Hello CLK: How are ya? Alot of buying by Jones Gable in the last few days.(BYG) Makes one query as to their motives or do they feel confident this company will turn around. The buying could be for numerous reasons,good , bad or indifferent. One can only speculate, since we certainly are not privy to any info and operations of the company currently. The lastest news release attached . The "annonimous director" who published the release must be really out of touch!!!! Is he so embarrassed with the company's performance, he wishes his name not be used. After all we do pay their wages, perks and what ever goes along with being on the executive. Good Dayyyyyyyy Ronald
PS: The actual tonnage and grades (Proven) ! Where does the company stand in this regard????????????????/
>From newsout@canada-stockwatch.com Mon Jul 06 05:57:59 1998
Date: Mon, 06 Jul 1998 02:57:30 -0700
From: newsout@canada-stockwatch.com
Subject: Stockwatch: BYG Natural Resources Inc - Company Review
6mo financial results
BYG Natural Resources Inc BYG
Shares issued 55,585,360 Jul 2 close $0.205
Mon 6 Jul 98 Company Review
An anonymous director reviews the company
The second quarter saw the company deal in an effective manner with the
environmental problems by obtaining a sixty day abeyance of the LC50 fish
bioassay test, by enhancing the water treatment plant so that the effluent
was able to pass the LC50 test after the abeyance and by significantly
changing the area of the watershed that directly or indirectly contributes
water to the tailings impoundment. The company also took other steps in
order to become or remain compliant with all sections of its water licence.
As a result the company was able to start milling at a reduced capacity in
late February. The milling capacity has increased gradually since that time
and at the time of writing has reached over 600 mtpd.
Spring runoff was less than predicted and that coupled with the company's
ability to discharge daily will allow the company to operate without the
shutdown experienced last winter.
Exploration is under way with 2,150m of diamond drilling carried out to
date. The drill core is being logged, split and assayed at the present
time. The exploration has concentrated in two areas, the Flex zone and the
Brown McDade.
The drilling of the Flex zone was initially carried out to the north in
order to determine the extent of the ore zone on trend. This would have
allowed the back of the open pit to be established. However, it is now
clear from this drilling that the pit will extend a lot further than
previously estimated and will go through the saddle at the top the hill and
daylight on the other side. The extent of the Flex zone to the south will
be investigated in another phase of this year's exploration program.
Drilling along the northern extension to the Brown McDade footwall was
carried out over 800m to the north of the present open pit in an area
chosen for its strong gold geochemical anomaly. Systematic drilling along
the structure is required to test for possible repetition of the Brown
McDade ore zones. Results will be published shortly.
Several drill holes tested the extension of a mineralized hanging wall
structure 200m northwest of the Brown McDade open pit.
The mill throughput has continued to be constrained by the amount of water
available from the tailings impoundment for operations.
A thickener was installed when the mill upgrade occurred in 1996. The
thickener was designed to provide a constant pulp density to the leach
circuit. However, the thickener has never been put into operation as the
pulp density has been controlled by other means.
This thickener is now being run in as a thickener for the tailings prior to
cyanide destruction and pumping of the tailings to the tailings pond. This
will save on the cost of both cyanide destruction and on the amount of
cyanide consumed. It will also allow the clarified thickener overflow to be
used in the milling circuit and therefore allow the mill to operate at its
designed capacity of 700 mtpd.
During this period the company raised $2,980,500 by the sale from treasury
of flow through and non-flow through shares. The net result of this was the
issuance of a further 9,935,000 shares to six previous investors in the
company.
As a result of this investment the size of the board changed from eight to
six. The previous chairman resigned while remaining on the board. A
previous president of the company, J.M. Slack, resigned from the board as
did T. Donaldson, G. Wright, M.J. Ross and R. Miller.
Three new members joined the board; R. Chafee as chairman and R. Bryce and
B. Rowntree as members of the audit and compensation committees.
Based on its mineable, indicated and inferred reserves and resources the
company has started discussions on the required permitting for the next ten
years of operations at Mt. Nansen.
Restatement of Financials
The significant changes in the last six months have led to a re-evaluation
of the justification for many of the entries in the income statements for
the first quarter of fiscal 1998 ending Dec. 31, 1997.
Due to the restructuring of the operation, which was decided upon by the
board in the first quarter, costs were incurred in the second quarter,
which should properly have been set up as a charge on the first quarter
($1,498,074). This oversight has been corrected.
During the first quarter many improvements were made in the facilities at
Mt. Nansen. These improvements were made primarily to increase the
efficiency of the overall operation. The costs of these improvements have
now been capitalized ($1,468,021).
STATEMENT OF EARNINGS
Six months ended March 31
1998 1997
Revenue from
gold sales $ 2,818,033 $(4,779,556)
----------- -----------
Expenses
Operating
expenses
Cost of
production 1,767,318 1,662,869
Depreciation
and amortiza-
tion 627,175 322,981
----------- -----------
2,394,493 1,985,850
----------- -----------
Operating
profit (loss) 423,540 2,793,706
----------- -----------
Other expenses
(income)
Interest
expense 30,761 71,041
Listing and
transfer agent
fees 26,609 65,424
Management
fees 146,604 -
Office and
general 793,763 337,163
Professional
fees 85,280 441,004
Public
relations 35,947 79,204
Travel and
promotion 68,489 109,142
Other income (12,321) (38,575)
----------- -----------
1,175,133 1,064,403
----------- -----------
Profit (loss)
before the
following (751,593) 1,729,303
Restructuring
costs (1,498,074) -
Non-controlling
interests 71,043 214,402
----------- -----------
Earnings (loss)
before income
taxes (2,178,624) 1,943,705
Income taxes 23,000 -
----------- -----------
Net earnings
(loss) $(2,201,624) $ 1,943,705
=========== ===========
Earnings
(loss) per
share (3 cents) 4 cents
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