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

To: Terry Swift who wrote (8706)	12/17/1997 9:17:00 PM
From: Ken Benes	Respond to of 10482

Terry: Normally that principle would apply, low price, high risk of takeover. During recent times, because of the depressed price of gold, the seniors having experienced their own price depreciation, were more interested in hunkering down and riding out the bad times by consolidating their operations. With an improvement in gold prices, companies like Barrick, Neumont, etc will jump in value well ahead of the juniors. If gold prices appear to have bottomed, these companies will utililize their wealth to acquire the weakened companies that have been battered during the price break. Bgo was very vulnerable during the summer and early autumn after its price had declined to a greater extent than many other gold companies for all the reasons that have been stated on this board. After the deal with Placer, and the colapse of the POG, they were out of danger. Should gold prices improve, they again might be in danger of a takeover, albeit, with the PDG deal this is not likely. That was my reference to Clive becoming anxious. I still have a position in BGO that I will sell at the right opportunity. For a new investor in these companies, I wholeheartedly agree that BGO does present a trading opportunity. To the investor who bought into this company during the past year and a half, he will be lucky to be made whole in the foreseeable future, and to the AZS shareholder, he has already been tossed to the lions and his only salvation is a dramatically higher gold price(375.00+) and with that it is debateable how high this company can go. All in all not a pretty picture except for a very clever trader. Ken