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Gold/Mining/Energy : SOUTHERNERA (t.SUF)

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To: DavidA who wrote (1518)6/10/1998 5:31:00 PM
From: Lem45216   of 7235
 
Perhaps there is a middle ground where SUF and DB can win. SUF could sell DB their diamonds at a 10% discount to support the DB diamond cartel. After all SUF does benefit from the withholding of diamond supply.

DB is beating our brains out with legal maneuvering. DB has no incentive to end negotiating over M1. Diamond production from M1 is withheld from the market while we negotiate. DB will never settle on M1 unless they get the farm.

On the other hand SUF will survive and prosper without DB or M1. It will just take longer. We can bring other miner into our fold and stand up to DB. CJ apparently believes that 25% is too much to pay for the services that DB offers. DB has significant cost running the cartel, SUF could help support the cartel, but as a pardner not as a client. I believe 25% is way to much.

Larry
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