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 : Precious and Base Metal Investing -- Ignore unavailable to you. Want to Upgrade?

To: E. Charters who wrote (29048)	4/10/2004 2:50:08 AM
From: Salt'n'Peppa	Read Replies (1) \| Respond to of 39344

Thanks EC. Someone on Stockhouse MOA board gave me the same tutorial. Wish I'd checked here first! Copy/pasting your message would have saved me some time. What is your opinion of these NFLD results & 40 km strike length, as well as the staking of a lot of surrounding land by RIC? Cheers, S&P

To: E. Charters who wrote (29048)	4/12/2004 10:28:39 AM
From: Salt'n'Peppa	Respond to of 39344

A very juicy article on Etruscan released to us peons today... This was included in a report from Frank Veneroso He says that the Youga property alone is worth more than EET Current Market cap.! ********************************************************** Page 5 April 7, 2004........... "Etruscan has changed radically over the last year or so. We believe that these changes brought about by the very capable management team have added significantly to the value of the company. During that period, the company acquired the Tirisano diamond project, the Youga gold project and the Agbaou gold project. 1) Tirisano is located approximately 100Km west of Johanesburg, South Africa. The project contains extensive ancient streams beds and flood deposits that overlay “karstic” limestone. Karstic limestone is characterized by deep fissures and sink holes that formed by millions of years of exposure to ancient rainfall. Historically, the single most productive sinkhole that was mined in this area was “Cowpers Pothole” which yielded in excess of 2.3 million cts of diamonds with a value in the many hundreds of millions of dollars. Etruscan has built a pilot plant that has yielded numerous extremely high value gem quality diamonds. Initial processing difficulties have been overcome and a second stage operation is planned. Because of the difficulty of estimating reserves in alluvial diamond projects, it is not possible to calculate an accurate NPV for the project. Estimating diamond reserves remains challenging given the erratic nature of their occurrence. However, geophysics and detailed field mapping over the company’s large land package has provided strong supporting evidence for the existence of multiple buried stream beds and sinkholes that are believed to be diamondiferous. If the recent recoveries of high quality diamonds in identified gravels can be sustained, this diamond operation could become a major cash flow generator. 2) Youga is located in South Eastern Burkina Faso and was purchased at year-end 2003 from Ashanti. The project reportedly contains some one million ounces of gold in both the reserve & resource categories. It is at full feasibility stage and has already received a mining permit. Our estimate of the NPV of Youga exceeds the present market cap of Etruscan. Youga was developed by Ashanti during a period of considerable internal corporate turmoil. The deposit suffered from poor management and insufficient funding. Etruscan has focused heavily on the geology and for the first time has developed an accurate geologic model of the deposit. The company has initiated a diamond drilling campaign to properly assess the size and economics of the deposit. Initial drill results have been very encouraging and we believe that the deposit’s value could greatly exceed the current one based on Ashanti’s feasibility. 3) Agbaou is located in South Central Cote d’Ivoire and was acquired directly from the government of Cote d’Ivoire. Because of potential turmoil in Cote d’Ivoire, the country has been virtually abandoned by the mining industry. Etruscan has acquired 100% of a million ounce deposit in full feasibility. Because of political risk, we have given it an especially large discount in our valuation work, but it significantly adds to Etruscan’s upside. In addition, Etruscan has several exploration joint ventures in Mali, one of which is delivering promising drill results. Overall, based on its existing gold reserves and resources, the company sells at a 60% discount to NPV at $400 gold. This involves a severe discounting of the Cote d’Ivoire reserve and attributes no value to the diamond project which could become an important source of cash flow. ......" ********************************************************