Gulf Marine Services Share Discussion Threads

[smileymiley] 22/1/2002 14:40

In mail today :- Gold Mines of Sardinia (13 1/2unchanged) is starting City presentations following friday's news that Canadian mining giant Barrick is speeding up developement of the pair's joint venture on the Italian island. GMS compares mineral-rich Sardinia's gold prospects with Australia's New South Wales. Barrick is sending in geologists on Fenruary 1 and drilling is expected to start soon.

[smileymiley] 18/1/2002 00:52

In my haste I have put the wrong epic in - anyone know how you change it? Sincere aplolgies.

[smileymiley] 18/1/2002 00:50

LONDON (AFX) - Gold Mines Of Sardinia Ltd said it and Barrick Gold Corp unit
Homestake Mining Co of California have finalised an agreement containing options
to enter into joint ventures which will accelerate GMS's exploration program in
Sardinia.
The group said it believes the recent Sardinian discoveries may result in
the delineation of a "significant", new gold province and it is optimistic that
the Sardinian prospects would result in a multi-million ounce gold resource.
Under the deal, Barrick has the option to joint venture two areas in
Sardinia. Under each joint venture, Barrick would, if the option is exercised,
fund 100 pct of all costs until completion of a feasibility study.
If both options are exercised the joint ventures would cover up to 142
square kilometres, GMS said.
GMS chief executive Paul Chare said: "The joint ventures with Barrick would
greatly assist our exploration efforts due to the considerable financial and
technical support and result in bringing any commercial discoveries to
production in a shorter timetable."
The first joint venture option is to explore and if warranted develop a 42
square kilometre area surrounding the Monte Ollasteddu discovery in eastern
Sardinia where an intensive rock chip and channel sampling programme has been
completed by the company over a 30 square kilometre area.
GMS said Barrick also have the option to joint venture a second area,
exercisable by Dec 31 2002 and that it may select an area of up to 100 square
kilometres, excluding the Monte Ollasteddu Area and the Furtei and Osilo gold
projects, for a 55 pct interest.
shw
NNN

[smileymiley] 17/1/2002 13:39

Hectorp - it is difficult to assess from the rns as to what timescale we are talking about? Any ideas?

[hectorp] 17/1/2002 13:25

- excellent news at last, we just need the Italian Army to let them get on with it. ( no doubt this is prompted by all the activity the majors have been doing carving up the world resources)
- I wonder if BOTH the 42km ( Olu) and, 100, sq km area ( new?) are subject to the 55% level of interest from the partner?
It is clear that Mount Olu is going to come up with some mills of oz resource in due course. If GMN remain 55% partners in a working mine WHILE CARRYING THE COSTS then GMN are quids in.
However I'd expect the percentages to be renegotiated after the 'exploration' period was completed ( presumably up to 'indicated' resource?)
if GMN are left with 20% free carry of a several million oz resource after that stage then GMN stock is worth holding onto.