Gary Tanashian's  Instablog

Gary Tanashian
Send Message
Gary Tanashian is proprietor of and Actionable, hype-free technical, macro economic and sentiment analysis is provided in the premium market report 'Notes From the Rabbit Hole' ( Complimentary analysis and commentary is available at the... More
My company:
Notes from the rabbit hole
My blog:
Notes From the Rabbit Hole
  • Mining Political Risk Red-Lining 0 comments
    Jul 3, 2012 7:54 AM | about stocks: GDX, GDXJ, SIL, GLDX, COPX

    Political risk continues to be an increasing problem for miners. Yesterday Otto excerpted a particularly nasty PR from Pan American Silver regarding its Navidad project in Argentina, which it bought from Aquiline Resources.

    In addition to political risk, mining investors face dilutive financing risk, execution risk and the risk that some of these projects just will not prove up as expected. Since I am a generally risk averse sort, I have been focusing on track record, net cash, proven resources and most definitely location; as in Nevada, Ontario, etc.

    Not being a stock analyst, I find it easier to go with what is known - whether it be royalty income streams, established production, measured resources or significant cash levels - and leave the potential 20 baggers for more adventurous people with more adventurous risk vs. reward profiles. After all, even the less risky stuff has been puked up and put on sale over the last several months.

    Subscribe to NFTRH or
    Subscribe to the free eLetter

    Stocks: GDX, GDXJ, SIL, GLDX, COPX
Back To Gary Tanashian's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers


More »

Latest Comments

Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.