Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Northgate Exploration Limited - TSX: NGX; AMEX: NXG -- Ignore unavailable to you. Want to Upgrade?

To: tyc:> who wrote (4)	3/1/2004 7:41:35 AM
From: Northern Marlin	Respond to of 148

The company has estimated capital costs to get Kemess North up and running as follows: 2005 $53 mil US 2006 $73 mil US According to the 2002 annual report 38,182,338 of those warrants don't expire until 12/28/06. If they were all exercised I believe the company could accomplish the startup of Kemess North from the proceeds and cash flow. It's interesting that Mr. Douglas didn't mention the warrants in his e-mail reply. As to whether the dilution of almost 40 million more shares is already built into the stock price I don't have a ready opinion. Since the company just turned profitable in 3Q 03 their trailing 12 month EBITDA, P/E, and cash flow numbers are much lower than they will be in a couple more quarters. Earnings estimates for 2004 range from .08 to .22, so there seems to be a lack of consensus even though management has shown they can estimate production quite well. Phil

To: tyc:> who wrote (4)	3/12/2004 8:27:37 AM
From: Northern Marlin	Read Replies (1) \| Respond to of 148

In their 3/11/04 press release NXG announced that Brascan bought 1,500,000 shares through warrants. Northgate also announced today that Brascan Financial Corporation ("Brascan") exercised 1,500,000 common share purchase warrants to acquire 1,500,000 common shares of Northgate at a price of Cdn$0.84 per common share for gross proceeds to Northgate of Cdn$1,260,000. The common share purchase warrants were issued to Brascan in 2000 as consideration for advisory services and financing provided by Brascan (then Trilon Financial Corporation) in connection with Northgate's acquisition of a 95% Royalty interest in the Kemess Mine. biz.yahoo.com So, that leaves 38,182,2338 warrants exercisable at Cdn$3.00 until 12/28/06. I wonder how to go about learning who owns those warrants... Phil