Sunday, September 5, 2010

Long live the State of Arizona Department of Mines and Mineral Resources

With all the unfriendly vibes coming out of officialdom in Arizona recently, it's a pleasure to point readers to a Az govt website that does minehead readers a great service. Its page title is Mining Scams and it has solid tips for investors and help the naive or innocent avoid falling into the clutches of the mining scam scumballs and losing hard-earned wedge. Here's how the intro runs as an appetizer, click through for the rest.
Introduction
A time-honored method to bilk the public of millions of dollars is the ubiquitous mining swindle. Since an unusually rich ore deposit, or bonanza, has historically produced enormous profits for the developer, many of us believe that we too, like the '49er, can strike it rich. The glamour attached to "discovery" creates, in the imagination of some people, a relatively easy way to attain fantastic wealth. 

Although money can be made in mining and this Department certainly encourages mining, we also have a responsibility to urge the public to exercise prudence in its investment. Too many people have lost their hard-earned savings on an ill-advised mineral scheme. Archives are full of outrageous examples of mining scams and swindles in which the only beneficiary was a glib entrepreneur with unbounded optimism. In most cases, he disappeared before his investors realized what happened. CONTINUES HERE

Many thanks to the wonderful Setty for the headsup.

UPDATE: Reader GV kindly sends in this link to a PDF with plenty more sound advice from John Meech from the Centre for Environmental Research in Minerals, Metals and Materials,  University of British Columbia about avoiding mining scams.