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Gold/Mining/Energy : GOLD-XAU -- Ignore unavailable to you. Want to Upgrade?

To: IngotWeTrust who wrote (1102)	1/15/1998 4:13:00 PM
From: Janice Shell	Read Replies (2) \| Respond to of 1756

Ole-- It'll be interesting to see whether anything happens. Rainsford's begun doing a lot with implied volatilites; purely technical, no astrology there. His OEX calls are nearly always right. The only problem is that the index doesn't usually move enough to ensure a reasonable profit. Today he advised selling the OEX, and it woulda worked, but even so, -3.11 isn't gonna make you very much unless you put on a fairly big play. Anyone interested, see astrikos.com Janice

To: IngotWeTrust who wrote (1102)	1/16/1998 6:40:00 AM
From: lorne	Respond to of 1756

Results indicate gold oversold Friday,January 16,1998 By BARRY FitzGERALD in Melbourne The case for the Australian gold sector being oversold continued to build yesterday, with the Northern Territory gold operations of the Normandy group reporting cash margins for the December quarter of $378 an ounce. Normandy NFM (formerly North Flinders Mines) reported production from its operations in the Tanami region for the period was 50,948 ounces, down modestly from 51,573 ounces previously but at a reduced cash cost of $240 an ounce ($257 an ounce). Gold sales for the quarter were 49,559 ounces (51,371 ounces previously) at a net average realised gold price of $618 an ounce ($593 an ounce), leaving the big cash margin. The company, owned 75 per cent by Normandy, said its hedging positions stood at 792,475 ounces at a weighted average of $619 an ounce. North Flinders was not included in the Normandy group mergers last year because of opposition from minority shareholders, including Societe Generale with 11.5 per cent. Perilya Mines said yesterday it was on the lookout for acquisitions after a bumper December quarter gold production effort boosted its cash holdings to more than $18 million. The company said it had "never been in a stronger position" and was "looking at a number of situations where we can use our resources to take advantage of the current climate" to accelerate its growth. The group's Fortnum mine came in to its own in the December quarter with gold output rising 38 per cent to a record 28,425 ounces, due mainly to rise in grade to 2.98 grams of gold a tonne. Cash operating costs improved to $308 an ounce. Production for the December half was 49,007 ounces, up by 49 per cent. Fortnum's operating cash surplus for the half was $10.4 million. Cost measures in response to the gold price slump have begun to tell on the production performance of Central Norseman Gold. The group, owned 50.4 per cent by WMC, reported yesterday that gold output from its Norseman operations in WA fell 14 per cent to 35,355 ounces in the December quarter. The company said although cost-cutting measures meant production would be lower, the cost of production would be at a substantially reduced cost. It did not specify costs for the quarter but did detail reasonable price protection from hedging operations for the period 1998-2002. That protection prompted the decision earlier this month to pay a special dividend of 10c a share on January 23 to shareholders registered on January 7. The group's shares closed 3c lower at 34c. Meanwhile, the resource base at WMC's Meliadine joint venture in sub-Arctic Canada has been reported to stand at 3.23 million ounces. The company is expected to confirm the figure in its December quarter report.