Government takes over Gold Mine.

Crystallex shares drop 25 pct on reports Venezuela govt taking over Las Cristinas


CARACAS, Nov 5 (Reuters) - Venezuela will take over the giant Las Cristinas gold project operated by Canadian miner Crystallex, the government said on Wednesday, a new step by President Hugo Chavez to put key industries into state hands.

Venezuela's mining ministry said it aimed next year to start a mine at one of Latin America's largest deposits.

"This mine will be recovered and will be operated under state administration," the ministry said in a statement, citing on a local radio interview with mining minister Rodolfo Sanz.

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COPYCAT!

Something that investment newsletter publisher James Dines has predicted is that we will see increasing nationalistic aquistions of mineral deposits. Dines expects that governments like China will be making agressive moves to buy western mining companies and their mineral holdings. The scramble will be on to secure real wealth as the value of paper currencies and bonds become more doubtful.