There seems to be lots of paper shuffling, claims changing hands, plans for exploration, and shareholders' money being spent. Knowing that the chairman is an ex-minister for mines in this rather basic African country, it would be very enlightening to know who is actually getting the money, and in return for what.
Can we really have confidence that the West Aussie management know what is happening while they are not there. And when they are there, what language are the locals speaking?
Operating in a far country can have advantages (particularly for unscrupulous management) because it is much more difficult for the shareholders, reporters etc. to travel and actually see what is happening. Easier to b*s*t.
A disadvantage is that CVI could be going the way of Arasor, who found that despite having a great product, setting up manufacturing and distribution partners in India was like asking the head of the Commancheros to show your kid sister some of the tourist sights. Us Aussies are at the mercy of the local wheelers and dealers in some of the corruption-ridden countries. Choice of partners is crucial.
CVI Price at posting:
0.8¢ Sentiment: Sell Disclosure: Not Held
