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Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers -- Ignore unavailable to you. Want to Upgrade?

To: loantech who wrote (27936)	12/17/2006 8:50:19 PM
From: LLCF	Respond to of 78424

But it's trading for .17... so just sell it. -ggg- DAK

To: loantech who wrote (27936)	12/17/2006 9:45:21 PM
From: GoldBull no bug here	Respond to of 78424

Stan, tax loss, gold selloff, might be lots of reasons for QEE to get hammered, but I also wonder if some players are involved... Queenstake Looks For Golden Sale Mergers & Acquisitions Report 2006-10-16 By Joshua Hamerman Six months after $18.5 billion market cap Newmont Mining Corp. acquired a 9.4% holding in Queenstake Resources Ltd., the latter is on the block. On Oct. 4, Queenstake, a $140 million market cap gold mining and exploration company, announced it is pursuing strategic options and retained Rockwater Capital Corp.'s Blackmont Capital Inc. subsidiary as its financial advisor. Denver-based gold mining giant Newmont received its Queenstake shares in exchange for providing the small mining company with $10 million in a private placement. Queenstake owns and operates the Jerritt Canyon District property, located 50 miles north of Elko, Nev. The property includes two mines and a mineral processing mill and has produced 7.5 million ounces of gold since 1981. Queenstake is based in Denver but incorporated in Canada's Yukon Territory. A company spokeswoman told Mergers & Acquisitions Report: 'A big part of the gold sector is frequently scanning the landscape and looking at possible partnerships and synergies that can benefit shareholders.' She declined to discuss buyer interest or a data room, saying, 'We're not going to comment until we have something to comment on.' She said there is no time frame attached to the review process. Newmont managing director of merchant banking, David Harquail, did not return a call. An analyst who covers Queenstake said the company is likely considering alternatives other than a takeout, such as divesting all or part of its mill. When asked about possible buyers, the analyst, who requested anonymity, responded, 'There would be a lot of buyers for this asset,' such as Newmont, U.S. Gold Corp. and Kinross Gold Corp. However, buyers would be more interested in Queenstake's exploration assets than its production operations, he said, because 'the production is high-cost and doesn't make much money now.' The analyst added, 'I don't think any of those companies are interested in operating a small mine that's capital intensive.' Chad Williams, one of the Blackmont bankers advising on the Queenstake review, declined to comment. Queenstake's largest shareholder is Toronto-based Sprott Asset Management with 17.7%. Toronto-based Blackmont, meanwhile, is currently advising another microcap mining business-C$45 million market cap Copper Canyon Resources Ltd., whose sole asset is the Copper Canyon property, located next to NovaGold Resources Inc.'s Galore Creek deposit in British Columbia. During the second quarter, Queenstake earned $700,000 on $32.2 million in revenue, compared to a loss of $5.6 million on revenue of $15.8 million in the year-prior period. The company mined 274,961 ounces of gold in the quarter, compared to 337,209 ounces in the second quarter of 2005. (c) 2006 Mergers and Acquisitions Report and SourceMedia, Inc. All Rights Reserved.