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Crystallex International Corporation is a Canadian-based gold company with a successful record of developing and operating gold mines in Venezuela and elsewhere in South America

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Message: Thinking about this.

Thinking about this.

posted on Nov 16, 2008 06:56AM

Using history as a guide Chavez has previously not gone back on anything except with mining. He once stated that the enviroment was the top priority and the gold can stay in the ground. Now he has reversed his case, since the Russian came on scene.

I would imagine there is some truth to the take over of LC by the Russians. Since we have not heard either way what is happening with LC, I would imagine that Venezuela or Chavez could be trying to broker a deal at this point. The big problem for them would be the legal problems surrounding KRY from such an action. They may not be worried about the direct legal implication, however, pulling the plug on this foreign investment may hurt them further in the international community. What foreign company, that is non-communist, would want anything to do with Venezuela with there track record. Anyone no what the international community may do if this contract is broken. i.e. downgraded credit rating, stopping trade, supporting opposition candidates.

Bottom line is if Chavez could kick KRY out with no consquences he would of already of done it, and LC would be given to the Russians.





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