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Gold/Mining/Energy : SOUTHERNERA (t.SUF) -- Ignore unavailable to you. Want to Upgrade?

To: gemsearcher who wrote (3077)	4/24/1999 3:12:00 PM
From: Peter Bourgeois	Respond to of 7235

Hello Phillip, Good detective work. We all know that Suf is on the record, looking for deals and properties. If Suf is indeed bidding on this mine, it might fit well with their other projects and enable the company to grow further. I do have a concern though with growth. The stock exchanges are full of excellent companies who tried to grow too fast and ended up owing so much money and being spread so thin that they blew it. At present Suf owes nothing, but large amounts of cash would be needed to develop any potential mines in the NWT. The Platinum mine will also need a substantial cash infusion. Angola, more cash before it starts making a profit??? Cash will be required to fund exploration and potential mines in South America. The M1 cash cow is in all likelyhood getting stretched pretty thin. Banks will at least for now, lend Suf any funds required for projects. However as we all know if things go sour even for a short period of time, no matter the reason they will call back loans. That is usually when the dominoes start to tumble. I do not believe for one minute that Suf is overstretched at present but I think that they should take a pause and concentrate on bringing a few more of their projects on stream before committing to many more ventures. Just my two cents worth. Canadian dollar up yesterday so now worth one and a bit cents. Cheers !!! Peter