The Investment Doctor
Long/short equity, value, debt, base metals

Gold Reserve Inc.: Do You Really Want To Gamble On An Arbitration Procedure?


In this article, I'll have a closer look at Gold Reserve (OTC:GDRZF), which has the arbitration procedure against Venezuela as its main asset. I'll explain the background of the Brisas project and its expropriation procedure, where after I will calculate an updated NPV of the project and compare this NPV with the claims Gold Reserve made in the arbitration procedure to determine what would be a fair compensation.

Thereafter, I will provide an expected share price depending on the likelihood of success in the international arbitration procedure. I will also provide my opinion on negative working capital and how Gold Reserve will solve this issue. This will result in my investment thesis at the end of this

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