Bre-X geologist's family still don't believe discovery
was hoax
The latest Bre-X news and analysis
MANILA (AP) -- The family of a dead Filipino geologist who reported discovering one of the world's richest gold
deposits said today they still believe him, despite tests that show the discovery was a hoax.
"The family stands by Michael's findings," said Jojo de Guzman, the younger brother of Michael de Guzman, chief
geologist of Calgary-based Bre-X Minerals who died in a plunge from a helicopter in Indonesia on March 19.
"One day, he will be vindicated in the same way that we will find out the truth about his death," de Guzman said.
On Sunday, Bre-X released the results of independent tests that showed its previous claims of a gold bonanza in Busang
on Indonesia's Borneo were false.
Strathcona Mineral Services Ltd., a widely respected mining consultant, said only trace amounts of gold were found in
samples it tested. It said Bre-X's samples were doctored with gold from another source.
"We believe there are still a lot of possibilities other than what they found," de Guzman's brother said.
"Knowing my brother, he has never been involved in any kind of scam," he said.
"He is not here to defend his credibility. It is easier right now to blame everything on my brother but I'm sure it's unfair."
De Guzman began working with Bre-X as chief geologist in 1993. His career started in 1977 with Benguet Mining
Corp., one of the Philippines' largest mining companies. He left Benguet in 1987 for Indonesia, where he worked for
several companies before joining Bre-X.
The Indonesian government said de Guzman committed suicide by jumping out of the helicopter after learning he was
suffering from a fatal illness. His family and some former colleagues dispute that theory, suggesting he was murdered in
some conspiracy related to the dispute over Busang's value.
An autopsy conducted in the Philippines showed de Guzman died as a result of a fall but did not test whether he had any
serious disease.
The Indonesian government indicated today it will prosecute those responsible for the mining scam.
Bre-X has a 45-per-cent stake in the Busang consortium. New Orleans-based Freeport-McMoRan was to have
operated the Busang mine with a 15-per-cent stake.
The Indonesian government owns 10 per cent of the venture and two Indonesian companies, PT Askatindo Karya
Mineral and PT Amsya Lyna, hold the remaining 30 per cent.
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