The end for South American Silver (SAC.to) is now in clear view. According to several reports (here’s just one), President Evo Morales will welcome a delegation of locals from Mallku Khota at the Presidential Palace at 6:00am tomorrow morning (Tues July 10th) and at that meeting the parties will discuss the cancelling of the Mallku Khota concession and the nationalization of the project. Or in the words of Daniel Santalla, Minister of Work, Employment and Social Security (translated from report):
“On repeated occasions the President has not only about cancelling (the concession) but also nationalizing local companies that are in the hands of transnational companies. We want him to give consent for the nationalization of this company.”“The wealth that the country counts on should be passed to The State and the revenues obtained should be distributed to all Bolivians.”
Or in other words, SAC.to is toast in Bolivia. Hey, I wonder how those “strategic” Chinese investors who piled $16m into the company at $1.60 in May this year are feeling about their investment advisors and the silver-tongued Greg Johnson now? Probably need to check on them there strategies you’ve been using, guys…like for example doing some freakin’ DD and finding out what we’ve known for months about this accident-waiting-to-happen stock. And no, before you ask “DD ” does not mean taking the word of Laurence Roulston, Jay Taylor or Michael Baybak as gospel…but you’ve worked that out now already, haven’t you? Oh well, only cost you $10m or so and you have the consolation of knowing that you’ve kept CEO Johnson in the lifestyle to which he’s become accustomed.