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Gold/Mining/Energy : Naxos Resources (NAXOF) -- Ignore unavailable to you. Want to Upgrade?

To: mark silvers who wrote (8496)	1/23/1998 2:08:00 PM
From: Tom Frederick	Read Replies (1) \| Respond to of 20681

Mark, is the run on the gold price due to the news items referring to some companies cutting back production and a number of mines having been closed in the last year, finally impacting real production volumes? You know, economics 101, low supply, higher price? Another point I would appreciate your thoughts on... Knowing that Naxos management is now under no obligation to cease trading, I have not seen a percipitous increase in trading volume (more specifically selling that would drive the price down dramatically). There is not any large volume trading going on these days, so any volume selling would have a significant impact. With this in mind, Naxos management is now in the position, with all information in their hands to do one of two things - get out or move forward. If they believe there is little chance of real recovery of commerically viable amounts of precious metal from FL, they would be best off to keep all activity to low cost functions, hang on to as much as the recently aquired private placement money, slowely and carefully start to sell off and get out with a nice profit for 9 years of work for no pay. On the other hand, if they are fully convinced after many years of research and the top names in the business testing and retesting the ore of FL, the only logical move is to continue to invest in every necessary support function to prove up what they have. Bringing up Mr. Norton to get his feet wet at FL and the operation as a whole is a very strong sign that they are supremely confident that the final proof is close at hand. Otherwise why take him off what is currently a profitable venture which I suppose does need ongoing management? Giving material out to a wide variety of testing facilities again is a highly confident move. My feeling at this point, and here is where I would appreciate your thoughts, is that Naxos is acting like a company that has only one goal in mind...to expose the hard cold facts of what exists at FL with endeniable proof from top experts...whatever that reality may be. And this would only be done from an extremely solid position of strength. We already have COC, certified results well in excess of industry averages for Au at the property. We do not have all the details at this point, but I think my point is very relevant and speaks volumes about the position of those who know much more than we do, and have much more at stake than we do. Your thoughts would be appreciated. Thanks in advance. Regards, Tom F. P.S. I may not be here to respond, we are getting pounded with snow today and I may be out of here soon. I'll check your reply later!