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Message: A Possible Beneficial Use for Tyhee's Funds
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Re: A Possible Beneficial Use for Tyhee's Funds

posted on Dec 04, 08 08:12AM

The idea is amusing but not so good I contend. Not only does management have to devise a plan to build a mine in an economic environment that has probably never existed before, now you want them to be gold speculators with the same money they are trying to preserve. Then on delivery what do they do with it, how will it be audited or have to be treated by the accounting rules? Where and how will it be stored? How much will it cost? How will the financers of the explorers perceive that behavior. Will they want to lend money to someone that is going to spend it on buying metal rather than drilling? What do you do with it during the next "bear cycle" and gold goes to 3 or 4 hundred and silver to 5 bucks again? Those cycles have been ongoing for thoustand of years, they are not likely to stop now. I can't answer any of those questions, but someone will have to.



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