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Gold/Mining/Energy : JAB International (JABI) -- Ignore unavailable to you. Want to Upgrade?

To: Linda Kaplan who wrote (2161)	12/12/1997 1:58:00 AM
From: Dundee Maples	Read Replies (4) \| Respond to of 4571

Trip report Brush Creek Mine December 10, 1997 (This summary is meant only to give my impressions of my visit to Brush Creek, and is not meant to endorse, recommend, or otherwise promote the property - every individual must make up their own minds using the information that they gather. I am using my memory to pull together my impressions of what occurred and what people told me. I could and can make mistakes, but I am trying to be accurate and helpful- no grantees. Everything is paraphrase.) ( . ) brackets are used for my insert comments. Images couresty of the REDBARON members.aol.com I arrived in Grass Valley on Tuesday night December 9, 2997. Thanks to Martin Wormser, I had reserved a room at the Holbrooke Hotel. I spent the night enjoying the accommodations and the marvelous salon while going over Charger's notes and comments from others on the board. Grass Valley has turned into a bustling town since I last visited it quite some time ago. A 4 lane highway leads from highway 80 (a 4 lane interstate) at Alburn most of the way into Grassvalley. The next morning I went to the office (image 1), which Charger already described. I met with Mike Pickering who would be my companion for the day. He couldn't wait to show me the high grade ore that they had hit around pillar number 4. It was very impressive, as Charger has noted. It would definitely make into some powerful jewelry. I started asking questions for this point on and continued to do so throughout my journey. Never once, did Mike or anyone hesitate or avoid any question. I am impressed. (Remember I am not am expert in mining, but I do have experience in business). As we talked we started heading to the mine. Questions (Q) Answer (A) (Q) What is your average burn rate? (A) $250,000 to $300,000 a month. (Q) What your short term plan (3 months to 1 year) and what is your long term plans? (A) Our short term plan is to maintain focus on the Lower Brush Creek Mine, minimizing expenditures. We are presently working hard on the 5 year plan and in fact there is a meeting going on today concerning that plan. (Q) How many people do you presently have on the payroll? (A) 36 (above ground and below.) (Q) Tell me a little about yourself? (didn't really ask this, but the point got across) (A) I have lived and work in this area for over 30 years. I moved here in the 60's leaving a solid job in San Francisco. A definite culture shock, but it was good for the family and it has turned out well. I have worked in this field a long time and have worked with just about everyone in government and the mining business that have had a interest in this area. I know the local government officials very well and have a good relationship with them. This has helped us get the key permits for our company. I came to the company in 89, worked as president from 90-94, when I turned it over to Jim. I love the work and think we have great opportunity with the great properties that I have helped accumulate. (Q) Tell about your co-workers (didn't ask but we talked about it during the day) (A) Jim Chapin has been a great addition to the company. He came here from Connecticut because he believes in and loves the company. (I have trouble with names in the best of circumstances, needless to say I lost many in this conversation). (Mike listed much of the staff and noted their assets to the company. The key points for me were that they understood the importance of quality people at every level. It is always difficult going through 6 people to get one good one, but once you have them, life is much better.) While this conversation had been going on, had drive on a winding road. Soon we exited onto a gravel road and in moments we were at the mine. (Image 2 ) I think this picture makes it obvious that this is a working mine. We are looking directly toward the mine. The mine entrance is pretty much in the center of the picture. (yes I know you can't quite see it. If you had come you could have taken better pictures.) To the right behind the oil drum you can see where the put the ore once it comes out the mine. As charger noted the ore is held here until an assay is done. Good assay the ore is taken to the mill, bad assay ore is filtered and used on the roads. Nothing is wasted. We talked to Stan ______ the mine supervisor. I met the safety engineer. Stan explained the layout of the mine what was going on and the approach that they taking in regards to pursuing the veins. I wish I had the map layout because it would help tremendously in reconstructing this conversation. Their main efforts are focused around pillar number 3. But they have found some gold at the southernmost portion of the main tunnel which is also very exciting. ( I wish I had asked for a copy of that map!) Stan is a great addition to the team - Stan has been on board for about three months. We head into the shop. I meet 4 or 5 workers (heavy equipment driver, machine shop workers, troller driver). All are serious, all are working HARD. We loaded up on the train and headed in. On both sides in the early portion of the mine, you see nothing but timber - I has to be shored up to maintain its integrity. (Part of the hidden cost and work). Water, water everywhere and not a drop should you drink. We finally got into the mine many 1000's of feet and can to a stop. Stan showed me the old main shaft. The lower shaft goes down another 600 feet and is presently under water. (Even though Stan doesn't think it would take that long to pump it out.) We walk further into the mine. Stan points out the vein how thick and thin is gets and how it moves and twists as it move through the mountain. We stop at the entrance to the area leading to pillar number 4. 200 feet straight up into the pitch black water soaked darkness. Stan says not yet, because he wants to show me where they have found indication farther south in the tunnel. (thank goodness a repreive) Miners must fine the magic in the movements and somehow follow it to its sweet spots (not an easy task). Image 4 if you look hard you can see some white lines that indicate the vein lower portion of picture between the two beams. We get to the location. I shot picture 5 (image5) of Mike because I knew I would never sort out the shots by the rock formations and colors. We climbed up a short ladder where they found a sample. (wish I could remember the name of this southern most area But .) Stan explained to me how he would like to head towards number 4. A small effort in that direction would allow them to get information about this virgin area, which since they had shown gold over here, had the possibility of yielding positive results. I agree it is exciting, in my opinion more exciting than number 4 pillar. I like the idea checking virgin areas that give a indication/possiblity of results because that could open up a whole new area. (remember educated guesses are powerful). We climbed down and Stan pointed out areas that showed the thickness of the vein (he used other terms). Image 6 look hard for the parallel white lines. Then look back at image 4 and note how thin the distance between the white lines is. (Stan if you read this and I got it wrong for heavens sake correct me and I will fix it). Image 7 is very is to see the layers. If I remember correctly you often get gold in amongst the black mineral, sometimes (when your lucky) you wash it and you can see gold. Everytime Stan sits me down, he is explaining how the indicator minerals are showing up here and there. And how there lead you and tease you towards your objective. Greenstones, quatrz, iron, flods and bends, angle changes . all are important. You must pay attention to everything. You must learn each mine separately, you must learn what it is telling your and how it is talking to you. In some areas like number 4 pillar you start working around a halo. It lets you know you are getting close, but you don't know quite where it is. Image 8 shows Stan and Mike. An indicator picture allowing me to remember. I will work on this again tomorrow. Please note I have gained nothing but respect for the people I met at Brush creek. I am trying to relate my impressions and the understanding that I gained from my visit. I hopefully am recording it accurately. I worry a lot about the technical information that Stan, Mike and others tried to explain to me - if they wish to correct or modify any items I mentioned I would appreciate it. As in most cases when you are talking to experts they can explain things in such a manner that you can understand. But given your limited resources, it may be difficult for you to past that information on as cleanly as you would like. Thus is my situation. I will continue tomorrow if it pleases you.

To: Linda Kaplan who wrote (2161)	12/12/1997 9:36:00 AM
From: Charger	Read Replies (1) \| Respond to of 4571

Linda, thanks for your enthusiasm and encouragement. Christmas kinda getting in the middle here. Have to leave for the east coast in a couple of days and won't be able to function "normally" (or rather, well get back to functioning "normally"), no computer, no chat rooms, tea with granny, etc. Actually, it is a fun family and I look forward to it. Do visit the mine. (For the company's sake, I would try to get at least 2 others to go with you). Jim Chapin thinks it is a waste of time to come to the Jan. 8 board meeting as he says that all issues are more or less rote, already decided, already voted upon and, by law, they must meet with themselves immediately after the public meeting, so he cannot even be with us. Also, I think it would be difficult for him to free up staff other than himself to take 4 of us on a tour - and then what...the rest of us wait days (the next day four more visit the mine - that is their capacity right now, and the next day four more?) or do we force the company to rent a bunch of 4WD's just to take us up into the snow and January snowstorms? First week in January classically the worst weather all over the country. Linda, I want to be the first to know when you make a piece of jewelry from quartz gold from the Brush Creek mine - or any of the BCMD mines. How about a choker necklace? I tend to like rough eccentric stuff. I would like to contract this. Send me some pics of your work?