Take physic, pomp

Rio Alto (RIOM) (RIO.to): Did something happen last Wednesday that changed the market’s attitude to its takeover of Sulliden Gold (SUE.to)?

Hey, do you think that maybe it was this? The Flash update sent to IKN Weekly subscribers on Wednesday June 4th:

Good Wednesday morning, this should get out just before the open, though the internet connection here is poor today so let’s see how things go when i hit the send button. 
By way of a very quick resume, on Monday i spent two hours with the RIO.to CEO and COO in Lima. Then unbeknown to them and anyone else, got on a plane and a couple of buses for an uninvited site trip to Cajabamba, in the Cajamarca region of Peru, to check out the Sulliden project for myself as well as discuss the project with politicos in town. I’m still in Cajabamba this morning and one meeting left in town this morning before heading out, but it’s very unlikely indeed to change today’s call. 
I’ve met the people i wanted to meet in Cajabmaba and i’ve seen 98% of the things to see at Shahuindo without being invited on site (a near-arrest stopped me from seeing the last 2%, i’ll tell you about that Sunday, all good fun though). You’ll get a full report and photoshow in Sunday’s edition of the Weekly, but the bottom line is that Shahuindo is in a much better political and community risk position than i’d previously assumed. I was wrong about this project and it’s taken the takeover situation for me to shake down my assumptions, but now that i have and i’ve seen and heard the situation here, this project is one that’s going to happen. A little humility is positive for the soul….and in this case the stock call too. 
As a consequence, RIO.to is reinstated as a Top Pick stock however, those of you looking for a quick flip gain have to be clear that the offer situation between RIO.to and SUE.to means that the stock is likely to flatline until the deal is closed. We may get fluctuations as a function of gold price etc in the meantime, but anyone looking to buy “New RIO” has a couple of months of time to position themselves, i’d say. 
Personally I’m not adding any more at this time, as i have a lot already.

Best, O
By the way, that report and photoshow happened in IKN265, out last Sunday. By the looks of the mail feedback received from subscribers, they liked it. That’s good, too.

UPDATE post bell: I’m sorry, did I say 8%?

I meant 12%. Lord knows why the thing decided to rally today, really don’t have a clue as to…..ohhh, forget it.

Leave a Reply

Your email address will not be published. Required fields are marked *

Hello, you are not in a chatroom, you are in my living room. Opposing views and criticisms welcome, insults or urinating on furniture unwelcome. Please refrain from swearing if possible, it is not needed.