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06:15
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Originally posted by eshmun
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What if TBR or NST JV suffers a pit wall collapse. Well that would be highly unlikely as the JV are underground miners. The mines have already survived an earthquake in 2010 that measured 5.o on the Richter scale and destroyed buildings in Kalgoorlie/Boulder because they adopt a very conservative paste fill mining method. In the very unlikely event that some disaster took out all four underground mines my investment in TBR is pretty much backed entirely by the gold bullion the company holds at the Perth mint. The price of that stock would need to fall a very long way before I would raise a sweat as I've owned it for 20 years. As for NST I'm a new comer to that company as I haven't had the confidence to invest in it until relatively recently. It is a diversified gold miner so can survive a negative outcome at one of its mining operations until such issues are resolved. I'll note that if you plot a 365 year moving average for the life of trading for both of these companies you will find that the resultant lines you get form a constant unbroken upward slope and I expect this to continue for at least the next decade based on current performances. You won't find many companies on ASX that exhibit this property.
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The only event that would scare me is if the price of gold rose too high in response to a collapsing currency and the government brought in gold confiscation laws.
