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Gold/Mining/Energy : Pacific Rim Mining V.PFG -- Ignore unavailable to you. Want to Upgrade?

To: DeplorableIrredeemableRedneck who wrote (11006)	12/31/1998 7:24:00 AM
From: David R. Schaller	Read Replies (1) \| Respond to of 14627

Darren, this is from the PR Argentina Gold released regarding their reasons for rejecting Barricks "unfair" offer. I extracted just a small section which tells volumes about dealing with the Barrickuda. - In July 1998, Barrick attempted to take operatorship of the Veladero Project away from Argentina Gold by unjustly claiming that Argentina Gold has forfeited its rights to operatorship under the joint venture agreement relating to the Project. The claim was successfully defeated by Argentina Gold. - During the months of August, September and October of 1998, Barrick attempted to negotiate a takeover of Argentina Gold while the trading price of the Shares was near its 52 week low. - While Barrick was not prepared to complete a private placement with Argentina Gold when Argentina Gold required funding to satisfy its share of the exploration budget for the 1998/98 exploration season of the Veladero Project, the day after Argentina Gold announced excellent results on the Amable target at the Veladero Project, Barrick approached Argentina Gold and stated that it was now prepared to complete a private placement at the then market price of the Shares. - Newmont completed the private placement within 72 hours of Barrick's offer at a 23 percent premium to the price that Barrick was prepared to pay. Barrick's reaction to the Newmont private placement was to immediately acquire, through market purchases, 2,105,700 Shares representing 5.9 percent of the outstanding Shares. Barrick subsequently made additional purchases to increase its Share position in Argentina Gold to 9.9 percent of the outstanding Shares. When Argentina Gold retained Newmont as a consultant to the Veladero Project concurrently with the completion of the private placement, Barrick's reaction was to issue a letter to Argentina Gold containing unreasonable demands by Barrick relating to the provision of information regarding the Veladero Project which was required to be provided by Argentina Gold to Newmont in order to allow Newmont to discharge its duties as consultant. - Barrick strategically made the Offer, at a price substantially below the price that Barrick had previously offered to pay during negotiations with Argentina Gold, over the Christmas and New Year's holidays period during which Barrick knows that Argentina Gold shareholders will have limited time to properly consider the Offer and during which it will be difficult for other potential bidders to react. It looks like ARP has had about six months of getting down & dirty with this "world class" company. But, I'm sure they wouldn't jerk PFG around. Regards, Dave