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To: Walker who wrote (14391)	12/16/2002 5:51:50 PM
From: Broken_Clock	Respond to of 14427

Bailed on WMB at 2.66 i didn't like the lack of follow through today. Went long on PDG. They've made a big acquisition in Australia and actually have a decent P/E for a major miner. they are expecting somewhere around a buck next year. Note that the release below was 11/11/02. Gold is now predicted to hit $360 next year. My 2003 target for PDG is $17-20 but I'll likely try to trade in and out. NEM and ABX have huge hedge books(NEM is 6.5 million ozs. hedged) so their production is limited is price for awhile. biz.yahoo.com Press Release Source: Placer Dome Inc. Placer Dome to increase gold production in 2003 Monday November 11, 6:01 am ET VANCOUVER, Nov. 11 /PRNewswire-FirstCall/ - Placer Dome Inc. is forecasting a dramatic increase in its gold production next year, according to company President and CEO Jay Taylor, who is on a North American investor tour this week. In 2003, Placer Dome expects to produce 3.5 million ounces of gold, up from the 2.5 million ounces forecast for this year, due primarily to added production expected from the acquisition of AurionGold. Placer Dome's shareholding in AurionGold now stands at more than 91%. Placer Dome intends to compulsorily acquire the remainder of AurionGold and will seek delisting of the company's shares. The compulsory acquisition process typically takes approximately 2 months to complete. ADVERTISEMENT According to Taylor, the company expects to remain very robust in 2003, generating $450 million in cash flow from operations, or $1.11 per share, and operating earnings of $375 million, based on a gold price of $325/oz. Even at a gold price of $300/oz, Placer Dome would generate cash flow from operations of $350 million, or $0.86/share, and $275 million in operating earnings. The company expects unit production costs to rise slightly in 2003 as a result of the fair-value accounting treatment of the production gained from the AurionGold transaction. In 2003, cash and total costs are expected to be approximately $185/oz and $255/oz respectively, up from the $182/oz and $230/oz costs expected in 2002. "We are now seeing the successful result of the long-term growth strategy we have been pursuing. By optimizing our existing assets and making quality acquisitions like AurionGold, Placer Dome is growing, and doing so profitably. We are the best positioned gold equity among the senior producers. With the completion of the AurionGold acquisition, approximately 70% of our gold production in 2003 will come from Australia and North America," according to Taylor. "In addition, we expect to report increased reserves at year-end when we release our financial results for 2002," he added.