thoughts on kcn, page-2

Sgoni,

On my understanding proceeds from a partial sell down, which needs to be completed by the end of November, will be needed to help fund the expansion from 150,000 to 300,000 ounces per year.

In the early stages of a gold bull market, like we are now in, the last thing you want to see is a takeover of a stock like KCN.

Maybe an emerging producer which needs large amounts of cash, but not a successful producer like KCN that DOES NOT need cash and has a huge growth story ahead of it.

You will probably be completely shafted compared to where the stock will go to when gold is over US$1000 and going higher.

You want a takeover when gold reaches somewhere around Jim Sinclair's target of US$1650, when gold stocks are crazily rising like internet stocks did during the internet bubble.

You don't want a takeover when gold is around a paltry US$600.

In addition, because KCN is operating in Thailand, another company cannot just simply take over KCN and waltz in to the Thai Government and say, "Good day. We're the new owners."

That is not Thai etiquette.

Just like KCN cannot put in writing at present the details of the agreement they are reaching for the sell down. That is not Thai etiquette.