This is the reason I bailed out completely a few week ago. I was lucky to get my investment back after a 4 years of holding this stock. The only thing saved me here is averaging at .001.
Although I would have lost the opportunity holding cost.
This management exited one difficult project only to enter a more difficult one, which they did said from the very beginning was extremely complex. Talk about lunacy. They could have picked up some project in Western Australia.
It doesn't matter to them, they get to make their wages sitting at their comfortable Perth Office....basically doing nothing. I wonder what they do all day. Now they can simply blame the Tanzanian government. It's all Tanzanian Government's fault. I suspect the fact is they haven't even progressed that far where the new Tanzanian Law would have any effect to this VGP project.
I know people see the cash backing and take comfort, but I can bet that shareholders will never see that money in any form or shape.
I think they already have paid USD 2 million dollars non-refundable deposit towards the project, or else they would have pulled out by now.
I waited over 4 years to get my money back.....didn't want to spend another 4 years waiting.
The share price was supported by Resolute for some time..but now they are around 20% holding where their buying must stop to avoid a technical takeover. As I have said before a couple million dollars is almost nothing to Resolute but for little holder like us blocking 50-60 thousand dollars with little to no hope is a very risky proposal.
I think management should be proactive and start looking for new projects, doesn't need to be gold,
it could be lithium, graphite, cobalt....anything. That's where the speculators are anyway.
I was a long time supporter of this management but not anymore. Mark Calderwood made his money long time ago and still has money coming from everywhere. He'll just sit and collect more cheques.
There are so many distressed asset in the gold sector all around the world and this management had to pick the most complex one.
But having said everything above ......if they can pull this project up and running this stock should double or triple in a short period of time. I thought that would happen once they sell the Shambesai Project. It didn't though.
MSR Price at posting:
0.3¢ Sentiment: Buy Disclosure: Held
