While all of these nasty bearish rumors are floating around, someone is quitely buying up hundreds of thousands of shares each day in the hi 60's and up to the mid 70's going on for five days. IF the rumors were not out on the various chat sites then where would the price be? Very convenient way of scaring away a lot of small day traders and scaring out holders.
Sydneysider, THEY ARN'T NASTY RUMOURS THEY ARE FACT, HERE IS THE PROOF TAKEN FROM AGY's annual report released on the 27th of the 4th. i HAVE HIGHLIGHTED WHERE AGY ADMITS THE MINING CONVENTION HAS LAPSED & NEEDS A CONTINUATION TO CONTINUE WITH THE PROJECT.
"The Burundi Nickel Project, acquired in 1999 pursuant to a Mining Convention between the Corporation’s wholly subsidiary Andover Resources NL “Andover”) and the government of Burundi, has been subject to force majeure due to political instability in Burundi.
In May 2005 the Corporation lifted force majeure and initiated discussion with the Ministry of Mines with a view to securing a continuation of the Mining Convention. To date no continuation has been secured."
Then this from the announcement on the musongati project released 26th/4th
"Argosy Minerals Inc. previously announced an important visit to Burundi with a delegation of corporate and technical advisers. During this trip, Argosy representatives met with senior members of the Burundian government in relation to the Musongati nickel deposit,
held by its wholly-owned subsidiary Andover Resources pursuant to an existing Mining Convention."
I think it's rather dodgy that in an obscure passage in the annual report tucked away on page 4 of 32 of the annual report that discloses that AGY needs a continuation of the mining convention to continue with the Musongati mine. Then in the releases regaring Musongati that are 1 page release there is no mention that they need a continuation. I would go as far as to suggest that AGY is deliberatley misleading unsophiticated investors & the market in general. Anyone that read the market releases on the Musongati project would beleive that the mining convention was still in order & they were talking to the Burrundi Government about gettting it started again, when in truth they are asking if they can get it started again. BIG Difference
If you read the chairmans address from the annual report this is the main passage from it regarding Musongati.
"In May, 2005 the company lifted Force Majeure in respect of the nickel laterite project at Musongati in Burundi. During 2005 and 2006 progress was slow but in recent times we have arranged a meeting with the Government of Burundi to be held in April to discuss going forward with the Convention. During the last twelve months, approaches have been received from a number of major resource companies in relation to the Project. When we originally entered into the Convention over the Musongati Project the price of nickel was US$5,000 to US$6,000 per ton and today the price of nickel is
US$44,500 per ton so that the economics relating to the Project are potentially more favourable. Advancement of the Musongati Project will require a substantial drilling program metallurgical test work, pre-feasibility and feasibility studies."
After such a long period of time Argosy looks forward to commencing these activities.
Again states that they are looking forward to starting it, omitting whether in fact they can start it again. I think it's careless at best, negligent at worst.
I would ask why there is no mention in the releases relating directly to the Musongati projects that it would seem that the mining convention has expired or at best if it hasn't lapsed they need to be granted a continuation to move forward into a PFS & FS & finally BFS.
The conversations have been going on since 2005, I don't think small day traders are getting scared away by message board rumours. Fact is that AGY's mining convention has expired and as to now they havn't got a continuation of the mining convention. Holding this is as big a gamble as putting your money on red at the casino.
Simple fact is Continuation granted, the stock is worth dollars( how many dollars will be determined by jv partner & other factors) continuation not granted, the stock is worth sub 10 cents. Opening the office in Burrundi is a positive sign but dosn't mean much other than hope.
I am interested to hear your thoughts on the mining convention held by Andover and what it means to AGY. It seems that without a grant of continuation given by the Burrundi governemnt, that it isn't worth the paper it's written on.
Balls of steel is what you need on this one.