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

To: easyeric who wrote (2413)	1/31/1999 1:59:00 AM
From: Gord Bolton	Respond to of 3282

I think that you are worrying too much about the PP when you should be celibrating. There was a meeting on Thursday between some of the Lundin's companies including SCQ who hold a large percentage of stock in NAN. I believe that NAN has a big chunk of cash in the kitty. The other large shareholder in NAN is Boliden who will in all likelyhood be purchasing some recent NAN developments in Sweden. I would be willing to bet that NAN took some ARP shares from Adolf and when the trade clears and Adolf has the cash he will take out the PP. This war has only begun. Barrick does not just want the gold on the Valadero. They want control of all the land claimed by ARP in the El Indio belt in Argentina. This may include multiple world class mines. Barrick has deliberately made everyone focus on a few drill holes on a few acres in their arguement that $4.00 or $5.00 per share is fair. They intend to pick up a whole very prospective mining district of over 1/2 million hectares that belongs to current ARP shareholders. Barrick can only do that if you give it to them. It would be much better to hold out and have Barrick pay more for that specific deposit and keep ARP alive with a big cash kitty to explore the numerous other prospects on their property. If we have two mountain side by side made out of silver and gold, how many more are likely to be found on ARP land? Barrick is betting on a lot more or they would be making a cash offer for the rights to mine the specific deposit instead of trying to take over ARP. ARP's assets are much greater than the gold inferred by the drill holes on the little patch of land drilled so far.

To: easyeric who wrote (2413)	1/31/1999 5:04:00 AM
From: Gunnar	Respond to of 3282

"With control they can load up the expenses to develop the mine onto ARP. Since they have control, they can charge ARP hefty engineering fees which their eng dept requires to develop this mine. The 49% shareholder gets stiffed." That is true. What is also true is that the same conditions remains for Barrick if they do not get control. Lundin have on the margin bought some 2 000 000 more shares. Suggesting both Lundin and Barrick knows the present picture of the owners standpoint in this matter, they did that because they thought that they could win the game and make some more money. Cet par, we now find Barrick near the edge in this chicken race. A new knight or a higher bid from Barrick? Who may now benefit the most from waiting? That is always a crucial question. The answer seems obvious after the recent drilling results. For the moment it seems that Barrick is the one that stands with the risk of getting into a corner as described above. Regards, Gunnar