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

To: Chas. who wrote (6776)	1/22/2002 12:35:58 AM
From: Zeddie88	Respond to of 7235

Hmmm, here I was looking at the SUF's chart, just debating with my inner self and thinking that if I ever get a chance to see SUF in the mid-2s again, I'd go in to begin building a position:) Thanks, Sue

To: Chas. who wrote (6776)	1/22/2002 8:07:00 AM
From: Gord Bolton	Read Replies (1) \| Respond to of 7235

Outlook for Capital and Operating Costs at Messina Improve with Weakening of Rand in 2001 TORONTO, Jan. 22 /CNW/ - The economics at Messina, SouthernEra's 70.4% owned Platinum Group Metals ("PGMs") project in South Africa, improved substantially in 2001 due to a 59% depreciation of the South African Rand against the U.S. Dollar during the year. Almost all capital and operating expenditures at Messina are incurred in South African Rand, while 100% of project revenues are paid directly in U.S. Dollars. The February 2000 Messina feasibility study used a Rand/U.S. Dollar rate of 6.1. By January 1, 2001, the Rand had weakened to 7.5 and on December 31, 2001, the Rand had fallen further to 11.9. The feasibility study estimated a total peak funding requirement for Messina of approximately 460 million Rand or about US$75 million at that time. Total peak funding requirements were revised upward to 488 million Rand when project financing was completed in September, 2001. As at December 31, 2001, this total capital requirement equaled approximately US$41 million, a 45% percent reduction from the feasibility estimate. Similar benefits are evident in operating cost estimates. The feasibility study estimated average life-of-mine operating costs of R918 per ounce of 5 PGMs plus gold, net of base metal credits. In U.S. Dollar terms at that time, this amounted to an average operating cost of about US$150 per ounce. Using the December 31, 2001 value of the Rand, these operating costs have been reduced to about US$80 per ounce, a reduction from the feasibility study of approximately 47%. SouthernEra intends to revise its estimated operating costs for Messina later this year, based upon the actual operating experience of the Accelerated Production Initiative which is currently in production. SouthernEra's CEO Patrick Evans noted that the diversified South African economy provides all the services and supplies required to build and operate mines in its local currency. "Clearly, we do not know for certain if the Rand will continue to depreciate against the U.S. Dollar and what inflation rate may result in South Africa. Nonetheless, the impact of last year's Rand depreciation is highly significant and should help to strengthen Messina's place among the world's lowest cost PGM producers." SouthernEra Resources is an independent producer of platinum group metals and diamonds. The company also has an extensive PGM and diamond exploration program. The common shares of SouthernEra are traded under the symbol SUF on the Toronto Stock Exchange. Certain statements set forth above may constitute "forward looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. Such statements involve risks, uncertainties and other factors that may cause the actual results, performance or achievements to differ from those expressed or implied by such forward looking statements. Such risks and uncertainties are described in periodic filings made by SouthernEra with securities regulatory authorities. -30- For further information: SouthernEra Resources Limited, Patrick C. Evans, President and CEO, Telephone: (416) 359-9282, Fax: (416) 359-9141, e-mail: inbox@southernera.com, www.southernera.com newswire.ca