rsg need to make an announcement on mali, page-11

I can see only temporary setbacks in Syama production but the 241m usd expansion could be in doubt, the price tag on this has no doubt sky rocketed and the time frame will have to be extended. RSG Should make an announcement on this if there is likely to be material deviation from the schedule. A more prudent move would be to suspend the expansion, unless of course it increases the security of the mine.

It could drop to $1.20 easily but it's not going to jump to $1.60 easily. I sold out before the drop because it looks like history repeating it, there is a long time to play out in Mali and investors and naturally risk averse during this time.

Heard some pretty scary stories about Randgold employees, their mine is also south of Bamako a long way from the fighting (so was Algeria) and these guys are getting the next plane they are rostered for out of there and not coming back.

The Mali gold mines would likely have better security than the Algerian gas fields with mercenaries on the perimeter making the Syama mine secure from guys in trucks but if the workforce goes so does production, and if they stay cash costs go up from the bonus inventive payments.

With the Malian government owning 20% of Syama it has also become a military target, with profits from the mine going back into government coffers to fund the war effort. Though Mali is getting a heap of international support on this, it is unlikely to influence the decision making process of a terrorist who is contemplating whether or not to send some rocket propelled grenades the way of some key equipment at Syama. A defeated Irag army lighting up Kuwaiti oilfields comes to mind.

Not enough short term upside to be long in RSG at the moment IMO, smarter strategy is to buy if she crashes in some unjustified panic