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 : byg -- Ignore unavailable to you. Want to Upgrade?

To: stockman who wrote (731)	9/23/1998 12:32:00 PM
From: Al Cern	Read Replies (1) \| Respond to of 769

ROBERT E. CHAFEE 2 Pheasant LaneEtobicoke, Ontario M9A 1T2 Chairman and CEO of B.Y.G. Natural Resources Inc., President of Antamex International Inc. This was from the ORI proxy form, he is nominated for a directorship of the co. As I understand it he has been one of the longer term investors in BYG. I don't know how many shares he owns, but he was a major participant in the last tranche in April, which got him his title. I was told that he was/is in the trucking business? BYG needs $5,000,000 just to clean up its balance sheet. It also needs money for pre-production costs, relating to mining a new zone, and further exploration. The amount of shares issued will be huge, well over 50,000,000, which will easily put control of the co. in his hands. How the TYG situation will be handled, I haven't a clue, but I suspect a lot of the $1.6m owed to them by BYG will evaporate. Then more shares of BYG will be issued to bring TYG back into the fold. The TYG minority shareholders should of course be furious about this and should launch a lawsuit, but they wont. At the end of this the 150,000,000 or so shares outstanding will reverse split probably one for ten. BYG has no identified economic reserves, that I know of. There have been no mining permits issued, for any new zones, and there is no indication whatsoever that the Flex Zone or any other drilling targets have produced an economic ore body. Mr. Chaffee may have different information than I do, but he may also be taking the gamble that he will find a motherlode that will pay off. He will need luck and deep pockets if he is to succeed. The mill is soon to become non-operational (no feedstock), and with winter on the way, it will be shut down for a prolonged period, adding to the costs mentioned earlier. The only way this wont happen is if the Flex Zone is economic, and approved for mining. Even then given the nature of this ore body (multiple narrow veins) it will not provide the same cheap source of feedstock as did Brown McDade. What is clear to me is that the stock price will suffer either way. A refinancing with its huge dilution will bring the share price down. Inaction will of course result in bankruptcy. Sincerely, Al Cern