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Gold/Mining/Energy : Mountain Lake Resources Ltd ( MOA) VSE -- Ignore unavailable to you. Want to Upgrade?

To: Angelo who wrote (305)	4/29/1999 2:27:00 PM
From: Peter Bourgeois	Respond to of 598

Hi Angelo, We all have stories like that. I owned NPA, same story, delisted. I am not suggesting that you should buy MOA, I own a bunch or what I consider a bunch for a small investor and I have owned this stock for a number of years. All Junior Resource Companies are high risk but they have the potential to make a lot of money if they succeed. The best one can hope for is that management is honest and that they have good properties. IMHO I believe that MOA has both. Management is honest, the properties have yet to be proved. You must do your own DD. Cheers !!! Peter

To: Angelo who wrote (305)	4/30/1999 9:26:00 AM
From: Peter H.	Respond to of 598

Angelo...to process alluvial gravel the cost is approx. $250 (U.S.) per 100 tonnes. At Klipgat it would be reasonable to expect 1.5 carts/100 t. These are excellent gem quality diamonds and price per carat is expected to be $450 U.S. This is based on the quality of diamonds mined to date on the site and adjoining properties. So...for every 100 t. $450 x 1.5 = $675 U.S. minus $250 U.S. --------- $425 U.S. per 100 t. profit Now the Klipgat property is one concession in a group of six adjoining properties. There is an absolute minimum of 10 million tonnes of alluvial gravels here, perhaps twice that with all properties combined. The operator expects to reach full scale mining in mid September of this year to produce just over 900 carats a month. The agreement Mountain Lake has with the (new) current operator is to receive 15% of gross diamond sales. So..... 900 carats x $450 U.S. = $405,000 U.S. Mountain Lake share x 15% = $ 60,750 U.S./ month Now the other alluvial diamond project is what was known as the Mountain Ash property. It consists of three adjoining properties. There are 34 million tons of gravel proven here. The diamond grade is as good and perhaps slightly better here. But lets say its the same. So using the same figures the income will be approximately the same or if you wish the property could yield close to $200 million U.S. over its mining life. Fifteen percent to MOA brings in $30 million U.S. Remember too our costs are nothing -- the operator bears all operating costs. Of course nothing is guaranteed. What we do know is the properties do hold high quality diamonds and we do know there is a lot of alluvial gravel there. Will the grade be consistant throughout? Will the price of diamonds hold? Will they have enough water to process? These are questions which add to the risk and noone can answer. I have been holding MOA for a long time and believe they have an excellent shot at making these properties pay. We have suffered through many delays in the past two years but am now hopeful that the worst is over and mining can progress relatively unhindered. I like the odds on this one. Starpoint ... too cold for getting on the water but should be painting the boat in the next few weeks.