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Gold/Mining/Energy : SOUTHERNERA (t.SUF) -- Ignore unavailable to you. Want to Upgrade?

To: gemsearcher who wrote (3984)	7/13/1999 4:29:00 PM
From: teevee	Read Replies (2) \| Respond to of 7235

gemsearcher, If i am not mistaken, a very large portion of the option payment on Camafuca was made with SUF paper. SUF was smart to do this as cash is a precious commodity......I suspect this paper is coming into the market...given the pathetic average volume these days, it could take 6 months or more until that stock has found its way into the market.....unless a big chunk of it gets crossed at significantly lower prices....now which one of you SUF threadsters is trying to cover their short position with that big bid:-))? regards, teevee

To: gemsearcher who wrote (3984)	7/13/1999 4:53:00 PM
From: Shaw	Read Replies (1) \| Respond to of 7235

FWIW gemsearcher, I think we have already had the "blue sky" run up for SUF a couple of years ago. In early 1996 to August or September (if I remember correctly) the share price tripled to $20+. That seemed to be the speculation stage (much like the current speculation stage on WSP). Now it seems we are in a value play. With that said 4, 5, 6X earnings ain't exactly comforting!!! My prediction for the next 6 months is: one of two of these things will happen: 1. A U.S. value manager will step in and buy SUF as a fundamental value play. Since all analysts are lemmings we will see several bullish research reports and the share price will approach traditional diamond producer valuations. 2. An offer for SUF @ $7-$9/share will surface which will be summarily rejected. Whatcha think??? Dean PS: teevee: I believe that you would like to see SUF valued at a proper multiple. That is good for the whole diamond market, isn't it?? What if WSP finds a mine and begins producing??? If it's valued like SUF (crap multiples) and is earning a couple of bucks/share, that means the 'Spear (in 2003 or whatever) will be trading at $5 or $6. Not exactly a good long-term hold!!!!

To: gemsearcher who wrote (3984)	7/13/1999 5:36:00 PM
From: russet	Read Replies (1) \| Respond to of 7235

When you compare fissure to fissure (Snap Lake vs Klipspringer), some interesting comparisons come to light. Klip: (.73cpt x $120USpc after commission)-$20US(cost/t)x 4.6 mmtonnes x 100%ownership = $US 310,960,000 Wsp: (1.7cpt x $98USpc)-$60US(cost/t)x 7.7mmtonnes x 68% ownership = $US 558,158,000 - sales commission (15%) = $US 474,433,960 Now Wsp says they have 20 million tonnes good kimberlite "globally?" and hope to increase that by going further and further underground. That's a triple. Suf says Klip current resource is 4.6 million tonnes over 3.45 km strike length but the anomaly runs for 19 km and there looks to be another parallel anomaly. Thats a potential 8 times current resource. Note I'm ignoring Marsfontein even though 8 new anomalies have been reported there (now have M1 to M17). I'm also ignoring that the costs to build infrastructure in SAf is about 15% of that in the NWT. And I'm ignoring Messina Platinum Group metals, and Camafuca. I'm also ignoring the fact that Suf is increasing production and job opportunities in SAf at the same time that many other companies are laying off thousands of miners. Talked to some broker buddies today. Thought these guys knew something, but it appears they thought all of Suf's SAf holdings were part of the DeBeers JV agreement, ie Suf only had 40%. Of course they are so busy chasing technology companies, they have no time to analyze mining companies any more. russett, the squished hamster. Check my numbers, they are subject to paw mistakes.