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

To: Tom Frederick who wrote (9151)	2/17/1998 12:30:00 PM
From: Alan Vennix	Read Replies (2) \| Respond to of 20681

Tom, LS Capital (CHIP) has an analysis posted on their web site done by Jay Taylor (as a consultant to them, not as an analyst of the stock) which estimates recovery cost of only $4/ton head ore. The process is standard (this is not a "desert dirt") mining and concentrating of the surface deposit. Jay, at that time, only considered gold recoveries, albeit at somewhat higher levels than reported in the latest PRs. I used Jay's analysis method, substituting in the latest reported gold and silver values, including the sensitivity to doubling the recovery costs. The results look very attractive. CHIP expects to invest some $1.4 MM over the next few months to bring the property on stream. If they are successful they should realize a positive cash flow during the second half of 1998, with impressive levels of cash flow in 1999 and beyond. My analysis is posted at: exchange2000.com Alan