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 : DIAMONDWORKS DMW.v -- Ignore unavailable to you. Want to Upgrade?

To: gypsy who wrote (155)	12/30/1998 7:07:00 PM
From: Kevin Hamlin	Read Replies (1) \| Respond to of 413

I picked up a few more today as well. As annoying as Octagon is, they are creating quite a buying opportunity so I won't complain too much. :)) I've bought into other stocks that were fund selling, and when the selling ended there was always a strong move to the upside. The intensity of the Cannacord buying today was encouraging as well. Hopefully Octagon will evaporate soon...only one day left for U.S. tax loss selling! Kevin

To: gypsy who wrote (155)	12/30/1998 11:58:00 PM
From: Kevin Hamlin	Read Replies (1) \| Respond to of 413

FURTHER INFORMATION FROM DMW: Here is the list of questions I posed today to DMW, and again, their prompt and realistic resonse. Interesting reading!! MESSAGE: Dear DMW, Thanks for your very prompt and realistic response to my questions! Very refreshing! I have a few more questions for you. 1) I believe I read that financing was needed to "get the mine operational again". Is there a specific $$ value needed to do this? <<< 1. We are looking for US$2 million; however, this number is not firm and is a "ballpark" figure only.>>> 2) Assuming the mine was running fine prior to the attack, what in specific would these costs relate to other than enhanced security measures? <<<2. I am not sure of your question.>>>> (In hindsite, I think the startup costs are in reference to the enhanced security, i.e., there are not other costs, making the question useless) 3) A hypothetical question for you. Considering the current fighting in Angola, if the security measures were complete, would the mine in fact open or is the current level of fighting and it's location enough to keep the mine closed? <<<<3. Considering that we continue to operate the Luo mine, I do not believe that the current fighting in the central part of the country would deter us from reopening the Yetwene mine.>>> 4) Can a news release be expected stating that the security measures are completed, separate from an announcement that the mine will be re-opened? <<<4. I do not believe so. Firstly, I do not believe that it is a material announcement and, secondly, we do not want to disclose in any detail our security improvements to bandits or rebels.>>> 5) Is the statement that the mine should be re-opened by the end of January still on track, or has it been adjusted forwards or backwards for any reasons? <<<<5. No change to our plans at this time. We will likely have a better feel for the timing during the week of Jan. 12th>>> 6) Can you give a brief update on the Sierra Leone situation. Anything progress there at all? (Different country altogether where the mine has been closed for approx 1 1/2 years. I'm not focusing on this area or mine at all...just a general curiosity) <<<<6. Update on Sierra Leone with reference to the Kono/Koidu area: Text of report by Sierra Leone News web site on 26th December Minister of Information, Communication, Tourism and Culture Dr Julius Spencer said Saturday [26th December[ that Freetown was calm, and maintained that the security situation in Sierra Leone was firmly under the control of Ecomog [Economic Community of West African States Cease-Fire Monitoring Group] and other security forces. "As far as [the] government is concerned, we remain faithful to the position adopted by the UN Security Council with respect to the conflict in Sierra Leone, which is to simultaneously pursue the military option and dialogue," he said in a press release. Spencer said that despite media reports to the contrary, "Makeni town is in the hands of Ecomog, although there are continuing rebel attacks on the township. With regard to Kono, no military occupation has been established in the area by the rebels. Rather, the area was invaded by marauding gangs of illegal miners, among whom are rebels. This situation is being addressed by the security forces." Spencer said that of the 12 districts in Sierra Leone, the rebels were known to operate in parts of only three. "It is also important to stress here that the rebels are currently under severe pressure in the eastern part of the country where they have their main base," he said. "All other parts of the country are calm and secure." (c) BBC Monitoring Summary of World Broadcasts. BBC MONITORING SERVICE BBC MONITORING SERVICE: AFRICA 30/12/1998>>>> 7) I notice on your webpage that there is a map reference to some interest in Venezuela, but can find no further information on it. Is there some place else I should be looking? <<<<7. We have been negotiating a sale of our Venezuela properties for nearly a year. We concluded an agreement in principle last week for the properties to be sold, and have removed the reference to the properties from our website. As the properties are not considered "material", we have not press released it. We had not been active in Venezuela since 1994. It was costing the company about US$200,000 per annum in maintenance costs.>>> 8) I notice that some of your other interests around the world are requiring cash infusions of their own to remain valid. Are these in jeopardy at all with the Angola siutation? <<<<8. Not at the current time>>>> Regards, Kevin

To: gypsy who wrote (155)	12/31/1998 12:17:00 AM
From: Kevin Hamlin	Respond to of 413

I think the best information by far in the email I received from DMW was #3!! <<<<3. Considering that we continue to operate the Luo mine, I do not believe that the current fighting in the central part of the country would deter us from reopening the Yetwene mine.>>> I totally overlooked this! THEY ARE STILL OPERATING A MINE IN ANGOLA EVEN WITH THE CURRENT FIGHTING!! This moves the idea of opening the Yetwene mine forward several BIG steps in my mind as they are showing that it is in fact possible to run a mine in the midst of fighting in other parts of the country. This isn't just some "dream" of the company. They are doing it now and showing it can be done!! Furthermore, I would assume that this mine would also be providing a source of cash flow for the company. Take a look at what they've been pulling out of the ground here!! (I know this chart will appear a little jumbled, but look close. A GREAT producing mine!) From their Fiscal '98 production at the Luo Mine only: Fiscal 1998 Month Carats Largest Diamond (carats) Dec 97 2658 13.35 Jan 98 6023 50.29 Feb 98 5871 19.97 Mar 98 6835 21.72 Apr 98 5573 35.10 May 98 5011 33.86 Jun 98 4104 232.6 Jul 98 3583 Aug 98 3467 Sep 98 3899 Oct 98 5329 Fis 98 52,353 232.6 Still a tough situation over in Angola, but I'm growing more confident in the possibility that this mine will in fact reopen....and with the anticipation of this...a greatly increased shareprice! :))) Kevin