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Politics : Stockman Scott's Political Debate Porch -- Ignore unavailable to you. Want to Upgrade?

To: Jim Willie CB who wrote (6312)	9/13/2002 1:38:44 PM
From: abuelita	Read Replies (1) \| Respond to of 89467

was that a question?

To: Jim Willie CB who wrote (6312)	9/13/2002 1:46:18 PM
From: 4figureau	Respond to of 89467

TNX: Date : Septemer 13, 2002 Tan Range Has Ambitions To Become A Royalty Company Under Jim Sinclair. James Sinclair has now had time to get his seat warmed up at Tan Range Resources, the Canadian listed junior exploring for gold in Tanzania. Sinclair, for the few people who may not know as he is a pretty good publicist, was the chairman of Sutton Resources during the period when its market capitalisation of US$15 million in 1990 grew to the US$325 million paid by Barrick for the company a couple of years ago. The focus for Barrick was the 16 million ounce Bulyanhulu gold deposit in Tanzania which was at an advanced stage of development at that time. Since then Sinclair has concentrated on building up a private company , Tanzania American International Development Corporation, which he sold to Tan Range in February this year. He and his family now own around 25 per cent of the company and he has taken over as chairman. Tan Range and Tanzam have both been engaged in extensive gold exploration activities in the region south of the city of Mwanza in Tanzania in an area close to Bulyanhulu. Tanzam has rights to 51 properties and is engaged in a number of joint ventures with Barrick. Tan Range itself has been around in Tanzania since 1993, well before the world's major gold companies such as AngloGold, Barrick, Gold Fields and Placer Dome began to acquire Tanzanian gold assets. It holds significant mineral exploration concessions in the Lake Victoria goldfields region and Barrick is funding advanced exploration on its Itetemia property close to Bulyanhulu and in a similar geological environment. Tan Range has also identified over 300,000 ounces of near surface gold resource at its 100% owned Luhala property.. The exploration focus at Luhala has recently changed to concentrate on a new exploration model after the discovery of several higher grade sections, specifically a 5 metre channel sample which returned 33.41 g/t gold and a diamond drill intercept which averaged 12.98 g/t over 4.7 metres. The latest news from the company is that out of 125 grab samples taken on the Lunguya property which is only 15 kms south of Bulyanhulu, 43 per cent graded better than 5 g/t gold and 15 per cent higher than 10 g/t. These samples were all taken close to artisanal workings which tend to be a reliable indicator of high grade mineralization and Sinclair commented, “I am quite pleased with these findings and look forward to the early results of the RC drilling program now mobilised”. Before Jim Sinclair became involved with Sutton Resources, however, he was also a gold analyst and international commodity expert and had headed one of the largest precious metals trading firms on Wall Street. His thinking on the future development of Tan Range is therefore rather more market oriented than most of his peers and he has set about ensuring that the company has a very solid shareholders base in his first months with the company. In an interview recently with a Canadian journalist he said he was helped in this by the fact that Ta Range’s strengths are not widely recognised in Canada. This meant that weak holders could liquidate their positions and serious investors could accumulate significant positions without making a huge impact on the price. By his calculation 18 million shares have changed hands in this way since he came aboard. Add to these the 20 million shares held by Sinclair and his family from the sale of Tanzam as well as the warrant and stock option conversions and half the company’s 84 million shares is now in strong hands. And they are backing Sinclair to pull off a replay of Sutton Resources now that Tan Range has more focused management, a strong financial position and a huge property portfolio in Tanzania. More than that, according to Sinclair, the company has a number of concessions which are right on the border and directly on trend with Barrick’s mine and Bulyanhulu is one of the lowest cost producers in the world. He claims that no fewer than fifteen projects are under option to Barrick in the Lake Victoria Goldfields and his company has a portfolio of other properties that are attracting international attention. It appears that his main plan now is to advance projects as far as possible and then trade them on for royalties, cash and free carries. But he is clearly keen on building Tan Range over time into a royalty company like Franco Nevada or Royal Gold as he points out they have the great advantage of guaranteed income, unlike miners. Sinclair slips into analyst mode quite quickly and likes to demonstrate from charts that established royalty companies tend to trade at a premium to basic producers. The new shareholders at Tan Range are clearly in for an interesting ride. minesite.com