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Gold/Mining/Energy : Montello Resources
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To: George S. Montgomery who wrote (2730)10/28/1998 7:24:00 PM
From: Sudhir Khanna   of 4256
 
George,

In general, if an economic deposit is found, the stocks potential value can be estimated using the Net Present Value of the first ten years of cash flow. Although the company will continue to look for additional economic deposits, the market may not give credit for new finds until the first is in production. There are many reasons for this. There are also many examples of this - Aber Resources (ABZ.t) can be used as one.

Sincerely,
Sudhir Khanna, P.Eng.
Editor, The RESOURCE INDICATOR
goldsheet.simplenet.com

___ Performance Watch ________________________________

August 1, 1998 (initiation date) to October 28, 1998

Resource Indicator Index ............. +26%
TSE 300 .............................. -13%
VSE Index ............................ -20%
VSE Mining Index .................... -17%
DJIA (Dow) ........................... -5%
NASDAQ .............................. -6%
____________________________________________________
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