IKN

full of sound and fury, Signifying nothing

More Serra Pelada news (from IKN254)

This was my favourite bit from IKN254 out yesterday.

Sandstorm Gold (SAND) (SSL.to) may
hit headwinds at the Serra Pelada gold project
Here’s one of those reports that could be in ‘Regional
Politics’ or in ‘Market Watching’, because a political event looks set to
affect a widely traded stock. It’s also a potential for a short, because Sandstorm
(SAND) (SSL.to) has rallied recently after doing a great job of carving up what’s
left of Colossus Minerals (ex-CSI.to) (ex-COLUF) and keeping the lion’s share
for itself (perhaps 50% when it’s all done and dusted) and winning few friends
from the retail holders of Colossus who have been diluted to virtually zero.
However, they may just end up holding a great big bag of nothing, because
Brazil’s parliamentarians have just presented a law bill to the national
congress that would strip Colossus Minerals (or what’s left of it) of its
concession rights and hand the whole thing back to the local Coomigasp
co-operative, due to bribes paid by ex-Colossus to ex-Coomigasp leaders. Here’s
the report (24) and
 here’s my best
translation (
by the way, I’ve been
working on my Portuguese and I’m fully happy on how this trad came out
):
The Draft Legislative Decree 1407/13,
pending before the House of Representatives, would repeal the granting of the
gold, palladium and platinum mining concession in Serra Pelada in Curionópolis,
Para State to the Serra Pelada Mineral Development Company . The law bill would
cancel Ordinance 514/10 of the Ministry of Mines and Energy . 
With the cancellation of this
ordinance, according to the authors of the law bill, the rights to the mine
would return to the Cooperative Mining Prospectors of Serra Pelada (Coomigasp)
Members signing the bill include
Domingos Dutra (SDD-MA), Arnaldo Jordy (PPS- PA), Sebastian Bala Rock (SDD-AP),
Zé Geraldo (PT-PA), Wandenkolk Gonçalves (SDB-PA) and Giovanni Queiroz
(PDT-PA). 
According to the parliamentarians, in
2007 the National Department of Mineral Production (ANP ) granted the license
to Coomigasp to mine the concession. Afterwards, as previously reported, a
number of transactions by directors of the cooperative with the Canadian
company Colossus culminated in the loss of almost complete control of the
miners on Serra Pelada .

So, not only may the Serra Pelada concession be stripped
from its current owners, but the reason for the stripping is that Canadian
executives have bribed local officials. That means the old directorate of
Colussus, Ari Sussman and friends, who are now happily working away and
promoting another large (and in my view overvalued) project, Buritica in
Colombia under Continental Gold (CNL.to).



UPDATE: Special message for the fuckwits who are stupid enough to fawn over that serial scamster, Mexico Mike

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