Club Mulgoa

Monday, January 16, 2012

GMR

I don't hold any shares in GMR. Its share price leapt by a huge amount before settling over 35%. I have too many West African miners already. Today, GMR announced a fantastic gold discovery. But many miners do that all the time and very little happens. My other point is every time a drill is sunk into West Africa, gold is found!

Why anyone would not invest in this group of miners is beyond me! You just have to pick one that is better than the other. And even more importantly, one that the market likes. BSR and SBL have been languishing but I just cannot comprehend the reason for it. Worse still, the management at SBL wants to sell off the company cheaply. My strongest suspicion, and I don't have any proof, is "Are they receiving under the counter payments from the predator (Singaporeans or Malaysians?)?"

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