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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: Re: What I Believe
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Oct 03, 2011 04:23PM

Fung doesn't have to convince people that VZ will pay a $3 billion settlement he just has to convince people that our case is winable. If we win in arbitration everyone will get paid.

JJ, I totally agree. Anyone with the legal resources to understand the arbitration KNOWS that we can collect a judgment. The deep pockets don't suffer from the FUD that us little guys do after our years of taking a beating.

Clearly, the amount of the judgment is open to debate, but I agree that an absolute minimum is the incurred costs of around $500 million, however, the Canada-Venezuela BIT that governs the arbitration states that "compensation shall be based on the genuine value of the investment" plus interest from the time of expropriation. Art. VII. The only significant question for the panel will be what that genuine amount is for Crystallex, liability is intuitively obvious to the even the casual observer.

The only issue right now for me is the shareholder question -- will we get financing, and if not how will things proceed? And if past history is any guide, Crystallex doesn't seem to get financings done until the last minute, unfortunately for our collective sense of confidence.

At least, FWIW, the share price remains stable.

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