Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : United Keno Hill, UKH, Toronto**** Opportunity Knocks! -- Ignore unavailable to you. Want to Upgrade?

To: igor who wrote (996)	6/24/1998 2:41:00 PM
From: Harry K	Respond to of 1348

This was their previous, old style of mining, and due to the high grade of the ore, it was profitable. Sounds like it may be under consideration again if financing is hard to come by - they may do it to raise the money THAT way. I'm not sure what would be involved in switching over from this to current mining methods. Actually, if this option were considered, the stock should move even more, since less debt or dilution would occur at the outset anyway ... I note that other silver miners, like Avino Silver & Gold Mines (ASM-V), Silver Standard (SSO-V), and Pan American Silver (PAA-T), are down even as silver itself remains in the $5.00 -> $5.35 range [currently around $5.24 ...], but they may have also been affected by Gold's drop of ~ $2.00 around noon today ... Stay tuned as I dig into this ... H.K.

To: igor who wrote (996)	6/26/1998 8:52:00 PM
From: Harry K	Read Replies (2) \| Respond to of 1348

Spoke to Keno's SP this afternoon. He says Dynatec is doing its own detailed planning of operating the minesite, and at the same time, they're both having ongoing discussions with financiers! And things are progressing - slowly, primarily because of current market conditions and sentiment ... The whole thing should come together by end of July, I'm told. Re: your question of high-grading for awhile, I'm told Dynatec's style is to go into an orebody for the long haul! It's not likely the high-grading rumour has any substance to it - but then, in these troubled times, when no one can predict for certain when things will turn around, who knows for sure?? And yes, it IS feasible to change mining methods mid-stream, as long as one isn't too far committed in one method. SP said he'd love to go in there long-hole, but then, it depends on what Dynatec comes up with. The mining decisions are being made by a committee of four - two from each of UKH and Dynatec, so neither one can run off with some hairbrained scheme! Meanwhile, the mining sector is getting its ass kicked; resource-based mutual funds are shutting down or merging, or broadening their investments into other non-mining sectors; junior mines and exploration companies are beginning to merge to stay alive (well, look at UKH and NDU lately - and the other day, Holmer Gold Mines [HGM] and International Canalaska [ICA], decided to merge!) On the other hand, inventories are dropping rapidly, mines are closing or cutting back, the supply side is in full retreat! This can't last indefinitely - the longer this lasts, the more violent the recovery will likely be! I mean, life goes on! We're all still here - along with the Indonesians, the Thais, Cambodians, Philipines - we all need a roof over our heads, food, toasters, cars, bicycles, infrastructure - it's the olde mining cycle in one of its downturns. My figuring is things should begin to recover this September! (Stuck my neck out there a bit! Ouch!) Harry K. ...