Bre-X chronology
The Bre-X countdown
Golden moment: Jim Bob Moffett is about to make one of the biggest decisions of his business life.
The jungle bungle: Bre-X's failure to communicate
1993
Montague Gold NL sells Busang to Bre-X for $7.1 million. Montague Gold is held 49% by Waverley Mining Finance PLC, a company headed by Scottish financier William McLucas.
1993
Calgary-based Bre-X Minerals Ltd. starts exploring for gold at Busang, an area of rain forest on the Indonesian island of Borneo.
October 1993
Bre-X and Barrick Gold Corp. fail to reach a deal on joint venture at Busang.
Aug. 15, 1995
Bre-X hints that its Busang gold discovery in Indonesia could be a major find, hosting at least eight million ounces of gold.
March 5, 1996
Toronto-based Minorca Resources Ltd. acquires 4.2% of Busang in a financing deal with PT Askatindo Karya Mineral, which owns 10% of Busang's Southeast Zone.
March 14, 1996
Bre-X tells shareholders that its Busang find could be one of the world's largest gold discoveries, containing 30 million ounces and possibly up to 100 million.
Oct. 3, 1996
Bre-X confirms the Indonesian government is probing a Busang ownership dispute launched by one of Bre-X's Indonesian partners, PT Krueng Gasui.
Oct. 28, 1996
Bre-X says it has a strategic alliance with PT Panutan Duta, an Indonesian firm controlled by the eldest son of Indonesia President Suharto. Panutan is offered US$40 million in consulting fees and 10% of the Busang discovery.
Nov. 15, 1996
Krueng Gasui threatens Bre-X with a $1.9-billion lawsuit unless the two sides meet by Nov. 22 to discuss the dispute.
Nov. 22, 1996
Lawyers representing McLucas's companies Waverley Mining and Montague Gold say they are investigating claims against Bre-X.
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 Busang.
March 26, 1997
Bre-X says consultants Strathcona Mineral Services Ltd. have advised it that the size of the Busang gold find was very likely "overstated.
March 27, 1997
Toronto Stock Exchange trading system crashes as Bre-X shares plunge $13 to $2.50. On Nasdaq, 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 increasingly of the opinion that rock samples at the Busang site were indeed tampered with before being packaged and sent to the assay laboratory. Bre-X president David Walsh says he is "120% confident that the gold is there and this has been a colossal screw-up."
April 7, 1997
Bre-X stock hit hard again on reports Australian consultant Normet Pty Ltd. found unusual gold particles in Bre-X ore samples last July.
April 23, 1997
Philippine investigators positively identify the remains of Michael de Guzman through fingerprints after questions arose on whose body had been found.
April 25, 1997
Strathcona tells Bre-X its audit report should be completed within a week.
April 29, 1997
Freeport chief executive Jim Bob Moffett reiterates to his shareholders that the New Orleans company has still found no gold after further testing of samples from its Busang drilling. |
