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.

Technology Stocks : Xenolix Technologies (XTCI) 'Ecstasy'(Formerly MGAU) -- Ignore unavailable to you. Want to Upgrade?

To: Char who wrote (2722)	2/8/1999 1:12:00 PM
From: Chuca Marsh	Read Replies (2) \| Respond to of 5143

Anyone catch the R & D statement...yes that is the tune: Message From The President February 08,1999 "Greater than the tread of mighty armies is an idea whose time has come" --- Victor Hugo 1852 A quotation hanging on the wall in Dr. Al Johnson's Library caught my rapt attention. Although the idea for precious metals assay and extraction from refractory ore has been around for a long time, it now appears as though the time for fulfillment has truly come. In our opinion Dr. Johnson of Johnson & Lett is truly the front runner in the race for economic mining technology of non-conventional ore. Over the past five centuries the gold mining industry has had very few advancements in technology. In the mid-sixteenth century Agricola described man's early methods for recovery of gold as hand sorting, hammering, firing, stamping and milling. Amalgamation developed by the Spaniards was first used in Mexico and Peru. No other techniques were available for the California gold rush of 1849. Mining companies in Africa, during 1892, New Zealand during 1897 and South Dakota during 1899 milled gold ores in cyanide solution. Harquahala, Arizona and Getchell, Nevada were the first mining projects to utilize activated charcoal in collecting from the cyanide leaching process in the 1940s. In August of 1945, H. L. Hazen stated that "The most significant advancement in mining was that you could now win a profit from $2.10 gold ore". It is evident that we are still in the same frame of mind with a major mining company's latest efforts in Indonesia. An expenditure of 1.9 billion dollars to mine $9.92 gold and copper ore is not co-efficient with inflation. They will process 120,000 tons of ore per day to break even at today's deflated precious metals prices. The last significant advancement in the gold mining industry was the cyanide heap leaching process developed by the U.S. Bureau of Mines during the late sixties with first commercial applications in 1971. "Heap leaching of low grade gold/silver ores was pioneered in Nevada, where the first installations date back to 1971" Herkenhoff and Dean stated in the E&MJ June issue of 1987. By 1979 Dan Kappes observed that 11 of the 22 heap leach installations were failures. Low grade standard ores have precluded a shut-down of nearly every mining property on the planet. Millions of dollars spent on drilling out resources and reserves do not insure economic viability of the mining operation. A producing mining company with "a drilled out reserve" recently mined out at only 10.1% of the reserve calculations. Because of the marginal ore grades, capital costs of plant construction and large daily tonnage requirements their shut-down is inevitable. With a significant breakthrough in recovery of gold from refractory ore the possibilities of mining much less ore at much higher grades would produce economic viability with multiple profit margins. The seed of an idea that germinates from research and development needs encouragement and cultivation to go from a seed to a seedling and into a harvest. MG is encouraging and cultivating Johnson & Lett now to be able to reap a harvest in profits later. Our due diligence, assay and recovery work utilizing Johnson&Lett assay technology is part of our vision and goal to be able to identify the most probable mining target. The reason for our insistence on actual recovery of gold from refractory ore is in keeping with the vision and goals of MG. Assays are expenses not profits. Profits are only possible in recovery of precious metals from the actual mining of properties that we own, have claimed or lease. The MG press releases are material fact based on reliable, repeatable, reconcilable assay work done by reputable assay/analytical laboratories. We do not publish the names of the laboratories by a mutual agreement of confidentiality. To prohibit or discourage the advancement of technology in the mining industry is equivalent to stopping Leonardo da Vinci from dreaming of flight, the Wright brothers from experimenting with flight and America West Airlines from selling tickets. -------------------------------------------------------------------------------- For clarification regarding the press release dated February 4, 1999: We had already back calculated the concentrate assay numbers to a head grade and then simply averaged those numbers. We have included a table of those numbers and hope this serves to clarify the press release. assay opt/au head ore grade opt/au Concentrate #1 8.468 0.576 Concentrate #2 8.90 0.605 Concentrate #3 3.70 0.252 Concentrate #4 9.986 0.679 Concentrate #5 10.366 0.705 The average 8.284 0.5634 The total sample weight was 500 pounds of ore. The total concentrate weight was 34.846 pounds. Therefore to back calculate to a head ore grade we divided 34.846 by 2,000 and multiplied by 4 because 500 pounds is one fourth of a ton. i.e., Concentrate #1 - 8.468 opt/au X .017 = .0144 X 4 = 0.576 opt/au For the Directors Mike Amundson President and CEO MG Natural Resources Corporation