Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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 : Millstream Mines (MLSM) -- Ignore unavailable to you. Want to Upgrade?

To: Brumell who wrote (192)	8/29/1999 4:51:00 PM
From: Brumell	Read Replies (1) \| Respond to of 664

Is this the time to average down? Before making a decision lets recap the last few months. The following is just one persons thoughts. Hopefully others will add theirs. The Geology: - I'm not a geologist and everyone has their own opinions. Millstream has an excellent site and has dumped a lot of info into it. Check millstreammines.com and "click" Potter Mine Pages, then "click" Geology. There are several good papers. Those by H. Gibson and Dave Gamble are easier reading and informative. Results of last years surveys by Quantec are at the bottom of page. You can also see past drill data, etc. It's all there but easier to read offline so save it to briefcase. The Stock: - as posted last Friday, about 5.6 million shares from previous financings had their hold periods expire and became free for trading through May, June and July. By far the largest portion was in June when 3.213 million shares issued at 35 cents became tradeable. Expecting news, the market absorbed what was offered. When news was not forthcoming, price and trading eroded to current levels. MLSM Investor Relations: - despite receiving mixed signals, I've no beef with any of the individuals. They strike me as decent people trying to do their job professionally. My guess is the mixed signals have been caused by conflicting plans and strategies of HDG vs MLSM. Let's recap a few items. MLSM issued a NR saying their Potter program was underway on May 13th. By June, many logically assumed drilling was underway but I.R. said it was not. In late June, I.R. changed slightly and said they could not "officially" say drilling had started although local sources could hear drilling. On July 7th, MLSM issued a positive NR saying the second drill had started (we don't know when the first drill started but they announced one branch hole was already complete) and that a third lighter unit was on site and scheduled to start drilling outer anomalies by June 20th . It sounded good. However, subsequent calls to I.R. indicated delays in starting the 3rd drill but an additional or 4th would be used to catch up, they said. That was late July. Their latest NR dated August 18th claims only 4 branch holes were completed, lists mediocre assays, indicates all drilling has stopped and that the third drill never started. The result has been a loss of confidence, worry, a few individuals selling and a disastrous stock price. Don't think it was anyone's intention to knock down the stock but they couldn't have done better if they tried. Hindsight: - it appears now as though one group wanted to focus on reassessing the property and completing more detailed geophysics. Some of this work is described in their latest NR and we know that Quantec spent more time than anticipated doing geophysical surveys on a tighter infill grid. As someone observed, they must have a @#$%load of data. This had to be analysed and I'm told a 3D model created. In hindsight, it makes perfect sense and probably superceded drilling. Had investors been told in advance of this work and that drilling would be secondary until it was complete, don't think the stock would have suffered so much.... but then that's hindsight. Looking Ahead: - on Friday, Morag posted a conversation with Toronto MLSM I.R. who indicated drilling was about to resume. I got the same story from Marty Martinello at MLSM North Bay. This info also coincides with info from local sources who report an increased presence of MLSM/HDG types. FWIW I think the spade work is done and we're about to get a serious drilling program. The timing is also appropriate if MLSM is to approach the tax shelter financing people who I'm told like to market their products starting late September thru December. Others on the thread are more knowledgeable on this subject than I. Bottomline, with any luck we are about to finally get some drilling action and I think the ingredients are there to produce good results. At this point I could probably write a book on conflicting information received from various sources including I.R. It would definitely be a comedy. Is there any market for such a thing?