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Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: d:oug who wrote (91551)	12/3/2002 10:37:49 AM
From: E. Charters	Read Replies (1) \| Respond to of 117019

Why don't I be the technical expert and advisor? I have mined more gold with my bare hands than 99% of vse companies. That is what I studied at school. That is what mines I worked in did. That is what milling,grinding and flotation and square set and shrinkage stoping and surveying and drilling is. Mining. I have yet to meet a PhD geologist who has done all that. I have. I have yet to meet a PhD geo who could run a transit or start a ball mill. Or run a jackleg. Damn few could run an assay lab. I am not saying it is above them. I am saying they haven't done it and don't even know what most of the problems are. And I amnot shabby at it either. 99% of them have never written a computer program to plot data from a mine to metallurgically balance a mill. Most of them would not be able to tell you how tomake Xanthates. Most of them would not know you could save money doing that. Or save money putting aut controls on flotation. Most of them have never panned the tails froma gold mine. Most of them don't know how to establish that a gold mine is losing gold to tails. Most could not establish or accurately estimate grade. Most could not optimize a process for recovering gold the cheapest for capital cost and throughput at once. A lot of them would specify carbon in pulp mills. A lot would believe the assays. A lot would specify AA asssaying. A lot have been and would be wrong. A lot cannot chase the ore, deduce its plunge its rake, its dip and find it. Once found they cannot deduce how to mine it and mill it. I know one thing. If I don't run it half the gold will not be found and if found it will not be mined and milled at a maximum profit. I want to do it because I have seen others fail of high degree where I would not. I trust myself. I do not trust others. I don't trust SNC Lavalin and they have more PhD's than I have pimples on my butt. There is significant risk in this business. What allays that risk? I worked in gold an exploration and mine development for 25 years and studies mining and geology at school. What I observed is that the public could not possibly be steeped in these fine points. All they know is what others of limited or specialized knowledge tell them. What I observed from running the CDN Mining Newsletter for 4 years, is that what I could analyse from a company's reports in an instant took others days and days and much lost money to learn. It comes from experience, some acumen and study. And I lost some money of my own. How do you reduce risk? 1. find a spot where gold has been mined before profitably, particularly in small operations. Profitably means it paid the bills. Surplus capital in any operation is not possible to quantify with all the accounting systems that exist. Presumably equity protected or still protects the money. 2. find an area where simple non refractive metallurgy predominates and accessory minerals are not abundant that cause pollution problems 3. Or failing 2, select a process that is simple that deals with the refractory nature of the ore. select that low capital cost process in any case. 4. Find abundant high grade on surface. The lowest assay is zero in any mine. What I want to know is what is the highest. Contrary to what the layman has been told, 0.01 ounce AU or better is rare in nature, It indicates gold deposition. But ten ounces per ton is rarer still. In some cases high grade does not exist at all in some areas.. 5. Find where the structure or dilation is favourable to the deposition of quartz veins and carbonate veins in abundance. Find also where gold occurs in these structures. 6. Find an area that has not been subjected to copious strike drilling despite good indications. 7. Find an area where mining stopped not because of large scale operations and ore exhaustion at depth. 8. Find an area where drilling done in the past is not known generally. 9. Find an area with good access. Not totally necessary in gold but it reduces costs. 10. Find the money by convincing people that the above matters and is true. 11. Keep the property during the period it takes to raise the money in different markets not perceived as favourable to gold. 12. Allay the monetary risk to individuals by sharing equity over many projects and running a stock and maintaining a price. If you cannot do the above yourself, find someone who can and pay them well. All who participate who share a portion and contribute of the above mentioned expertise, not normal to most jobs, but existing to a degree in a few, deserve to share in the profits. Good luck to you. EC<:-}

To: d:oug who wrote (91551)	12/3/2002 2:28:38 PM
From: E. Charters	Read Replies (1) \| Respond to of 117019

Every time I have talked to Dr. D. he has said he is far too busy to take on any other deals. This is code. After working in this business for 25 years I have learned to decode all the codes. What this means is: 1. They will take the property after we drop it. 2. If we retain an interest it is too great even if we charge nothing for the property up front. 3. If we demand a work commitment commensurate with development of the property, it is too much money. 4. If they had a budget they would be operating their own property as a producer. 5. They think our property is no good. (unlikely) 6. They want 100% control and they know we won't give it. 7. Money is hard to raise. 99% of the deals you get offered from mining companies are so bad that it is tantamount to giving properties away for free. the average is 1000,000 dollars spent to get a 95% interest. If they produce they will pay a net profits interest after ALL their money is paid back including ongoing financing money! This is NEVER paid back. Noranda has declared that in 20 years of mining Hemlo they have NOT YET paid the money back. Obviously this is a lie. Obviously you cannot deal properties that way and not have to sling hamburgers at McDonalds too. If you have to beg pretty please on bended knees you get nothing. I don't phone people. People phone me. Or I don't deal. My number is in my profile. The phone works. If I get an offer with our operatorship then I will consider it. Otherwise the companies can go to hell. I am not selling paper to let people put it in their inventory. We want a JV. We run it. Or investors. No partners please. Silent investors who want to make money while we mine gold for them, We know how. You have to mine your own gold, or you get robber. This raises a conundrum. I realize. EC<:-}