Great article from Otto on the here today, gone tomorrow, back again next week, WFT.

http://incakolanews.blogspot.com/200...

I agree with him. An election is coming and they don't want to see "yes" votes turn to "no" votes from the poverty striken citizens who feel they should "stick it to the man".

I believe that it will be a non issue. This is SA, and the politicians always say what they need to say to WIN the election.

Thank god that does not happen here in the US and Canada....eh.

I agree with Otto's points, however, the fact remains that market confidence is gone. Perception is the main problem here. After what's happened already, I seriously doubt anyone is going to risk hard to come by capital on this clown show, regardless of what they do next.

If I were a major investor, and you came to me today with a project in Ecuador, I'd just laugh. Hahahahahaha. Like that. So they have a shiny new mining law? So what? You want me to risk how many millions on the chance they won't change it again to suit their needs?

Sorry, this is one of those times where perception counts more than fact. This is the mistake I made trying to get inside their minds and understand what their objectives were. They may have good intentions for Ecuador but that doesn't matter. They threw foreign investors to the wolves to suit their needs, and they'll do it again if the occasion demands. That's the real situation. So, the market decides here, not a few informed investors, and this is one of those times when you just have to run with the herd.

ebear