BTW has anyone been reading ANOTHER and FOA on USA Gold? Any thoughts on the merits of physical gold now re. mining stocks in the next year or so?

Any views on the legitimacy, logic, likelyhood of their positions?

-- Andy (2000EOD@prodigy.net), September 18, 1999

Answers

Andy,

Haven't read them, but do have comment on shares vs. physical.

I own a few shares in gold producers, but there is a y2k problem.

They are subjuect to the same production, labor, transportation issues as any processing company plus the ever present prospect of nationalization or confiscation by their respective governments.

Owning shares offers a greater leverage prospect at the expense of security.

Just my two cents worth.

-- Tom Beckner (tbeckner@xout.erols.com), September 18, 1999.

I have read most of their "thoughts" since they first began posting at USAGold in about September of 1998. They began talking in riddles, and even though printed out their posts for careful re-reading, I had difficulty in understanding what they were saying, as did many others who post/lurk on this forum. But now, I pretty well understand what they are saying, and believe them as do most (but not all) of the other posters. Most of their ideas have been pretty well summarized by Steve Hickel. Hickel posts at USA Gold as "SHickel". He has also compiled their ideas into two pieces which have been posted in the analysts/editorials section of Gold-Eagle as:

http://www.gold-eagle.com/research/hickelndx.html

As Tom posted above, it takes infrastucture to produce and market gold. For this reason and for the reasons discussed by Another/Friend of Another, I own mostly physical gold, plus a small percentage of leveraged South African mining stocks. I did own some Barrick and Newmont, but after Ted Butler came down on forward sales, I sold these shares.

I am concerned that while Friend of Another is no y2k pollyanna, he has stated that he doesnt believe things will be too bad, and this belief seems to be held by many of the posters and both USAGold and at Gold-Eagle.

But, if things should turn out as Another/Friend of Another believe the only financial protection is physical gold, with or without y2k. If the world reserve currency (there can be only one) is a gold backed Euro, then the debt backed dollar will be practically worthless.

Dave

-- dave (wootendave@hotmail.com), September 18, 1999.

the MASTER PLAN is working.---it,s SET-UP.read the book by HAL LYNDSEY.''the late great-planet earth''

-- flame-eater. (dogs@zianet.com), September 18, 1999.

Dave:

The more I read about America's debt, the less confidence I hold that the Federal Reserve Notes we carry will have value months after the stock market crashes.

Presently these paper bills have a perceived value, but it is based upon faith that others likewise share the same deceptive belief.

If the dollar bill becomes virtually worthless, then I predict Americans will barter for essentials as the Russians have being doing for years.

When I look at my crumpled, grimy dollar bills, I know that TP has more sanitary value than any Federal Reserve Note.

-- Randolph (dinosaur@williams-net.com), September 18, 1999.

Andy,

I am aware of several direct investment opportunities in gold mines.

At this time I do not have the resources to do so, but I know a few men that have bought old gold mines in Utah and are using new technology to win gold from the tallus (that is the loose rock) piled outside the mine. Perhaps direct ownership in a small operation is better than investing in NYSE, Toronto or Vancouver shares - if the market breaksdown the price and transactions are hosed but if you had ownership of real gold producing property than you should be in a much better position. I suppose the same to be true for oil and gas producing properties. I wish I had the capital to pursue producing property. BTW I saw some oil and gas property in Warren Cty, PA that was reasonably priced a few years ago - but I moved to SW Ohio and haven't followed up lately.

-- Bill P (porterwn@one.net), September 18, 1999.

Thanks to all, especially Dave - I will be reading all the ANOTHER stuff over the weekend. I am fairly familiar with the material, but have never read it in detail - I agree, it can be difficult to break the pieces down into a cohesive whole.

This is where Steve Hickel comes in :)

Thanks for the link, I had posted his first essay on this forum a while back, but I didn't know that he had updated it in August.

I have about 10,000 DROOY shares... which have been taking a beating, down to abou $1.5 each now... I have a bad feeling about all this, that's the bottom line. I already have some gold eagles - but I think on Monday I'm going to cash out the DROOY and buy another 50 eagles... the more I hear about the banking infrastructure, and the more I hear about the likes of G. Sucks tying up Comex, the more worried I become... I gotta follow my instincts here and forego the "greed" factor of making a killing with DROOY :) I'll keep some but not too much... win some lose some...

Thanks again to all - that's the beauty of this forum, so many knowledgeable and helpful folks out there in cyberspace,

Cheers!

Dave - if you see this, could you e-mail me privately? Thanks.

-- Andy (2000EOD@prodigy.net), September 18, 1999.

For those following this, here is an introduction to ANOTHER and FOA...

-- Andy (2000EOD@prodigy.net), September 19, 1999.

For those following this, here is an introduction to ANOTHER and FOA...

http://www.usagold.com/ANOTHERPAGE.html

-- Andy (2000EOD@prodigy.net), September 19, 1999.

Hey Bill,

that's a great idea, if you had the right contacts/partners... yeah, I could handle that :)

the downside is, if gold were to go ballistic, the mine would no doubt be nationalised...

-- Andy (2000EOD@prodigy.net), September 19, 1999.

I thought processing tailings was an energy intensive milling process or a chemical recovery process using arsnic.

-- Tom Beckner (tbeckner@xout.erols.com), September 22, 1999.