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Gold/Mining/Energy : ARP - V Argentina Gold -- Ignore unavailable to you. Want to Upgrade?

To: Elizabeth Andrews who wrote (1073)	11/4/1998 7:15:00 PM
From: waldo	Read Replies (1) \| Respond to of 3282

Argentina Gold [ARP.V]Market Consolidates on Good News Despite more good news, ARP closed down $0.04 to $3.11 on 2.2 million shares. However, having traded such good volume at these levels is a positive sign for the stock as it has yet to form a serious base since it began its rise from $0.50 approximately a month ago. A must read for Argentina Gold followers is the November Issue of Bunka's Outsider's Overture which just came out on StockHouse today (click here to view). Chris Bunka is one of the hottest newsletter writers right now, having had major wins on Napier [NIR.T] and, now, Argentina Gold. In this months issue, Chris Bunka analyzes what a potential take-over bid might be for Argentina Gold. All in all, whether you were lucky enough to have bought ARP below $1, this is an excellent indicator that the market actually cares! After nearly 12 months of malaise, the INSIDER REPORT was beginning to wonder if anyone cared anymore, but ARP has shown that if you can come out with respectable results that you can reap the rewards.

To: Elizabeth Andrews who wrote (1073)	11/4/1998 10:21:00 PM
From: Bill Jackson	Read Replies (1) \| Respond to of 3282

Elizabeth, making a thinner shape at about 400 M long and 250 wide and still 200 M deep gives somewhat less cubeage and stops at the drill hole as a limit. If you extend 50 on top and recall it is open to west and south we are getting there. Of course a bankable drill off at 25 meters would take 256 holes for total gridding and full infill, plus the extensions. As to bidders wars. Gold is low, Barrick has 40% interest and Newmont has a major position. the longer they wait the bigger it gets and if gold climbs up we it would get out of hand. So some kind of pre-emptive move will come. The newmont investment was no doubt some kind of dafety play to ensure some kind of fight and to forestall a fast $10 bid getting 51% tendered and ending it. I am sure any bid would be followed by a better bid and the war would be on. Bill

To: Elizabeth Andrews who wrote (1073)	11/4/1998 10:35:00 PM
From: waldo	Respond to of 3282

Elizabeth and Bill, good answer Bill...I will add to that later...my eyes were wide open immediately upon finding out that the second largest gold company in the world invested in a VSE company. From there it was simply a matter of seeking out the mystery buyers...something I forgot to do with AQP :>( Here is a good read for everyone....6 million oz. geological resource in Columbia....I made money on this one a while back...until Eagle & Partners papered it to death. >>Greystar Doubles Angostura Resource Estimate GREYSTAR RESOURCES LTD ("GSL-T") - Greystar Doubles Angostura Resource Estimate Greystar Resources Ltd. is pleased to announce that Mine Development Associates (MDA) of Reno, Nevada has calculated a preliminary geologic resource estimate for the La Alta, Veta de Barro, and Los Laches Zones at Greystar's Angostura Gold-Silver Project in northeastern Colombia. Although the resource estimate does not consider economics and is not a minable reserve, Greystar is greatly encouraged that the estimate in essence doubles the initial Angostura resource estimate published 30 September 1997. In making their estimate, MDA stated "that the (mineralized) zone is open and will expand." Cut-off Tonnes Gold Grade Silver Grade Contained Gold Equivalent Oz (Au g/t) (Millions) (g/t)(opt) (g/t)(opt) (Troy) 0.3 215.41 0.89 0.026 4.87 0.142 6,730,000 0.5 80.74 1.75 0.051 6.86 0.200 4,840,000 0.7 53.52 2.37 0.069 7.96 0.232 4,290,000 The database used to carry out the estimate includes 137 diamond drill holes (totaling 36 785m (120,600-ft) of core), as well as surface and underground samples. Areas in which there has been no drilling, such as the recently-sampled La Armenia concession or the newly-acquired Laguna Larga permit, are not included in this estimate. MDA has not yet made a site visit to verify data supplied by Greystar, and anticipates that their preliminary geologic resource estimate will be upgraded to the inferred category once a site visit has been completed. This estimate is part of a Preliminary Feasibility Study currently being conducted by KD Engineering of Tucson, Arizona, to whom MDA is a sub-contractor. Greystar Resources Ltd. is an emerging mineral acquisition, exploration, and development company whose Angostura Gold-Silver Project has an independently-estimated geologic resource of 6.7 million ounces gold equivalent (Estimated 3 Nov. '98 on the basis of 137 core holes drilled). Kinross Gold Corporation has stated that it owns 20.6 percent of Greystar. For further information, please visit the Greystar website at greystarresources.com TEL: (406) 245-9520<<

To: Elizabeth Andrews who wrote (1073)	11/4/1998 10:58:00 PM
From: Elizabeth Andrews	Read Replies (3) \| Respond to of 3282

Bill, for what it's worth here is where I believe we are at on ARP. Shares Issued 38.5 million Price $3.15 Market cap $121.5 million Property Interest 60% Property Market Cap $202 million Estimated Tonnes 18 to 20 million metric tonnes Average Gold Grade 2.16 grams per tonne (six holes) Average Silver Grade 50.9 grams per tonne Contained Gold 1.280 million ounces Contained Silver 30.2 million ounces Current in Situ value US$575 million Deposit type Probably an acid sulphate system Host Rocks Probably quartz monzonites, porphyryr, tuffs Alteration Silicification, quartz alunite Geophysics Shows resistivity but not all resistive rocks have economic quantities of gold Comments Obviously, based on the widths, this is a large gold bearing system. There is a deposit that Barrick owns a 90% interest in called the Pascua deposit. It is about 20 km to the NW. Pascua has a geologic resource of 175 million tonnes that grades about 2 grams gold and 59 grams silver per tonne, clearly a very similar grade. Barrick is planning on mining Pascua. It is a US$825 million development which will mill about 33,500 tonnes per day and produce about 800,000 ounces of gold per year. The top part of the deposit is oxidized but it will be milled not leached. Metallurgy is not discussed. Clearly, the ARP deposit has to get a lot bigger to support its current market cap. Hole 87 and other holes to the south of 85 are now very important. Best Case----The geophysical anomaly (CSAMT Resistivity) published by the company has a maximum size of 775m by 350m in plan. If the drill intervals average 160 meters thick then the zone can contain about 100 million tonnes. If the grade averages 2 gms and 50 grams of silver the depposit could contain 6.4 million oz Au and 163 million oz Ag. Holes 79, 81 and 83 appear to be very low grade and probably eliminate 25% of the potential deposit. This is also the widest part of the geophysical anomaly so about 50% of the deposit may be very low grade. My Conclusion. The property is a teaser. It may end up at 45 million tonnes grading 2 grams or about 4 million oz of Au equivalent. At current prices not economic (?). The speculator today is paying about US$70 per ounce in-situ. Salvation----Barrick hold 40% and Pascua is not far away. Once that infrastructure is paid off this may make sense for Barrick to develop. Who was speculating on the bidding war?