re: Moving fast - SAfrica could be a danger I bought BHP calls...

re: Moving fast - SAfrica could be a danger I bought BHP calls on Friday hoping for $10.

SMH had article talking about danger in South Africa

One concern that Salomon Smith Barney points out relates to weaker-than-expected commodity prices and currency appreciation in Australia and/or South Africa. Appreciation of the dollar above US60c would, the broker says, hit financial forecasts and valuation.

Changes to the mining industry in South Africa, where producers may be forced to sell down 25 to 50 per cent of their interests to Black Empowerment groups, is another concern worth considering.

"This would appear to remove security of tenure - a key cornerstone of mining investment - and creates considerable uncertainty on value likely to be realised during sell-down," SSB said.


Still should run on Monday