. Printed money is just so cheap to print. That is why the chinese are so interested in acquiring 'GOLD'.

The fundamentals of our company are strong and likely to get a lot stronger. I would see us go it alone or with assistance from another major Aussie gold producer, rather than allow the Chinese to have potential picking up half for a nominal amount, then taking over full control by stelth & manipulation, for the short term gain of current holders.

Most of the hard work is done. Waiting for permits to mine etc. Banks would be interested in loans for development because of derisk, known resource and high potential. Don't want to give it away for zilch and allow our future wealth generation to go overseas forever.