Was able to contact IPJ geologist (Peter) today and discussed the following:
RE: Why is IPJ price dropping?
P: Related entirely to the Bre-X situation
RE: What about the CoW issuances?
P: IPJ is waiting on 24 seventh generation CoW's. IPJ has heard from their Indo offices that 68 sixth gen CoW's have been approved and are about to be issued.
RE: What about the issuance of the seventh CoW's?, When in your opinion?
P: Likely after the Indo elections.
RE Comment: I believe that the elections are sometime in May.
RE: Strategic Investment made a recommendation in their March 1997 issue received by me April 4th. This release is as follows:
Our latest recommendation
International Pursuit (IPJ - Toronto) is an interesting mineral company with excellent management, $41.1 million in the bank, and 12.3 million acres - the largest package of exploration properties in Indonesia. Indonesia has been gaining a lot of attention in the mining business ever since a small Canadian company, Bre-X went from a few pennies to the pre-split equivalent of $250 a share after finding the largest gold discovery in history. More than 200 million ounces of gold have been found in Indonesia in the last eight years, which places it among the most prospective regions in the world. Pursuit's able CEO, Stephen Dattels, was formerly Executive Vice President for Corporate Finance for Barrick Gold. He has the management expertise and financial savvy to make a success of a new company. He also has the respect of his former colleagues at Barrick, who have entered into a 50%-50% joint venure to explore Pursuit's land package. At the recent price of C$4.60 or better, we are adding 1,000 shares of International Pursuit to the Wealth Builder Portfolio.
It is perhaps inevitable that investors today would be infatuated by trend-following in all its forms. The trend-following mentality believes that an investment is better and more credible after it has become more expensive, that is to say, has gone up in price. Equally, the trend-follower believes that an investment has been disproven if it falls in value. In reality, you cannot tell from mere price action whether an investment has become more or less attractive.
Provided you are not margined to the hilt, which we strongly discourage, a fall in the price of a company with sound fundamentals, simply hands you a buying opportunity.
RE: Strategic Investment has stated that "IPJ has JV'ed all of their Kalimantan lands". Is this true? or is this an error on Strategic Investment's part?
P: This is in error, the only JV's that IPJ has with Barrick is in IPJ and DAYK east Kalimantan peninsula lands.
RE: There has been mention of IPJ setting up additional JV's for possibly Sibau, Jurassic and Mahakan. Could you discuss this?
P: Currently there are 3 majors interested in JV'ing with IPJ in Central Kalimantan. IPJ has interest but will be very selective and ensure that if any JV is struck that it is in the very best interests of IPJ.
RE: Is IPJ redirecting their efforts out of Indonesia? Is IPJ reducing Indo crews and moving geologists to Mongolia?
P: No, IPJ is setting up 3 crews for Mongolia exploration and expect them to start work in May.
RE: What about DAYK Sebuluh drilling, when will we have results?
P: We are waiting on drilling results before publishing.
RE: How many holes?
P: Six. We did have a gold show on one of the drill cores.
RE: Was this drill hole number 2?
P: Yes
RE: How would you characterize the results from Sebuluh?
P: We are excited about the results. There appears to be a large mineralized area at Sebuluh.
RE: What about L-N prospect? What prospectivity do we have there?
P: There is good quartz showings at distance but narrow. Possible that there will be value at depth but this will have to be proven.
RE: What is happening on Mongolian IPJ/JVAG properties?
P: There are 16 prospects within 10 licences of IPJ(DAYK) and JVAG. Currently IPJ is setting up 3 crews to prospect these lands.
RE: Could you discuss the prospectivity of the Mongo Lands?
P: In the 1970's through early 1990's the Russian Government was partnered with Mongolia and did some work. IPJ is interested to prove up the prospecting done by the Russians.
RE: Was any prospecting done by Armand Beudoin?
P: No, by Russia/Mongolia only. Which was abandoned with the breakdown of Russian Government in the early 1990's.
RE: What were some of their findings? Is IPJ going to do some trenching?
P: The ground is open and with many outcroppings. We will be able to take chip samples. There may be some trenching but the chip samples will be quite indicative.
RE: What did Russian Chip samples assay?
P: Many samples assayed 16 to 18 grams per ton. The Russian results indicate the likely possible resource of approximately 600,000 oz AU, we will be trying to expand that.
RE Comment: It would appear to me that we could see some early assay results from surface work to be carried out with high potential for prospectivity and rapid establishment of drill targets.
Enjoy all!
Best regards,
Ron E |
