Have been looking closely at SGW in recent times, and held off due to
the negative "mark to market" of their hedgebook of $800m. eight years
prospective profit gambled away. in recent times rather than unwinding
this, they have been just been selling more puts and calls accross their
production (which is failing on poor grades) and also on the currency
off into the never never.
Was just sent this by a friend.....so it seems they are gonna get themselves into a bigger hole as the 800 mill figure has gotten bigger,and gold has just risen $6 in the last 3 hours !!
When you think about how the gold stocks have been underperforming,how do you think this one is gonna perform with the dow falling and gold rising?
Goodbye SGW!!
SGW
sons of gwalia limited
