I don't understand why so many of you are ready to reject Progafa's information out of hand when we know that Petaquilla has been accused of not paying its bills before:
"Petaquilla Minerals Ltd. denies owing any money to a contractor that is suing the company in the Supreme Court of British Columbia over unpaid invoices. Petaquilla says it had no agreement with the contractor, Jamieson Consulting Pty. Ltd., and did not own the Molejon mine where the contractor claims to have worked. Even if there were an agreement, Jamieson did not do all the required work, according to Petaquilla."
I have no idea who Progafa is nor do I know if what he reports about Petaquilla and UBS is in any way accurate but I am not at all willing to dismiss it. My unwillingness comes partly because of what we know about other similar instances and partly from things that I hear quietly, things that are not concrete enough to be reported publicly.
I do know from first hand experience that some of Inmet's subcontractors are very behind on some of their bills. Obviously that has nothing directly to do with Petaquilla but maybe some of those stories bleed over and unfairly taint our company. Or maybe we're not paying our bills, either. I don't know.
To me the idea that management is doing a great job is bizarre. The challenges of creating a profitable and functioning gold mine in the middle of some of the densest jungle in the hemisphere cannot be underestimated. But one of management's duties is to deliver value to the stakeholders. Our P/E is $3.5. The P/E of GDXJ is $9. $9! I understand that there are market forces (some rational, some otherwise) that no management team can subdue but if management were truly doing a great job I think that they would be delivering value to their stakeholders to the tune of a P/E that is more in line with their peers.
By the way, I am long, very long, have been for years, have no plans to sell any time soon and am generally quite comfortable with where the company is headed. I just get tired of the extreme polarization around here sometimes. There are posters who will brook no disagreement with management under any circumstances. There are other posters who ignore anything positive that the company is doing and focus exclusively on anything negative they can find or invent. It can be tiresome.
Have a good weekend, everyone.
