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.

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

To: Mr. Oil who wrote (3023)	3/1/1999 7:10:00 PM
From: Tony from Niagara	Read Replies (1) \| Respond to of 3282

The article is not available on the Globe and Mail website, at least upon cursory examination of today's offerings. I took the paper to work today and will post the article (or its relevant passages) tomorrow. IMHO it is of appreciably greater significance when an executive of a competitor (with Cdn $900 MM (?) in cash for purchases of minnows) comments favourably upon a takeover (although contrary to ARP's talk, it was implicit in his comments that ABX was the preferred/only (?) suitor), than when an investment advisor or a newspaper columnist offers his or her opinion. It should also be noted that the article was relatively more favourable to ARP than recent Globe and Mail coverage, which tended at times to disparage ARP's ability to withstand or outwit ABX. Regards, Tony

To: Mr. Oil who wrote (3023)	3/3/1999 4:46:00 PM
From: Tony from Niagara	Read Replies (2) \| Respond to of 3282

As requested, here's an extract from the article by Peter Kennedy in the Globe and Mail's Report on Business of March 1, 1999 SMALLER GOLD MINERS EXPECTED TO POST BEST GAINS, ANALYSTS SAY Takeover activity seen driving share prices Forget about senior gold stocks. Analysts say the big stock market gains to be made in the industry this year will be generated by small and mid-sized companies that wind up as the takeover targets of growth-hungry mining giants. Just because major companies like Barrick Gold Corp. and Placer Dome Inc. have been on a feeding frenzy lately, gobbling up junior miners like Sutton Resources Ltd., doesn't mean they have lost their appetite for acquisitions, analysts say. They say North America's largest gold miners are anxious to boost their gold reserves and production by acquiring promising properties while bullion prices remain close to 20-year lows and stock prices are cheap. "This process is only getting started," said David Harquail, senior vice-president at the Toronto-based Franco-Nevada Mining Corp. group, which includes Euro-Nevada and which has a combined $900-million in treasury waiting to be spent on acquisitions. …. "All of the action is going to be in the mid-tier stocks," said John Ing, an analyst with Maison Placements Canada Inc. in Toronto. …. Rather than being accused of paying too much, after raising its takeover offer to $5 a share from $4, Barrick recently abandoned its bid for Vancouver-based junior Argentina Gold Corp., and its 60-per cent stake in the Veladero gold project in Argentina. …. However, because Argentina Gold shares shot to $5.65 from $2.44 on the Vancouver Stock Exchange before Barrick decided not to increase its offer, investors who bought in early still made substantial profits. Argentina Gold closed at $4.36 on Friday, up 26 cents. Because Barrick is Argentina Gold's partner in the Veladero project, but only owns 40 per cent of the property, industry officials say Barrick may return with another bid. The only way for Barrick to become the operator on the lucrative project is for it to take over Argentina Gold. "I still think that Barrick will buy it," said Franco-Nevada's Mr. Harquail. "They will offer to pay a bit more so that both companies can call the transaction a win-win situation."