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Gold/Mining/Energy : Precious and Base Metal Investing -- Ignore unavailable to you. Want to Upgrade?

To: Condor who wrote (29149)	4/17/2004 11:28:12 AM
From: Stephen O	Read Replies (1) \| Respond to of 39344

First Quantum produces some cobalt through its 17% ownership of Mopani. It also has an exploration play called Lufua that had a drill hole with over 0.60% Cobalt plus 2% or so copper. This was first drill hole assayed for cobalt andd now they are reassaying all the holes for Cobalt. RBC has put a $7 value per share for Lufua. A resource estimate, further drill holes and cobalt assays will be out soon.

To: Condor who wrote (29149)	4/17/2004 7:10:56 PM
From: E. Charters	Read Replies (1) \| Respond to of 39344

poihnt six a goodly grade. It abound only in veins I do not own. poihnt two is goodly 2. Specially if you have nuff ov it. Yes they did have IR to beat Aimee Macpherson, but if you have ever had need of IR, you would probably think that was a good thing. Their operation was serious, and their mine was ok grade and operations capability. BUT ---> During a minor Cobalt tailing craze in the late 90's they took on a debt-nut that got onerous for two compelling reasons. 1. metal prices fell and stock fell with them. ( They could not finance themselves out of debt. ) 2. the government, both feds and provincials - got crazy about tailings discharge, bringing out new legislation, making the Cobalt tails in Canmine's new Cobalt, ON operation not compliant. Meeting compliance standards proved difficult. (Water discharge from mines now had to meet BETTER than provincial drinking water stanadards! ) It was going to cost them downtime AND as much money as they had spent on the mill to date. (5.3 million ) AND there was no guarantee they could meet the grade. The Tech boom pulled all the money out, and the cash flow. Not enough was on the table to start a new mine on the Werner-Rex break, so they closed doors before debt got too onerous. EC<:-}