Saturday, April 5, 1997 Time line of Busang story
Bre-X haunted by spectre of 'salting'
Proof of tampering would rock Bay Street
By THE FINANCIAL POST
Until a series of bombshell announcements that began on March 26, the Busang discovery
had been expected to become one of history's richest and lowest-cost gold mines.
Since then, experts have been wondering if the Indonesian property contains any gold at all,
and even the most cautious observers are asking themselves if Michael de Guzman, Bre-X's
No. 2 geologist, really did dive out of a helicopter because of serious health problems. Now,
attention is focusing on the possibility of tampered rock samples.
At right is a recent Bre-X chronology.
Chasing the Bre-X mystery
March 20, 1997: Bre-X says its geologist Michael de Guzman
left a suicide note before plunging to his death from a helicopter
while en route to the company's Busang gold site.
March 26, 1997: Bre-X, Freeport McMoRan Copper &
Gold Inc. release study by consultant Strathcona Mineral
Services Ltd. indicating that the size of the Busang gold find
may have been "overstated.''
March 27, 1997: Toronto Stock Exchange trading system
crashes as Bre-X shares plunge $13 to $2.50. On the U.S.
Nasdaq system, Bre-X shares fell US$9.41 to US$1.97.
March 28, 1997: Indonesian government halts granting of
mining contracts until the size of the Busang find is clearly
determined.
April 3, 1997: Bre-X releases Kilborn report confirming gold
content of Busang assays. But report is inconclusive about the
issue of whether Busang samples were tampered with.
April 4, 1997: Mining industry experts are of the growing
opinion that rock samples at the Busang site were indeed
tampered with before being packaged and sent to the assay
laboratory. |
