Wednesday, September 9, 2009

Why Are Sterling Mining Company (SRLMQ) Shares Being Bid Up?

Shares of Sterling Mining Company are up over 100% in the last 4 trading days from $0.08 to $0.18 as of this writing. But why?

Sterling entered into bankruptcy on March 2, 2009. It's share price has traded as low as under 1 cent per share. But now, the shares are rocketing higher.

One reason might be that Sterling Mining just took back control of the famous (infamous) Sunshine Silver Mine.

Sterling Mining Company Spokesman Bob Higdem, left, receives the keys to the Sunshine Mine from Sunshine Precious Metals Inc., security personnel Wednesday afternoon.

Source: Shoshone News Press

But, do Sterling Mining Company common shares which currently trade under the symbol SRLMQ have any value?

Apparently someone thinks they do. But I have to wonder seeing as they entered bankruptcy if the common shareholders will retain any value when all is said and done. It seems possible that the common shareholders could just get wiped out by the bankruptcy court leaving the shareholders the empty bag.

It is pretty interesting to see them take back control of the mine though.

I own shares of Sterling Mining and have lost almost all of my investment on this company.