To: john who wrote (14779 ) 11/14/1998 2:30:00 PM From: Kool Guy Respond to of 34075
Well, I'm finally up to date with all of the gossip regarding the 8k and I just wanted to address some issues regarding the BD verification. Before we go any further, can everyone please do me a favor and close your eyes and pretend that each and everyone of us is a "player in the BIG game". That's right, we're all Major league hard ball players who know how to play hard ball with the BIG boys (minor leaguers, please leave the room) !!! Now, pretend you're a CEO, or even a CFO, hell even a controller would do. Furthermore, remind yourself of the stakes of the BIG GAME. A lot of money has been put into this venture and you can get a 10,000,000 share stake in the game for almost nothing if you can keep the company cash solvent and prove the reserves. Now....with that in mind, you realize from past experience that verification will be needed from BD and that it will be expensive. How do you proceed? How would any prudent individual proceed? The answer is very simple. You would first contact BD and arrange for a verification on selected properties. You realize that verifying Guido's 6.4 million grams would be cost prohibitive, and being the "player" that you are, you would never put your entire bet on one play of the hand. You realize that a two step approach is appropriate. You....albeit not a geologist or miner, realize that two issues need to be resolved prior to expending the funds necessary for a full blown verification (i.e. verify Guido's assertions). 1. Is there significant gold minerialization in them thar hills? 2. Can it be economically extracted based on todays POG? So you contact BD and request a limited scope verification of the properties. And of course there will be a bi-lateral contract drafted. BD says they will do this and that, and you say would will pay them this and that for the services rendered. BD tells you that for this price, we will not be able to verify the 6.4 million grams, and you say fine. But you MUST answer the above 2 questions, because based on your (BD's) answers, I will decide whether to proceed further or to stop everything now. Furthermore, If the gold is there, My lenders will not lend unless these questions are answered to their satisfaction. Now with all that say let me digress. My pappy (he always wanted us kids to call him "the King") used to always tell me.......He said "Kool.....talk is cheap in the BIG CITY!!! but actions and deeds....well they say it all" Well this applys here. And all we need to do as shareholders to get the answers to the above two questions is "follow the money". If GE pays the money to get a full blown verification......then its because they have already been informed that the gold can be economically extracted and that it is significant!!! But.....If they stop now, well I think we all realize why (and it won't be because the Erickson's are out of money or because they're afraid to issue more shares). So, what we all need to do is wait and see if the verification will be expanded. That the key....it's the kicker.....it's the "deed/action" we're looking for. Finally, If the answers to the above to questions are positive......dilution will not be an issue. As far as the SEC is concerned......I bet it will just be a slap on the wrist if anything. As always, IMO Kool Guy