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Gold/Mining/Energy : Gold City Mining - John Chapman, President

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To: Francis R. Biscan Jr. who wrote ()9/26/1997 6:18:00 PM
From: Jim Steel   of 15
 
Mr. Biscan:

My interest has been piqued by your comprehensive company and project summary. Two questions remain, however: first, what was Mr. Chapman's role at PDG? Second, what does "conventional technologies in an innovative combination..." mean? SXEW technology is not necessarily conventional for nickel deposits, especially in BC where Mother Nature has not been kind enough to oxidize the ore. Pressure leaching a la gold may work, but is now being tested on a large scale for the first time at Murrin Murrin.

How about exploration? A six year mine life on the basis of current indicated and inferred resources will not excite any major company already established in nickel production.

I'm not trying to be overly cynical, but I would like not to lose as much money in base metal exploration plays as I have in gold exploration plays.

Regards

J. Ujina
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