.. bolivia and 50 per cent mining taxes ..

"Bolivia plans to hike taxes on mining companies to 50 percent of profit, from 35 percent now, as leftist President Evo Morales strives to reap more benefits from the country’s mineral wealth, a mining official said."

http://www.dailytimes.com.pk/default.asp?page=2007%5C05%5C20%5Cstory_20-5-2007_pg5_20

Comment:

With a tax rate like that is it possible to suggest that Coeur's premier asset in San Bartolone, Bolivia, which is expected to produce nine million ounces of silver next year is IN REALITY a much smaller asset?

Or another way of looking at it is to "imagine" a 35% tax rate but MUCH HIGHER cash costs than the expected US$4.00 per ounce. PLUS these cash costs keep rising as the price of silver rises!

Surely what a company is left with AFTER taxation must be taken into account when looking at a company's reserves and resources and what they are worth??

Could it be that the jewel in Coeur's crown will become the assets of BSG and PJO. Exploration potential there is absolutely massive - the surface has barely been scratched.

Is it possible that the resources there could end up being much, much larger than what Coeur currently has? PLUS taxation is NOT 50%.