As investors await Friday’s European Union summit in which policymakers are expected to craft the next set of measures to deal with the sovereign debt crisis, a senior German official expressed a particularly cautious view on the summits’ likely outcomes.
“I have to say today, on Wednesday, that I am more pessimistic than last week about reaching an overall deal … A lot of protagonists still have not understood how serious the situation is,” the official stated at a pre-summit briefing, according to Reuters.
“My pessimism stems from the overall picture that I see at this point, in which institutions and member states will have to move on many points to make possible the new treaty rules that we are aiming for,” added the official, who spoke on condition of anonymity.
Other highlights from the report included:
President Nicolas Sarkozy and Chancellor Angela Merkel detailed their plan to amend the EU treaty to anchor stricter budget discipline in the euro area in a letter to European Council President Herman Van Rompuy on Wednesday…The French finance minister said the leaders of France and Germany would not leave Friday’s European Union summit until a ”powerful” deal is reached to restore market trust and prevent the sovereign debt crisis spiraling out of control.
One key uncertainty hanging over the summit is whether the EU treaty can be changed quickly to strengthen budget control.
Van Rompuy says tighter budget oversight sought by Paris and Berlin for the euro area could be achieved quickly by tweaking a protocol to the EU treaty that would not require full ratification procedures in many countries. The German official dismissed that idea as a “trick.”
Fortuna Silver Reports “Best Quarter Yet”
The Company noted that it expects to report sustained low cost quarterly silver production growth over the upcoming 18 months as it expands its San Jose mine in Mexico from 1,000 tonnes per day (tpd) to the design capacity of 1,500tpd. Fortuna also reported that it continues to seek organic growth opportunities beyond existing reserves and resources; to that end, the Company presently has eight drill rigs turning on its 70,000 hectare properties in Peru and Mexico. Full Fortuna Silver Press Release
- Operating income of $14.89 million, compared to $1.03 million in Q3 2010
- Cash position (including short term investments) and working capital as at September 30, 2011 were $62.73 million and $70.22 million respectively
- Silver production of 660,749 ounces up from 474,489 ounces in 2010; silver accounted for 70% of revenue
- Cash cost per silver ounce, net of by product credits, of $1.45
