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

To: marcos who wrote (5296)	1/4/2000 12:36:00 PM
From: gemsearcher	Respond to of 7235

Hi Marcos. Happy New Millenium. Fifth-worst performer on the TSE last year ? Geez ,I knew it was bad , but had not appreciated it was that bad. Albino's observation that the market will not recognize blue-sky seems pointedly directed at SUF - he obviously wasn't referring to the RXD market <ggg>. I can't identify another co. in this sector with a share price that is as far out of proportion to its balance sheet. SUF's near-term prospects will hinge on , I suspect , news that should be forthcoming this quarter on several fronts : 1. New CEO - this should have a positive effect , if only to remove the uncertainty concern. There is a "restoration of confidence" component to this appointment , but that is a longer-term challenge. 2. Leopard economics (stoping grade/valuation). This is critical , as it will go a considerable way towards addressing the "where is the cash going to come from ?" concern. IOW , God help us if Leopard proves uneconomic. I must confess to being disappointed that the co. finds itself in the position of not knowing if Klip is economic at this late stage in the depleting life of M1 ; I mean , this has been a concern in the market for sometime now. But I don't want to slip into broken record mode , so... 3. Messina. This is far and away the most exciting prospect on the SUF horizon , as it has the potential of attracting a new shareholder/sponsor base. 4. Camafuca. The pros and cons have been exhaustively outlined several times on this thread. That said , I know that the prospect of an economic deposit here will generate interest from several sources , particularly from those looking for a toehold in the marketing rights associated with the diamonds produced from that deposit and Angola generally ; perhaps Gull and/or Infoman could offer a local perspective on this consideration. Even if the asset proves uneconomic, the fact that the co. will stop spending $ on it in that event will help the stock. 5. '99 CFPS/EPS. One would think that the market will not punish the co. too much if it records a profitable year. Regards.