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Gold/Mining/Energy : Pangea Goldfields T.PGD -- Ignore unavailable to you. Want to Upgrade?

To: Jimsy who wrote (1061)	6/16/2000 10:32:00 AM
From: Enigma	Read Replies (1) \| Respond to of 1178

I think the intermediate producers are going to come into play first. In the meantime PGD has to build reserves as fast as it can without throwing money away - and in the meantime why doesn't it acquire MDN?? That would make a nice clean package - Salva are you there?

To: Jimsy who wrote (1061)	6/19/2000 6:34:00 PM
From: russwinter	Read Replies (1) \| Respond to of 1178

Article: Two Canadian gold juniors are surprise packet The stock market zoo of bulls, bears and dogs has a new resident: elephants, the larger, the better. Anxious investors in the depressed junior exploration sector are on the hunt for "the big elephant upside," said Graeme Currie of Vancouver's Canaccord Capital Corporation. Those who dare play the junior game are after exploration companies that show the promise of a large deposit and, most importantly, a big pay day when the firm is taken out by a major producer. At present, there are two Canadian juniors at the top of most lists: Pacific Rim Mining and Pangea Goldfields. Pacific Rim is a Vancouver junior run by mining financier Catherine McLeod-Seltzer. The former broker is the past chief executive of Vancouver's Arequipa Resources. In 1996, Arequipa and its prized Pierina discovery in northern Peru were sold to Toronto's Barrick Gold for C$1.1 billion. Since production began in 1998, Pierina's low-cost gold reserve has climbed to 7.2-million ounces. There's increasing speculation McLeod-Seltzer may have found another world-class deposit in the South American country. Pacific Rim's chief asset is Luicho, a promising gold property in southern Peru. Early-stage exploration has been nothing short of astounding. Geologists have identified a large gold anomaly close to two kilometres long and about 250 metres wide. The company has gathered more than 7 000 rock samples from the site; all but six have contained gold. The first drill rigs arrive on the property on June 21. There's no shortage of investors large and small willing to open their wallets. On June 7, Pacific Rim increased its financing by 500 000 special warrants, for a private placement of nearly 1.7-million warrants at C$4.25 each. Gross proceeds will rise to C$7.1 million from C$5 million. Institutional investors have snapped up about 20 per cent of Pacific Rim's 20.5-million outstanding shares. Analysts believe senior gold companies have done some buying too. Shares have quickly risen from 52-week low of C$0.60 cents last September to an April high of C$5.35. Shares continue to trade in the C$5 range. At least three analysts expect further gains following initial drilling results. Pangea Goldfields also well positioned Across the Atlantic, Tanzania's Lake Victoria region is developing into a mineral-rich gold district and Toronto's Pangea Goldfields is well positioned to benefit. In October last year, Barrick committed $280 million to develop its Bulyanhulu gold project in the East African country. Nearby sits the Geita mine, a partnership between Ghana's Ashanti Goldfields and AngloGold of South Africa. Pangea controls a sizable land position near both projects and has struck key partnerships with the gold giants. Barrick, which has a 4.6 per cent equity interest in Pangea, is drilling on the Golden Ridge property southeast of Bulyanhulu under a 50-50 joint venture with the junior. The 174-square kilometre property is currently estimated to contain 2.2-million ounces of gold. Ashanti, meanwhile, is financing the exploration of Pangea's Bulyanhulu South and Kakindu properties. A successful spring drilling programme on Bulyanhulu South indicates mineralisation similar to Barrick's 10.4-million ounce Bulyanhulu project. Pangea has majority control of what may be its richest property, Tulawaka, a 70-30 joint venture with Montreal-based Minieres du Nord ltee. Drilling at Tulawaka in late 1999 returned high-grade gold, including 122 grammes per tonne over five metres and 45 grammes per tonne over 12 metres. A subsequent programme extended this high-grade mineralisation along strike and at depth. On June 9, Pangea agreed to sell up to C$9.9 million of special warrants at C$4.50 each. The offering increases its cash position to more than C$18-million and fund a feasibility study at Tulawaka, and the continued exploration programme on other key properties. Shares have climbed rapidly this year, up from a low of C$2.70 in January to a May high of C$5.50. A number of analysts have picked up coverage in recent months, with eight blue-chip brokerages maintaining "buy" ratings. The consensus is a Pangea takeover is inevitable, a "when" rather than an "if."