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Gold/Mining/Energy : Bema(Bgo) and Arizona Star
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To: Bobby Yellin who wrote (87)8/25/1996 11:20:00 PM
From: Ken Benes   of 10482
 
I am holding Inca Pacific, however, I am concerned that Cambior intersected low grades of mineralization on the first round of drilling. Management tells me that Cambior believes these intercepts from outerboundary of a deposit and is proceeding with additional geophysical prior to determine new targets for the next round of drilling. The company is also interested in the Cueva Blanca concession and believes they have similar geology to Newmonts Yanacoccha.
El Callao means little to Bema who owns 30% of the company. Bema itself is sitting on a world class deposit and their taking down a private placement from AZS at 14.00 with more results due in two weeks is telling the market their is more good news to come. Bema believes paying 14.00 this week will be a lot cheaper than what AZS will be selling for after the drill results. Also, I cannot tell you everything I know, but Bema has additional property in Chile that they are about to enter into a joint agreement with a major company. Bema is going to go a lot higher and may within one year have reserves in excess of 25 million ounces of gold with production approaching 500 thousand ounces. This would make Bema one of the largest gold companies listed on US exchanges.

Ken
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