Shock! Mining Mogul Screwed By Curly Flower!

Augusta Resources (AZC) (AZC.to) came out with some news late last night that resulted in this reaction in the stock this morning:

Ouch.

Anyway, according to the report its Rosemont copper project near Tucson AZ has been put on hold until this little guy....

......has been further studied by the relevant authorities. Its name is the Curly Coralroot, sometimes known as the Chisos Mountain Crested Coralroot (Linnean name Hexalectris revoluta) and is a rare native species that grows in the area that AZC wants to develop for its mine. In the presser, AZC is downplaying the problems and currently says that by slight adjustment of its plans it won't affect the area in which Curly grows, but maybe they shudda thought of that before now, yeah?

The whole event has, so far today at least, knocked 8.63% off the share price on high volume trading, which has in turn removed some U$3.2m from the net worth of Ross Beaty, the mining dude that recently announced he'd taken an 11.8% position in AZC. Hey, there are a thousand ways to lose cash in this game, but paying $3m for a wild flower? Tough break, Ross.

Yours, rooting for the flower, Otto.

Augusta Resources (AZC)

Just in case you were wondering why....

April 16, 2010

News Release

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 16, 2010) - Ross J. Beaty, of 1500 - 625 Howe Street, Vancouver, British Columbia, V6C 2T6, today announced pursuant to National Instrument 62-103 The Early Warning System and Related Take-Over Bid and Insider Reporting Issues that on April 15, 2010 Mr. Beaty indirectly acquired ownership and control of 3,350,000 common shares of Augusta Resources Corporation ("Augusta") upon the exercise of 3,350,000 common share purchase warrants of August at an exercise price of CDN$2.30 per warrant, for a total purchase price of CDN$7,705,000. As a result of this acquisition, Mr. Beaty now owns, directly or indirectly, a total of 14,535,000 common shares of Augusta, together representing approximately 11.88% of the 122,350,480 common shares currently outstanding. Mr. Beaty's indirect acquisition was made for investment purposes. Although Mr. Beaty has no current plans to do so, he may acquire ownership or control over additional securities of Augusta in the future. Mr. Beaty is not currently a party to any agreement in respect of the acquisition, holding, disposition or voting of any securities of Augusta. Other than Kestrel Holdings Ltd., a company which is wholly-owned by Mr. Beaty, Mr. Beaty does not own or control any securities of Augusta with, nor is Mr. Beaty a joint actor with, another entity.