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Gold/Mining/Energy : Hecla Mining(HL) -- Ignore unavailable to you. Want to Upgrade?

To: dwight vickers who wrote (204)	12/30/1997 6:46:00 PM
From: Terrence Von Holidae	Read Replies (2) \| Respond to of 629

Dwight: Speculation about BMG as a candidate for consolidation into another has existed for sometime; the same speculation exists for Hecla. The potential, though, remains, as both of these companies have attractive resources and low operating/recovery costs. A major producer, in an industry consolidating at historically low valuations for their assets, would indeed be shrewd to purchase those while the moment exists. Homestake purchased Plutonic Resources at a discount of nearly 65% to its capitalization at the beginning of 1997. It would be foolish not to expect similar transactions to take place elsewhere. Both Hecla and Battle Mountain Gold, at today's metals prices, are attractive at twice their current trading levels of the past days. So, while I do not anticipate anything happening, nor would I be surprised should it occur. Additionally, issuing debt to secure assets is a cheap affair by all measures, and not out of the question for any resource company with better operating credentials. Yours, T.V.H.