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Gold/Mining/Energy : REX DIAMOND MINING TSE:RXD -- Ignore unavailable to you. Want to Upgrade?

To: Bob Fairchild who wrote (1822)	10/25/1999 9:43:00 AM
From: teevee	Respond to of 2522

Bob, A key difference here is that with Diamet, Ashton and Southernera, they all have sufficient reliable positive cash flow going forward to adequately and internally fund international diamond exploration on a sustained basis over a number of years(without having to rely on or raise further equity capital unless advantageous), and in the amounts necessary relative to costs and risks in order to have a reasonable chance of a significant discovery over say, a 10 year period of time. A healthy balance sheet IMO, means less reliance on capital markets, "staying power" through commodity price cycles and poor equity markets, exposure to and ability to take advantage of opportunities as they arise. SUF's recent foray into Australia is a recent example of this.....given the rarity of economic diamond deposits, an important aspect of success is simply how many kimberlites you can find, how quickly you can find them and how fast and cheaply you can evaluate their economic potential. Time and time again, whether diamonds or non ferrous base metals, whether a junior or senior resource company, the most cost effective avenue for growth over time has been has been shown to be successful exploration and development. Assessing a companies ability to operate at this level, on a sustained basis, and in comparison with its peers is part of due diligence IMO, and is why I tried to open up some avenues of discussion. Once again, good luck with RXD and I sincerely hope they get lucky sooner than later. It can happen. teevee