Nov 24, 1998
In response to John Trudeau et al…..from Investor Relations, Patrician Gold Mines
Re: your concerns for Alberta listed Jr. mining stocks over the past year.
1. We have all been in the same boat. Gold has been in decline, call it a bear market since Feb., 1996 and a bear cycle since 1981. We believe we are now in the process of seeing a dramatic turn in that, which should help us all!
2. Projects
We have been delayed in announcing anything on the new property in Matachewan because of holdups in getting the contracts back from vendors of assets in the area. That has been completed. We are finishing the maps. We will have something out in the next 6 days.
3. JCI
They finally informed us in July that they had run out of money, and that they
had not finished their work program. You will note in our quarterly statement
for August that we had referred to this and that we were in the process of trying to vend the Homasi property. We have not said anything about the conclusion of those negotiations until they have been completed and the cheque is in the bank, which I expect sometime between now, and Christmas. That will significantly increase our working capital.
4. Remuneration……Directors etc.
Kevin Wright was paid $2500 per company. The numbers were not correctly
reported in the proxy. Robin Dow is eligible to be paid $2000 per month plus expenses. However, he has received no payment from Patrician in any way for the last 18 months. He was paid $5000 in 1997, $24000 in 1996 and 1995 and $14500 in 1994. While Cornerstone was owed $60000 in 1995, it took 75000 shares for debt at $.60 per share. It has received no monies since.
5. Shares
Shareholders have been forced to remain patient over the last two years. Some have averaged down. You will recall that Mr. Dow put $150,000 of his personal Capital into Patrician last September at $.20 per share. We firmly believe in what Paul Jones is doing in putting together programs in the Timmins-Matachewan camp, and believe we will see the stock higher in 1998-99 based on a rising gold price and a stronger market for junior golds, combined with the programs we have at hand. If the market does not return to a positive tone, it will be difficult for anyone in the junior market to accomplish anything…from development to exploration success.
Each and every individual associated with this company works hard to bring value to the company. We have always had confidence in the projects we have had on hand, but "fighting the tape" can be an uphill battle. Also, as Bob Bishop said, even though there may appear to be gold in these properties, finding an economic ore body is an intricate process. We continue on, cognizant of these intricacies, with the utmost diligence.
Should you have any other questions, please phone, fax, or contact me at the website @ goldcorner.com. We are in the process of updating it and will have all the new maps there when we press release the results on the new Matachewan property called Argyle.
Good luck to all of you……Craig Smith, Investor Relations. |
