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

To: Claude Cormier who wrote (2557)	2/5/1999 3:54:00 PM
From: tanoose	Respond to of 3282

Hello Ray/Claude; I doubt it would take much for the Lundin's to now get the bid back to original asking, which I think was $6.75, that would fall into a nice tidy sum for these placees??.........or even the original private offer of $5.50 for that matter?? With the $5.00 offer, the minimum risk is $500,000 downside, with a possible gain of the same if ABX came back with their original offer?? Besides they know the floor is $5.00, so the downside is completely covered?? It is a complete big money play at that point?? With regards,Frank

To: Claude Cormier who wrote (2557)	2/5/1999 5:32:00 PM
From: LaFayette555	Respond to of 3282

Claude, re 'The chances are excellent they will get a quick (?) return' exactely to the point my freind

To: Claude Cormier who wrote (2557)	2/7/1999 9:33:00 AM
From: Shirley Owen	Read Replies (3) \| Respond to of 3282

Hi Claude and RaytheReaper, This was not a brokered placement but a NON-brokered private placement to Lundin himself. When you read in the NR that the PLACEE was Lundin, that means that the treasury issued and sold an additional 2 milliom shares at $5.25 to Lundin himself. It also means that he had to put up $10,500,000 to pay for them. That's a lot of money! He probably did this as a defensive measure, by increasing the share cap, therefore making it more expensive for ABX to buy the 51%. It also means it dilutes the stock some more, but it's a technique often used to try and ward off a hostile takeover, or at the least, to make it more costly, and therefore less attractive. In this case, though, the Barricuda has deep pockets, so if they REALLY want it, ultimately, they will have their way, unless ARP can get a competing bid going. As for Lundin, he has a couple of choices after buying the P.P: he can either stick the shares in a safety deposit box (not smart) or he could cross them in the market and either keep some, and disperse the rest into the market, or he can keep them all himself if he feels really confident about the potential of the property. He obviously has the money to do either. When you see Salman sold 278,000 and bought 278,000, that was probably a cross of some of the PP. As a matter of fact, if you look back over the last few days, you may see more crosses of large amounts, also you could see what appears to be short sales, which are actually part of the PP being deposited and then dispersed to various houses, either for purchase by the house, or for them to sell to potential buyers. I see Bunting was in the market buying, and I understand they do a lot of the buying for ABX, and it seems to me that I heard Salman does also. Don't know if this is an absolute, but have heard it many times. Be interesting to see how this plays out! Tell you one thing, it would seem to me that it would be foolish to sell out now....there is very little, if any, downside and the possibility of a lot of potential on the upside. Cheers Shirley