○ 70% of SWG's mineral properties are from Boka. So I won't be surprised if it drops below $2 again. It all depends on how much faith the Market has left for SWG.
● bloody bathIts chinese manager screwed SWG big time. Obviously SWG doesn't fully understand how chinese are doing mining business. It's all about tricks and good relationship with the government.
○ A conspiracy theoryI heard a rumor from my brother a couple of months ago. The local government was not happy with SWG, who would love to see SWG go. This would be a genius idea to place a mole, the manager John Zhang, in SWG, to fake the data.
● I think the lawsuits could cost them all the cash in bank. Then they have to raise money. This means more dilution. If this happens no one knows the bottom, maybe $2?
○ This time I am right, just I didn't expect so fast. There is a class action filed today, against SWG for $220 million. It doesn't matter who wins, but sure enough SWG will kiss their $33m in bank good-bye soon
○ I just read the same news on Globe and Mail. The funnier story is about the CEO's brother. Incredible that he is both stupid and rich. Now lawyers will get good business. hehe.
● Unlike Bre-x, Boka should have good gold reserve. The site is located along the Jinsha (gold sand) river. Even in ancient time, farmers were mining gold along the river. Before SWG, some farmers in Boka made millions Yuan in half a year.