SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Gold/Mining/Energy : Bema(Bgo) and Arizona Star
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: terry astle who wrote (552)10/26/1996 10:48:00 AM
From: Daytek77   of 10482
 
Prospects For Bema/Arizona

Hi Terry I just wanted to comment on the Northern Miner article you mentioned and also make some general observations. I have been with Bema since 1989 and understand how Clive Johnson is motivated more than most. Firstly the analysts who believes that approx $10 billion worth of gold/copper would not be exploited are deluding themselves. In the teleconference Bema management reiterated 4 billion pounds of copper and at the very least 500 million tonnes of mineralized ore (using 1.24 g/t). The inference is that they believe there is much more. Clive has been consistent with these numbers and would not be if he wasn't sure this was a minimum level.
As far as cost are concerned Jim Taylor of Yorkton (London) says costs will be approx $200 U.S., hardly high cost.

Secondly this is not a grade play it is a tonnage play. Analysts who understand this now will make their clients alot of money. Three analysts at Yorkton all rate Bema/Arizona a buy with a target of $17 in 6 months/year. Nesbitt rates it a buy as per previous post. First Marathon purchased over 400,000 shares of Arizona yesterday. Why did the stocks go down? There are many factors but in analyzing the trading there were two sellers mainly. Canada Trust and Salman Partners. Canada Trust unloaded over 800,000 shares of Arizona and
300,000 Bema. Salman was a big seller of Arizona stock over 500,000 shares. Salman trades on behalf of Mutual funds. Perhaps a client of Canada Trust or their Mutual funds were selling their positions, it was not widespread selling as some would think based on the price action.

Clive Johnson is probably the most determined mining executive in the business. Once analysts are on site and they get an appreciation for the size of this project you will see more than a few of the 20 that will be recommending purchase. Refugio's problems are 90% corrected. Clive mentioned 3 of the 4 tertiary crushers have been repaired the fourth awaits a motor and will be on-line soon. Production is slate to be 25,000 oz per month starting in Nov. That will be a big boost for Bema.

Conclusion, everone is entitled to an opinion, I feel that these levels are very attractive for an investor. By the time the next results come out in December Bema should be north of $10 and Arizona $10 - $11. There may some residue selling from Fridays sell-off probably from Canada Trust, once this has been digested look for a good bounce. In todays' Financial Post Clive Johnson stated that "Bema is expected to take advantage of the drop to announce soon that it will increase its interest in Arizona Star."

Good luck

Tony

p.s If anyone is interested I could post the trading logs for Bema/Arizona for the last couple of days.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News