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Gold/Mining/Energy : Bema(Bgo) and Arizona Star -- Ignore unavailable to you. Want to Upgrade?

To: John Soileau who wrote (8018)	10/27/1997 9:55:00 AM
From: virginijus poshkus	Respond to of 10482

John, i fully believe placer has purchased the property knowing full well that they have only upside ahead. once and if the gold price rebounds we can have a move in bgo as well as ecm, who will now be the focus of bgo efforts. right now we are in a time frame where pdg will probably prove up a lot more gold along the properties involved. also, look at it this way, what othe gold deals have been announced since gold swooned to $307, no major ones that i can think of. so you have to take what ever comes along, if you think it can help your company going forward. pdg gets a grass roots property and bgo saves cash and can move ahead at refugio and venezuela. overall this is a plus deal to be involved with pdg. secondary to this, does this mean that pdg is giving up on las christinas? vargas

To: John Soileau who wrote (8018)	10/27/1997 9:56:00 AM
From: the Chief	Read Replies (1) \| Respond to of 10482

What does this all mean!!!! It appears PDG has JV'ed WITH AZS and BGO for expenditures of about $800,000,000 they get 51% of Cerra Casale production. BGO/AZS then split(49%) the remainder, 49/51% . The sale of the BGO/AZS shares at $7.50/$6.20 doesn't seem to be impacting the market. AZS is up a nickle and BGO about .10 cents !!!! So am I missing something here ? Has the market looked at this as being a reduction of 5,000,000 ozs of gold for both BGO and AZS and are not considering any benefit to the advancement of this project ??? I am confused, for the 83rd time on Bema !!!! the Chief

To: John Soileau who wrote (8018)	10/28/1997 1:35:00 PM
From: charred	Read Replies (1) \| Respond to of 10482

John; As I said early, Bgo will have to dulite their interest significantly. After this deal BGO will hold directly and indirectly a little over 30% interest. With 15 million ounces X 0.30 they have 5 million ounces X 50 = 250 million market cap. Their shares are worth between 4 to 6 dollars only based on the speculation that Placer Dome will place property in prduction. Placer has in the past written down their properties. Mt. Milligan for example. Placer won't make that mistake again so they offer Bema this deal. This deal favors Placer Dome. Bema management probably wanted all cash and not wanted to issue any shares. Placer probably wanted shares or no deal. Now Placer if they don't like t he project they can dump these shares on the market. There was no choice for Bema's management. Placer probably said if they were going to pay then give us shares. All Bema's management did was that they saved their own necks. John who do you think got the better deal and why? I wait for your answer.