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Gold/Mining/Energy : Mongolia Gold Resources -- Ignore unavailable to you. Want to Upgrade?

To: Bearcatbob who wrote (3218)	2/25/1999 10:22:00 AM
From: Trevor R. Teed	Respond to of 4066

Hi Bearcat: I am entertained by Doug's positive attraction to MGR and even more amused by your negative fascination with MGR. I recognize the difficulty Dave Webb endures each time he posts to SI and I respect how he adheres to his principals. I admit MGR shares are undervalued, particularilly when its mining properties are reviewed. The Bumbat mine, its mill and other MGR Mongolian properties are very attractive. MGR also holds a 50% interest in a past silver producer with great future potential in a world reknown silver camp in Canada's NWT. MGR also holds 4,000,000 million shares in Alberta Star Mining Corp although MGR is also suffering. All in all, these holdings are good. and MGR has little debt. By comparison to Royal Oak, MGR is sitting in an attractive position and its assets should provide interest and potential for an upswing in share value. There is little debt, the usual company killer. It is an unfortunate time to be a shareholder in several public companies and although MGR is near the bottom in value, its properties and its directors should generate a resurgence. Keep the thread alive. Trevor

To: Bearcatbob who wrote (3218)	2/25/1999 2:00:00 PM
From: Dave R. Webb	Read Replies (1) \| Respond to of 4066

Bearcatbob You have every reason to be skeptical. Skeptics are what keeps dreamers and visionaries in check. In the early 1980's I recall hearing about some gold discovery on the Trans Canada highway. Exposed in a rock-cut of all places. Supposedly this place near Hemlo had once been explored by a major Canadian mining company. In the early 1990's some wild-eyed dreamer from Kelowna B.C. made some preposterous suggestions that diamonds could be found in Canada's north. Unbelievable, given that larger, better financed companies hadn't found anything, and in particular, a company synonymous with diamonds had been exploring for more than 30 years hadn't found anything. The find was located right on the winter-road route to what was at the time, the NWT's largest gold producer. Unbelievable. You've mentioned (somewhat sarcastically, but accurately) that if Bumbat is as good as we say it is, then everyone else must be missing the boat (or train). I guess that this is what made the buyers of most low priced shares that go up happy. They are willing to take a greater risk, and receive a commensurately greater reward. Unfortunately, it doesn't always work. I'm not about to provide a 100% guarantee about Bumbat, however I am willing to invest my time, my money, and to a large extent my reputation. Because I'm using investor's funds as well, I am willing to provide details of past projects that I've been involved with, and to inform the public when I buy and when I sell. As a director I accept personal liabilities for payroll, taxes, and environmental issues. I have personally guaranteed corporate debt in the past. I'm risking much more than money, and I am willing to give Mongolia my best shot, and make it work. What keeps the big guys cool about Bumbat is that it is a small mine. It doesn't have the potential to produce a quarter million ounces of gold per year. There are in fact many mines that can produce gold at lower costs than Bumbat, but for the most part they are even smaller operations. Bumbat's production is modest by design, but also potentially very profitable. The future of MGR is not inexorably linked to Bumbat, any more than American Barrick Resources planned to make the Renabie Mine their corporate centerpiece. Mines are generally short-term production facilities that must recoup the invested capital and provide a reasonable rate of return in what is generally designed to be a 5 to 15 year life.