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Gold/Mining/Energy : BRE-X, Indonesia, Ashanti Goldfields, Strong Companies.

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To: clifford atkin who wrote (18975)4/29/1997 3:02:00 PM
From: julius diamond   of 28369
 
1. I don't know what incomplete means. Incomplete means to me that I'm not finished. I have more work to do and therefore, I can not be conclusive. Or it could mean as in Strathcona's recent announcement that the final report will be similar to the initial report. I tend to the former interpretation because of the magnitude of the impact of Freeport's initial observations. They must have continued to do work on the their samples as well as Bre-x samples after the Mar. 26, announcement. I am sure they were looking for salting including Placer Gold as you stated in your posts yesterday. Did they find any? Why haven't we heard from Freeport? That is why Freeport requires scrutiny.

2. I don't know much about the Hammer Mill theory. It was posted on this thread and suggests that it might be a contributor to Freeport making a mistake, if they made one. That is why I am asking for help from knowledgeable people on the thread. My guess is that someone thinks the gold could have been lost in the Hammer Mill but I am not an expert and don't know.

3. I believe it was reported either on this thread, in the news media, or analysts reports. I will do my best to secure the source. It probably was during the time when they said analyst's videotapes showed Bre-x preparing the samples. After all the bad news, there was a report that Bre-x only did the rejects on site. However, at the present time I believe it is a fact that Bre-x sent their cores to the Lab for preparation. In fact I heard that in the last several months they sent their cores to both Indo Assay Labs and Inchape. They did not do their own.

4. I don't understand the processing of entire cores? That has to be explained to me. I thought the material has to be crushed and prepared for assaying. I do know that these people drilled over 300 holes and had in excess of 40,000 samples. The costs of processing all of the material instead of sampling would be prohibitive. I think (emphasis on think) that you have to crush the cores to assay. If this is correct, then crushing and then processing (shaking and sifting the entire crushed core) results in a mix with everything relatively evenly distributed. The 750 gm samples will have statistical error factors associated with them to allow for reasonable conclusions from assays. If you have 13 Kg of material and use only 750 gms you have sufficient remaining for check samples. Now, if anyone wants to audit the 750 gm result they can. I assume Barrack and Freeport must have taken samples from the remaining material. Because reasonable statistical conclusions can be inferred from the 750 gm samples it makes economic sense to sample and not process the entire 13 Kg. If Freeport did take some of the material for check samples I assume they were looking for Placer Gold given your earlier posts. Why haven't they reported their results? I don't know what Freeport did. However, if I drilled a hole and got nothing and 5 meters away there was another hole with something, I would be curious about what is in that hole. I would take some of the 13 Kg remaining and assay it. Either the Gold therein is as originally described by Bre-x or it is something different. If it is different, I have an answer. However, we have heard nothing. Again, why does Freeport not get scrutinized?

5. The only way FCX could have come up with nothing in their assays is if the Gold was removed before assaying - either there was no Gold to begin with in which case Bre-x salted or FCX made a mistake. That again is why FCX must be scrutinized as well as Bre-x.

6. I can't comment on the Australian not finding anything. I don't know how they drilled, prepared their sample or assayed. But obviously if you assume FCX could make a mistake a smaller company could also.

7. I agree that Bre-x can remove the clouds by making a statement to clear up all the accusations. However, would anybody believe them? The press has maligned Walsh and Felderhoff and their credibility will only be restored if the Gold is there. I tried through posting an open letter to Walsh to encourage a Bre-x statement. However, I have heard nothing and I believe that perceptions of Bre-x's guilt are magnified by their silence. But Freeport's silence also bothers me and for the same reasons silence makes you wonder about Bre-x, the same applies to Freeport.

8. It is difficult to discern the true facts at this time. Keep hammering at my assumptions and arguments and I will do the same to yours. Hopefully knowledgeable sources on the thread can assist in refuting both your and my weak arguments.

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