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Gold/Mining/Energy : Royal Oak-RYO -- Ignore unavailable to you. Want to Upgrade?

To: JCgold3 who wrote (618)	12/29/1997 9:52:00 PM
From: Al Cern	Read Replies (1) \| Respond to of 1706

I posted some numbers a while back. The margin of error for RYO is very slim, even if they get their financing. The senior debt in question would be repaid at $0.10 on the $1, so there is very little risk, other than a prolonged bankruptcy process, for the lenders. RYO needs the price of gold to go up. Present prices won't see them through the next year. It will take all of 1998 to work in the mill, cash flow will not be great, their other mines will lose $6,000,000 (cash) at a minimum. Winning at business means being in the right place at the right time. Unfortunately, RYO is running out of time. Sincerely, Al Cern