Is EXTRACT safe in Namibia?
 

Judging by the market activity in Extract Resources today (up 15%) the Namibian nationalization threat may not be applicable to EXT. However PDN's (major project is in Namibia) fortunes aren't seen by the market as being all that rosy (down 0.3%). Also today's: Update regarding possible offer for Kalahari" could have been the positive factor for EXT.


According to a story in miningaustralia: http://www.miningaustralia.com.au/ne...namibias-legis

"The Chamber of Mines in Namibia said Minister Katali told the organisation that changes won't affect existing mine licences."


"Held rights won't be affected," a spokesman for the president told The Australian.

"It doesn't mean the state-owned entity will have a controlling stake", it's not a form of nationalisation."

Australian-listed miners in Namibia said last week that the government has continued to be supportive of their projects. read full article

But here is the tricky bit: According to 2/5/2011 "Update on Proposed Policy Changes" - Extract is confident that the proposed policy changes will not adversely affect its Exclusive Prospecting Licences (EPL) or its Husab Uranium Project Mining Licence Application (MLA), lodged on 10, December 2010.

Now re-read: The Chamber of Mines in Namibia said Minister Katali told the organisation that changes won't affect existing mine licences.


Hmmmm