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Gold/Mining/Energy : PolyMet Mining Corp POM.V (was Fleck Resources) -- Ignore unavailable to you. Want to Upgrade?

To: Pete Mimmack who wrote (529)	10/7/1998 9:01:00 PM
From: Jacek Nowak	Respond to of 708

Director Resignations, Appointments And Financing POLYMET MINING CORP ("POM-V") - Director Resignations, Appointments And Financing Donald W. Gentry, President & CEO, on behalf of the Board of Directors of PolyMet Mining Corporation announce the resignations of Mr. John P. McGoran, Director/Chairman, Mr. Luard J. Manning, Director, and Mr. John A. MacPherson,Director. The company expresses its sincere appreciation to these gentlemen for their past contributions to the organization. PolyMet Mining Corporation is pleased to announce the appointment of Messrs. Peter Steen and George Brazier to the Board of Directors. Mr. Steen is well-known in North American mining sectors. From 1985-1992 he served as President and Chief Executive Officer of International Corona Corporation. Following the merger with Homestake Mining Company, he served as President and Chief Operating Officer of that company from 1992-1994. Subsequently he became President and Chief Operating Officer of Lac Minerals in 1994. Mr. Steen in presently President of his own mining consulting company and serves on the Board of Directors of several organizations, including Stillwater Mining Company, Dynatec Corporation, Beutel Goodman Precious Metals Fund and Tiomin Resources, Inc. Mr. Brazier is a senior partner of the law firm of DuMoulin Black which specializes in mining and securities law. PolyMet Mining Corporation announces the granting of Director and employee incentive stock options on 200,000 shares, at a price of $1.15 per share, which is higher than the average closing price of the stock over the last ten trading days. The granting of stock options is subject to approval of the Vancouver Stock Exchange. Corporate management believes the interests of the company and its shareholders are best served by consolidating all operations and decision making in one location. The company's Vancouver presence will be reduced, and all operations and reporting functions transferred to its headquarters office in Golden, Colorado. Limited staff will remain in Vancouver to assist with financing and investor relations activities. The Company has entered into an agreement with IPO Capital Corp of Vancouver to offer for sale, on a best efforts basis, one million units at $1.00 per unit. Each unit will consist of one share and two one-half non-transferable Share Purchase Warrants, Series A and B. One Series A Share Purchase Warrant will entitle the holder to acquire one Common Share of the Company for $1.20 within eight months of the closing of the Offering. One Series B Share Purchase Warrant will entitle the holder to acquire one Common Share of the company for $1.20 for a period of 30 days upon notification by the Company. Notification will occur within two days after the tenth consecutive day that the closing price for the Company's stock is at least $1.75. The Series B Share Purchase Warrants will expire in any event within eight months of closing of the offering. The reverse circulation (RC) drilling program at the company's Dunka Road Project was completed on September 25, 1998. The total program, designed for the collection of mineralized material for metallurgical testing purposes, consisted of 14 holes and 6365 feet of drilling. Assays from the last 12 holes are expected soon, with results to be released immediately upon receipt. Lakefield Research Laboratories in Brampton, Ontario is expected to commence the production of concentrate and related testing October 30, 1998. This news release was prepared by Donald W. Gentry on behalf of PolyMet Mining Corp., which is solely responsible for its contents. TEL: (800) 221-9492 Vancouver office TEL: (877) 233-4831 company headquarters in Golden, Colorado INET: www.polymetmining.com

To: Pete Mimmack who wrote (529)	10/8/1998 1:36:00 PM
From: Shaun M. Dykes	Read Replies (1) \| Respond to of 708

Thanks for the comments. Its good to have reality check. One quick answer to your question , YES. Not in terms of ounces produced, but in terms of profit. Dunka Road would definitely be more profitable than either Voisey Bay or Stillwater should everything go well. A few points to clarify. Because of its huge size the Dunka Road deposit does contain more total nickel and platinum than VB and Stillwater. Currently there is at least 500 million ounces of PGM's in the deposit. This is in the total resource. However at even the best production rates it will not produce 1 million oz's of PGM per year, unless they get some higher grades. Dunka MAY get up to 600,000 oz PGM/year. The wide variety of metals contained in Dunka Road give it a tremendous advantage, especially during low metal prices, and lookout should metal prices recover. Stillwater is an excellent deposit and should continue to mine profitably, but it is dependant on the price of PGM's. Also it should be noted that the cost to produce those 1 million ounces/yr at Stillwater will be substantially higher than at Dunka Road. Which is a better investment 1 million ozs/ yr that cost $225/oz to produce or 400,000 oz at $40/oz? PGM prices is where I get a little nervous, especially for palladium. I've been a long time fan of Platinum, it's actually my favourite metal. I have spent a lot of time in Russia and the PGM resources in the ground are several times larger than anything we have over here. Secondly the Russians are holding on to control of these resources and not letting foreigners into the deposits. The good thing is that they can't get the PGM's out of the ground efficiently. This all means a shortage of supply and therefore good prices. However it is only a matter of time before these resources are exploited. So in the short term (2 or 3 years) PGM prices should be good. Voisey Bay is also a tremendous deposit, the best found in a long time. But if you add up the total value contained metals in the resource, Dunka Road and its vicinity are worth more. I believe that is MAYBE what the article is trying to say, though these articles tend to over promote the point. I'd also like to point out that measuring using contained metal is fine, but you have to get it out of the ground. Due to its size Dunka Road would probably start production at 60,000 to 75,000 tons per day before expanding in a series of stages to 150,000 tons per day. This is how a major mining company would approach the development of such a deposit. Because of the size of the deposit and the surrounding area, this mine would last over 25 years and would produce a profit of between $100 million and $300 million per year depending on production rates and operating costs, etc. It is fair compare Dunka Road to Voisey Bay and Stillwater but which is actually better is difficult to say. I'd gladly take any one of them and to be honest once you have a deposit of these types it does not really matter which one is better. In the long term IF everything goes well Dunka Road will make more profit/yr than Stillwater and about the same or better then Voisey Bay. The keys to Dunka are the size and the grade of the deposit. This puts Dunka on par with some of the largest , most profitable mines in the world, mines like Grasberg (Papua New Guinea) or the Highr grade (>1%CU) large copper mines of South America. Finally, I have always liked polymetallic deposits as these tend to be the types of deposit that can survive almost anything the economy can throw at them. Historically, these tend to be the longest lasting and more profitable mines, providing they can produce the metals for operating cost that fall within the top 25% of producing mines. Hope this well Help. Shaun.