Beiträge von Eldorado

Hier ein paar news wenn ihr welche lesen wollt.

Bolivar under significant pressure due to perceptions of political turmoil

Business iAfrica.com Justin Brown: The offer by world number four gold miner Gold Fields to the shareholders of Canadian listed Bolivar Gold was full and fair, a Gold Fields spokesperson said Thursday.

On Monday, Gold Fields announced that it would seek to buy the 89% of Bolivar Gold it did not already own for C$3.00.

Bolivar Gold's share closed on the Toronto Stock Exchange at C$2.85 on Wednesday.

Late on Wednesday, Canadian company Scion Capital, as the investment adviser to two investment funds that own in the aggregate 14.46% of Bolivar Gold, said that the offer of C$3.00 did not represent fair value for Bolivar.

Gold Fields said in its statement that its consideration of C$3.00 was a premium of 40.9% over the volume weighted average trading price of Bolivar over the prior 30 trading days and a premium of 18.6% on the closing price on November 18.
"That position on valuation premium is very misleading and somewhat deceptive. Shares of Bolivar have been under significant pressure since mid-September due to market perceptions of political turmoil affecting Venezuelan mining operations, and yet you know as well as I that these concerns were not valid with respect to Bolivar," Scion Capital said.
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Hecla Mining's Venezuelan Isidora gold project advancing ahead of schedule

BNamericas.com Harvey Beltran writes: Idaho-based Hecla Mining's Isidora gold project in Venezuela "is advancing ahead of schedule," Hecla Venezuela's advisor Luis Rojas told BNamericas.

"Leasing of Block B [where the mine is located] has been a success for the company, which has been able to capitalize on the situation and make an early development decision when people thought it was not possible," he said.

Venezuelan state gold miner Minerven leased Block B to Hecla, where production is estimated at 100,000oz/y from the four mines that make up the project: La Laguna, Santa Rita, Panama and Isidora itself.

The company estimates investment of US$25 million is needed to develop the project.

The mine is expected to take two years to develop, which is "something uncommon nowadays, [where] the mining cycle takes much longer than that," Rojas said.

Isidora is scheduled to reach full production in mid-2006, Hecla investor relations VP Vicki Veltkamp told BNamericas recently.
The project -- in the Guayana region of the southeast state of Bolivar -- contains some 350,000oz of proven and probable gold reserves, Hecla said.

Isidora mine advancing ahead of schedule - Venezuela

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Published: Thursday, November 24, 2005
Bylined to: David Coleman

Venezuela's President Hugo Chavez Frias scheduled to make mining announcement

VHeadline.com mining & resources correspondent David Coleman writes: Basic Industry & Mining Ministry (Mibam) officials, speaking on condition of anonymity, have told VHeadline.com that the much-awaited announcement on the policy and infrastructure of the new National Mining Corporation is provisionally scheduled for December 2 ... just two days before nationwide elections to the National Assembly (AN).

While the date is not carved in granite, it is understood that President Hugo Chavez Frias will take time out of his busy schedule to make the announcement during a pre-election speech next Friday, leaving the nitty-gritty details to Mibam Minister and CVG president Victor Alvarez who is heading a major infrastructure redevelopment of Venezuela's iron & steel and bauxite & aluminum industries as well as burgeoning mine operations for gold and precious stones from the Guiana Shield area of southeastern Venezuela bordering on Venezuela's Amazon frontiers with Guyana and Brazil.
Although Venezuela's congress (AN) will rise for protracted Christmas festivities ... continuing through New Year and traditional Three Kings holidays ... President Hugo Chavez Frias has given orders to his ministerial team to curtail any plans they might have had to spend the holidays abroad.

As in previous years, he says he wants to see them make the fullest 24/7 use of their ministerial portfolios to help him tackle decades of government malfeasance and corruption which has served as a millstone around the neck of Venezuela's steady progress back from the brink of 1994-1998 bankruptcy under the Caldera administration.

Basic Industries & Mining (Mibam) Ministry officials and departmental lawyers have completed a review of the legal status of several hundred mining concessions and contracts awarded (often illegally) by previous governments. Where such contracts and/or concessions are found to be lacking, they will be declared illegal and revoked under due process of law while the government has already stated that all legally existing contracts and concessions will be recognized and will proceed to the benefit of the Venezuelan government and the Venezuelan people.

The clean-up of Venezuela's notoriously corrupt mining & resources sector has been dictated by the Chavez government's necessity to fuel the nation's economic recovery and to provide jobs, education and health care for the Venezuelan population, more than 80% of whom have suffered greatly through the last more than forty years of government indolence and sweetheart deals with international profiteers.
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Published: Wednesday, November 23, 2005
Bylined to: David Coleman

Venezuela's new mining policies scheduled for Basic Industries & Mining (MIBAM) forum in Puerto Ordaz

VHeadline.com mining & resource correspondent David Coleman writes: Venezuela's new mining policies are scheduled to be discussed during a forum entitled "New Policies at the Ministry of Basic Industries & Mining (MIBAM)" being held at the Bolivarian University in Puerto Ordaz today.

MIBAM Minister Victor Alvarez, Deputy Minister Juangustavo Ovalles, the regional director of the Venezuelan IRS/Seniat Felix Johan Molina, and the president of Ingepmin, Avilio Lavarca are listed among the speakers who will outline new regulations aimed at returning Venezuela's mining sector to some semblance of government control after decades of indolence and corrupt practices.

International observers are gathering in the expectation of clarity being given to the government's move which has seen a controversial shake-up of the mining industry. hundreds of mining concessions and contracts have been reviewed in recent months and a substantial number of them have been found lacking in terms of legality and benefit to the national economy.

President Hugo Chavez Frias has vowed to rid the sector of endemic corruption and to kick-start mining operations under the mantle of a National Mining Corporation modeled on the well-proven infrastructure of Petroleos de Venezuela (PDVSA), the state-owned oil corporation.

MIBAM Minister Victor Alvarez has already headed off fears that legally constituted mining contracts and concessions are endangered in the mining sector reform. He has assured that those organizations -- both domestic and international -- that stand the test of legality and proven benefit to the Venezuelan economy (i.e. those that have paid taxes and contribute to the generation of employment throughout the underdeveloped Guayana region) will be welcomed with open arms to participate in the government's efforts to finally get Venezuela's mining industry focused on a productive future.

.....Ich glaub das reicht mal, oder ?????
Noch was, Spanien verkauft Venezuela Waffen und das stinkt Bush.

Schaut unter Mining und Resources da findet ihr die latest news.

http://www.vheadline.com/main.asp

Ich habs gerne gemacht Tschonko,Wissen ist Geld , aber das letzte teile ich nicht mit Euch.

Herzlichen Gruss, machts ein Kerzerl schon mal an, ebenso fuer Sterling Mining.

Eldo

Kalle

Ich bin kein Experte und sehe das selber anhand der Charts, aber die 440 sind ein Wunschtraum oder Horror den kann ich mir bei besten Willen nicht vorstellen. Nicht bei dem Weltgeschehen und Politik, sorry es geht Bergab, vielleicht noch ein paar Hurricans fuer die USA und der Goldpreis faellt dadurch und der Dollar steigt mit weiteren Kriegskosten und neuen Krieg in Nahost.

Commodities werden enorm ansteigen in allen Fiatwaehrungen.

Technisch gesehen ja aber praktisch unmoeglich die $ 440 POG.

Wenn ich mich nicht irre.

Cheers, everything gone be alright !

Go Gold go , nur Papiergeld brennt
Waere ja noch schoener wenn man ungestraft zum Himmel drucken kann.

THE DOLLAR WILL BACKFIRE AND THE HELICOPTER WILL CRASH.

Also ich hab mir zwei charts angeschaut und komme zu diesen Schluss.

Der HUI der noch auf 255 ist kann demnaechst auf bis 235 manipuliert werden. Bei 224 wirds aber Arschknapp wenn ich so sagen darf denn da waere der Bulle auf die Knie und Zeit zum Fallschirm ziehen.

Aber so weit kommt es nicht IMO.

Er kann bei weiteren emotionalen Handeln in kuerze durch die 500 Dollar schlagen und der HUI geht auf 265-270 bevor er korregiert wird.
Bei zu viel Emotionen ist die Intelligenz im Eimer.

Wie weit kann es korregiert werden, 475-480 wenn das PPT good news hat die eh nur gelogen sind wenn ihr mich fragt.

Bei 462 waere es Zeit sich zu verabschieden, dazu kommt es auch nicht IMO.

Helicopter Ben druckt auf vollen touren ab Maerz wird gemunkelt, er braucht nicht mal dafuer eine Zustimmung und braucht es keinen sagen.

Kursziel 2006 sehe ich 1.37-1.45 Euro/USD

Inflation fuer die US ist angesagt und durch kommende Zinserhoehungen der EZB kann der Fiat Dollar nicht mehr viel ansteigen als er schon ist.

Wenn man dann noch Drama im Panorama hat durch Umweltskatastrophen und Terror und Krieg draufkommt kann sich jeder vorstellen was dann mit dem Goldpreis passiert.

Get quickly rid of the USD heisst die Devise aber das machen die still und heimlich damit keine Panik kommt.

Wir sitzen was da noch auf uns zukommt, ""Goldrichtig"" !

Auf dauer sehe ich das so mit dem ganzen Fiatwaehrungen:

Gold Bullion or Gold Mining Stocks?

Friday, November 25, 2005


NEW YORK — With the price of gold inching toward $500 an ounce for the first time in 18 years, investors might be in a quandary: whether to buy gold bullion or shares in gold mining companies.

"We have done better owning gold than shares," said Jay Taylor, publisher of an industry newsletter, J Taylor's Gold & Technology Stocks.

"In the '70s there were dramatic profit margins — a 10 percent move in the gold price would result in maybe 30 percent increase in share price," he said. "If anything, it's gone the other way and now there are shrinking margins."

However, Peter Spina, who operates goldseek.com, a gold industry Web site, said more investors appear to be getting into gold shares, attracted more by profits than the security that often comes with owning the precious metal.

"The Newmonts and Freeports will always attract institutional funds, the big money," he said. "Traditionally, stocks have led the gold price by three to six months. But recently we are seeing more investment capital entering the market."

Shares in the so-called seniors — the big companies that mine gold — are at or near year highs. But there were mixed results in the third quarter as spiraling costs, especially for energy, nibbled at profits.

Denver-based Newmont Mining Corp. (NEM), the world's biggest gold producer, reported a drop in profit, citing not only high energy costs but also a shortage of miners and environmental protests in Peru that delayed exploration.

And Placer Dome Inc. (PDG), Canada's No. 2 gold producer, said it was hurt by higher energy costs and a loss on hedging against metal price fluctuations.

But Toronto-based Barrick Gold Corp. (ABX) saw third-quarter profit more than triple, and Freeport-McMoRan Copper & Gold Inc. reported higher profit and forecast fourth-quarter gold sales would more than double.

Newmont stock is trading at roughly 55 times estimated 2006 earnings — above the sector average of 53. Barrick is at 51.5 and Placer Dome at 81, according to Reuters data. On Wednesday, Placer Dome rejected an unsolicited $9.2 billion takeover bid from Barrick.

Gold closed at $495.70/496.40 in London on Friday after hitting a fresh 18-year high of $496.75. U.S. gold markets were closed Thursday and Friday for the Thanksgiving holiday.

Asked if a rise in the gold price automatically attracted more stock investment, Taylor was skeptical. "It's not been the case in the last six months as energy costs have gone up faster than the gold price. If there is a pullback in energy costs, then I would be more optimistic."

He said bullion and gold share investors were two distinct groups. "The bullion guys are very sophisticated ... and American investors are clueless with respect to gold."

Frank Holmes, chairman and chief executive of U.S. Global Investors, which holds mining and gold company stocks, is bullish on mining company equities.

"The gold market is in deficit, demand is greater than supply from the mines," he said. "It takes time to explore and develop mines, which would account for the takeovers in the industry. There is a scramble for assets now."

In the short term, he sees a correction, with gold maybe passing through $500, then dropping back. "The real test will be if it goes through $520-$525, in which case it probably runs up to $650," Holmes said. "We're in a bull market for commodities, about one quarter the way through a 20-year cycle."

Taylor agreed that gold is in a bull market. Asked whether he would choose to invest in physical gold or gold company stocks, he said, "I would want some bullion for its pure wealth as it retains its value and is a means of liquidity.

"On stocks, if costs are not rising faster than the gold price, then you should start to see wider profit margins."

Vielleicht sollte man sich nochmals den Artikel von Jason Hommel von Maerz 2005 durchlesen was er davon haelt, ist ja auch eine Meinung.

IMA is headed up by Joseph Grosso, an old pro in the search for Latin American resources. Mr. Grosso's family ties and connections in Argentina gave him the inside track on cherry-picking the country's premier properties in the early 1990s. That's when Buenos Aires finally gave the go-ahead for international mining ventures to do business in their highly prospective and under-explored provinces.

IMA currently has just over 44 million shares outstanding - 49 million shares fully diluted when all warrants and options are considered. If all warrants and stock options are exercised, it would bring in about $12 million Cdn. Management owns 15-17% of this debt-free company. With a February 25th closing price of $3.88 Cdn, the market cap for this stock is a very reasonable $154 million in U.S. dollars.

At current share prices, the cost to investors for the ounces in the ground, may be calculated as follows: $154 million market cap / 307 mil oz. = $.57/oz. Or, if the exploration potential of IMA is up to a billion ounces of silver, then perhaps the following may be more accurate: $154 million market cap / 1000 mil oz. = $.15/oz. Expressed another way, you may be getting title from between 13 to 47 ounces in the ground, for one ounce of silver's worth of stock. Meaning, if you spend the equivalent of $7.26 on stock, you are buying title to 13 to 47 ounces of silver in the ground.

Why so reasonably priced? After news of the initial discovery at Navidad, another Canadian miner filed a "nuisance" suit alleging that IMA used its proprietary geologic data to zero in on Navidad. The dispute centers around the bid process for the Calcatreau gold property in Argentina, now wholly owned by Aquiline Resources, the plaintiff in the suit against IMA. IMA, along with Aquiline, was a bidder for Calcatreau, and was shown confidential data for the purposes of placing a valuation on Calcatreau. All parties signed confidentiality agreements that excluded them from exploring and staking ground within some three kilometers of Calcatreau. Navidad, a silver-lead property, lies approximately 42 kilometers from Calcatreau, a gold property. Many have already dismissed Aquiline's claims entirely. The CEO of Aquiline, also a principal in other mining ventures, has earned a reputation as something of a serial litigant, and is currently involved in a separate mining lawsuit in Australia. Meanwhile, shares of IMA will continue to trade at a discount until the matter can be cleared. A court hearing is scheduled in British Columbia in October 2005.

Expect the suit to be settled in IMA's favor - eventually. If Aquiline had the same information as IMA, why didn't they stake Navidad? Or mining giant Newmont, which had previously owned Calcatreau and generated the proprietary data purchased by Aquiline? When the truth is revealed, it will show that IMA was actively exploring the Chubut province in Patagonia and was already zeroing in on Navidad at the time they kicked the tires at Calcatreau.

"There is absolutely nothing to the claim," CEO Grosso states flatly.

To summarize, no investment today offers the explosive upside and limited downside of silver. And very few publicly traded silver companies offer the kind of extreme leverage, proven deposit growth,

and blue-sky potential of IMA Exploration.

Mal schaun, Tambok

""Die Woche des starken Tabacco""

Oh meiomei Goldy

Guten Morgen zusammen,

Valueman's Idee ist gut, falls ich noch vor den 7.Dezember die 500 USD plus sehe werde ich ebenfalls auf nummer sicher gehen und einen Teil von meinen Rennern verkaufen und Cash schaffen fuer spaeteren Neukaeuf von attraktiven Aktien.
Man weiss nie, ich schaetze ebenfalls das Gewinnmitnahmen bei 500 + passieren, wenn die weg sind kann man wieder nachkaufen, nach der Korrrektur die ins Haus steht.

Naechste Woche ist der Zweikampf zwischen den Goldbugs und den Kabalen sagt mir mein Gefuehl.

Enjoy the rest of the weekend

Eldo

Da gibt es eine neue Rakete am Horizont die ich uebersehen habe,leider den Abschuss verpasst habe.
Ob sich da noch ein Einstieg lohnt zu dem Preis ?

http://www.manexresourcegroup.com/southern/

http://www.smartstox.com/interviews/ssv.php

Gold: A Supply/Demand Story

By Michael J. DesLauriers
26 Nov 2005 at 09:34 PM EST

TORONTO (ResourceInvestor.com) -- With everyone getting carried away trying to find reasons for the rising gold price and potential for a break above $500/ounce, it makes sense to re-examine the real drivers behind the run.

Up until recently, the POG was driven mainly by its negative correlation to the U.S. dollar. When the USDX bottomed around the 80 level at the beginning of this year, gold hit a peak of $456. In the ensuing dollar rally to 85, the yellow metal sold off down to $410 and then the correlation between gold and the dollar began to weaken.

Sometime this past summer the market witnessed the long-awaited decoupling, not just from the USD but from all currencies. Today, almost four years since the great bull run began we’re on the verge of breaching the psychologically significant $500 level, or roughly double the metal’s bear market low just above $250.

With gold now behaving as a currency, most of those who have doubted this secular bull since its birth, and insisted that this ‘barbarous relic’ would soon fall off the monetary radar all together, have no choice but to acknowledge what is self-evident or seek out more excuses to legitimize their inherently flawed belief system.

One theory that appeals to hedge fund managers, particularly because it’s rooted in history, is that gold is finding favour with investors due to renewed global inflationary concerns. For most funds this rationale presents a very convenient excuse to create a self-fulfilling prophecy, and use their inexhaustible resources to force prices higher, while never really believing in the metal’s fundamentals, and ultimately dumping when it seems that the game is up.

Of course, for those who have been invested in gold and gold shares for the past four or five years, it’s quite clear that the game is only just beginning and long-term investment profits will outweigh short-term trading gains.

The real issue here is that global inflation, minus energy’s contribution, is actually quite tame and barring a severe systemic shift from the status quo in terms of how we organize ourselves economically, this is likely to be the reality going forward, and probably with a deflationary bias to boot.

So in the absence of the U.S. dollar argument and the inflation canard, investors should come back to basics in the form of the timeless tug-of-war between supply and demand. The global appetite for the metal is on an upward trajectory and as gold continues to gain acceptance as its own currency and as a valid form of investment this trend will only accelerate, driving prices higher.

The reason that the potential effect of a serious increase in demand is so significant, is because it is almost impossible to bring about any meaningful offsetting supply increase in a timely manner.

According to the World Gold Council, “The third quarter of 2005 witnessed a 56% year-on-year growth in net investment demand for gold….Compared to the same period last year, demand in Q3’05 absorbed an increase in supply of around one fifth despite a 10% rise in the gold price.”

Although jewelry demand has weakened somewhat with higher prices, as countries like China and India continue to increase their share of global wealth the effects will be very noticeable pushing demand much higher. In that sense, gold is like copper and the industrial metals benefiting from the rise of those Eastern giants.

While most mines are clearly economic at these price levels, more need to be found. Input costs continue to rise and construction will always take the time it takes. And while the clock ticks and money and energy are spent bringing on new supply, demand will still be rising, and taking the price of gold right along with it.

Bottom line: If you want to understand what’s really going on with gold, look no further than Economics 101.

@ Goldy

Kurzfristig kann jederzeit eine Korrektur kommen wenn Gold nun an der 500 Dollar Grenze knappert. Es ist moeglich das es wieder auf 475-480 USD gedrueckt wird in den naechsten Wochen. Der richtige Test kommt aber erst bei 520-525 USD falls es sich ueber diesen Wert halten kann es leicht auf 650 Dollar steigen. Wir sind nur zu einen viertel in einen Bull Rohstoff Cycle und der wird wahrscheinlich noch 15 Jahre so weiterlaufen.
Meiner Meinung sehen wir die 470 Dollar nie mehr und das waere dann das maximale dicke Ende fuer Gold und der Anhaltspunkt von dem du hier redest.
Gold ist momentan extrem stark in allen Waehrungen und es ist aussergewohnlich zu sehen starker Dollar und ein starker Goldpreis.
Stell Dir vor was mit dem POG passiert wenn eine Dollarschwaeche kommt 8o... und die kommt in 2006 so wie es aussieht.

Mfg

Eldo

Na wohin geht schon der POG & POS ?
Es wird zwar eine Zeit dauern aber die Richtung stimmt.

""Was so ein Mann mit Können und Charisma bewirken kann!""

Thanks Edel, der juengste Tag ist vielleicht bei 10 USD
Oder frueher, oder spaeter....

We''ll see how Sterling is doing from now on.

Mfg

Eldo

Gold and the mighty dollar

Jack Chan
http://www.traderscorporation.com
Nov 25, 2005

Many newer subscribers to our service are not familiar with the ongoing long term outlook we have on the gold sector in the past two years. It has always been my belief that the gold bull market as we have witnessed from the $255 low four years ago was essentially a US dollar gold bull market, and when gold finally rises against all major currencies, we will have a global gold bull market and that is when the "phase two" of the gold bull market begins.

Folks, from all current indications, such a time has arrived.

Summary

Phase two of the gold bull market has arrived, but don't expect $1000 gold overnight. A true bull market climbs a wall of worry and is a grinding process. How long will it last and when will it end is pure speculation at this point, but until there is a 24 hour gold channel on TV, we are far from reaching saturation point.

http://www.321gold.com/editorials/chan/chan112505.html

Hier der direct link zu Bob Hopper's Mone and Mining Report MP3 (5.62 mb) zum runterladen.... my weekend radio from the Valley

http://www.silverminers.com/pu…ns/M___M_REPORT112505.mp3

Ich bin zum Entschluss gekommen das die Piraten ein ganz schmutziges Spiel betreiben und David Bond schon alles gesagt hat ueber die Mafia.

Sie haben im Endeffekt mit ihrer Aktion und Rufschaedigung von Ray und seinen Team den Shareprice gehaemmert und verdienen dafuer den Daumen runter.

Ich stehe nun hinter Ray und sitze auf meinen Sterling bis zum juengsten Tag.

Ich kaufe noch mehr sobald ich kann, der Stockprice ist ein Witz zum Vergleich was die vorhaben und Silber in der Mine ist. IMO

Ich fuehle mich nun wesentlich wohler Sterling Shareholder zu sein.

Die Aktion alle anzuschreiben hat sich gelohnt, wer alles verstanden hat kennt nun auch die Personen zum groessten Teil und kann nun selber eine Entscheidung treffen wie er abstimmt.

Von mir gibt es zweimal YES.

Zitat Emoba:

""dann wäre sterling eine der letzten Aschenputtels ,die sich auf den Weg zum Tanz im Schloss aufmachen.."".

Gruss, enjoy the rest of the weekend.

Eldo

Dear ......

Thank you for taking the time to write to me. My cellular/mobile phone is 208 771 0808, please do not hesitate to call me at any time with any questions you may have.I will try to answer some of your points in this email, and welcome you to call anytime for any updates or clarification.

1. Position as CEO

Here are the facts, which anyone in north Idaho or who knows me can confirm.

I became President of Sterling Mining Company in late 1998.I received no salary until late 2003. My current salary is $60,000 per year, I am the fourth highest paid person in the company as three people make more than I do. I work 6 to 7 days per week.I received no stock options nor bonuses in 2004 and 2005, I did receive some options ( above the market price at the time) in June 2003.I have not taken more than 2 days personal vacation at one time in 4 years.

So without knowing specifically what you are referring to, you can make your own judgment from the above.

If Sterling shareholders believe that I am overpaid I'll eat my hat !

2. Your vote for the audit.

Thank you for voting for the audit, the firm of Williams and Webster who did our 2003 and 2004 audit ( available at your request from our CFO James Meek) are well acquainted with small mining companies. Our auditor in Mexico works with major mining companies in Mexico.

3. Vote for Increasing Authorized Shares

Thank you for voting for this measure as well, as you say "reluctantly'.

Most mining companies have far more outstanding shares than we do, I believe we have accomplished quite a lot with under 20 million shares outstanding.We have no intention , especially at these prices , to go out and issue 20 million shares in one issuance.We simple wish to have the flexibility than when we need to raise capital we can do so on favorable terms, and timing.

I believe all shareholders when they see companies around with 100 million or 200 million shares outstanding , like companies to be disciplined in share issuance.

4. Experience

I am extremely proud of the people at Sterling Mining, we have step by step built an excellent team, the best that I could find and continue to do so.

I have been running Sterling for 7 years, am a member of numerous professional mining organizations, have expanded our land position, put a mining project in operation, and have I believe successfully staffed and guided our company.My prior experience included time with the Bechtel organization, perhaps the largest engineering firm in America in their nuclear power division- an industry also known for being capital intensive, with long term planning,development and execution required.On a personal level I was born in coal country of north England, five generations in mining.By the way , I am not a former banker.

As far as use of funds either Jim Meek or myself would be glad to discuss with you at any time, take a look at the website and the work we have done.

However, the most important personnel aspect of Sterling Mining is our people, rock solid mining experience, I am extremely proud of our people, and most have come to work for Sterling Mining precisely to work for moving the Sunshine project forward.

-Jim Meek : 30+ years experience in mining industry, most recently as Treasurer of Coeur d'Alene Mines.Mike Mooney, formerly CFO of a Bayer subsidiary works directly for him.Our main mineral economics consultant since July 2003 was formerly a key advisor at Hecla, and before that Chief Operating Officer of a significant local mining company- over 40 years experience.

More important , at the mine we seek out the better former employees of Sunshine Mining, to get the key experience with an old mine like this. Mike Maclean, mine manager was at the Sunshine Mine from 1995 to 2001, during which time he drove down The costs from $6.50 to $4.50 per ounce, he was hired by us at the beginning of 2004.The guys working at the mine have up to 30 years experience each at the mine, including the former underground maintenance supervisor, the former safety and environmental compliance manager, electrician etc.One of our directors runs a 300 person plus mine here in the United States.

Come and visit and meet our guys, I am proud of them and I am sure as a Sterling shareholder if you meet them, you will be as well ! My strategy is find the best and most experienced, and let them do what they do best.

5. Listing

We have achieved many things in the last three years :

-Our share price at the start of January 2003 was $.25 and our market capitalization was $1.5 million. We have expanded our land position in key U.S. silver areas to over 18,000 acres. We took control of the Sunshine Mine , built our work crew here, started maintenance, advanced rehabilitation, begun exploration, and diligently developed a long term mine plan towards our central goal of returning the mine to long term sustainable production.We have secured a 14,000 acre land position in Mexico, and brought the Baroness into production.All at a time when we believe silver prices have been and are low.

We could have done better putting more focus earlier on the process towards a higher listing, hence a few months ago our hiring two senior level financial people, Meek and Mooney.The audit for 2003 and 2004 is done, and we are working on preparing the necessary technical documents and updated financials for the filings necessary to be reviewed for higher listing.

Our goal, besides a higher listing in 2006, is to return the Sunshine Mine to long term sustainable production. We believe that with the premium for producing silver companies, that this will benefit the shareholders the most.This is of course involves challenges as any significant mining project encounters, and a long term focus.The Sunshine company had numerous problems, but for the Sunshine Mine the key problem was management not continually keeping exploring ahead of production.We will systematically and methodically move our project forward in a safe manner with the best employees we can find- and please note, even before finishing our Phase I and Phase II mine plan, we began exploration at the Sunshine as early as 2003.

Thank you for being a shareholder and please call me with any questions.

Ray

Gmorning Emoba

Ray hat nun detailiert geantworted auf meine Fragen.
Das habe ich von ihm erwartet.
Er verdient Unterstuetzung, IMO

Ray hatte wohl nicht viel Zeit, er schrieb noch zweimal zurueck auf meine letzte email. ..... Alles ist nun Paletti !!

Dear.....

Maybe I am misunderstanding your email, I am sending the attached again because you wrote "...at least three lines" so I wondered if you received the attached email.

Second, I meant no offense by giving you Jim's email , I meant to help.i.e. if I am ever not available by telephone you would have Jim's contact information.For myself prefer dealing direct with shareholder especially ones in Europe.Talking to shareholders always helps to get their opinions.

Third, I thanked you for being a shareholder and I do thank you for your support.Sorry if I wasnt too clear, especially in these times I appreciate shareholder support for the company.

I will answer your other questions on a second email.

Ray

-------------------------------------------

Dear .....

I provided you the names of two shareholders who have recently visited the mine, so that if you wish you could ask them whether we have a good team at the mine, about the progress and their opinion.I did so because I thought that would be helpful.

I really have hesitated answering line by line that website, frankly if they believe that they want a royalty company with them running the mine, i would think the main issues would be comparing a royalty company to a producing company, and outlining their experience running mining operations.Thus answering different personal attacks I have not really spent time on.You can judge whether you think they are attacking me and our employees for personal reasons or misunderstandings.

I will answer your email to clarify a few things :

I guess this is a subjective comment ( about "ego") than one can portray as one wishes.However I think the facts will allow you to draw your own conclusion.I have a personal investment in a company that owns and operates real estate, I have no involvement in the day to day operations nor wish any.

I do not manage a taxi service. A company was registered locally that I am a director of that has had no operations whatsoever in fact doesn't own any vehicles, I simply am a director of an inactive company.Why someone would mention on a website is quite beyond my understanding.

I am not involved in managing a hotel, and if I wanted to in my spare time of which I have little of, why would this be a problem for anyone.
"Making Plans on Anticipated Silver Price" - I am not sure what this
means.In my position as President of Sterling Mining we make plans based on a long run silver price of $6.50, that is why we have focused on developing a mine plan at the Sunshine with a target of costs at $4.50 per ounce. This has been on our website
for a long time.

However anyone whether an investor or a mine manager needs to think about future prices.From a mining perspective making a plan that can succeed solely on rapidly moving commodity prices, in an industry that is long term and capital intensive, if one wishes to produce, is not the conservative way to do things, in fact is more risky as commodity prices we all know are volatile.

"Revolt by Early Major Shareholders" - The largest shareholders from 2003 are mostly still the largest shareholders.Some shareholders who got in early obviously have taken some profits, just as some who came later, and with the price fluctuations some have gone either way.

"Losing Focus" by operating in Latin America.This of course is a more subjective issue, perhaps this group hasn't considered fully. First, I am proud of the extremely experienced and talented staff we have at the Sunshine including numerous Sunshine veterans such as the former mine manger, they work at the Sunshine and focus on the Sunshine. So I am quite unsure how Sterling having a division in Mexico
changes their focus.Second, the former Sunshine Mining company devoted significant resources to a non producing project in Argentina, and cut back exploration at the Sunshine Mine.We entered Mexico looking for producing projects, and we started exploration at the Sunshine in 2003 even before we finished our mine plan, and the big expenditures at the Sunshine couldn't even be started until we fixed the hoists and finished our mine plan. So we felt that getting an operation producing in Mexico before the Sunshine was ready to produce made sense.It is entirely unclear to me how producing silver is a negative. Third, I work 6 to 7 days a week up to 10 or 12 hours per day, would we have progressed further at the Sunshine if we hadn't had Mexico- I think if one looks at all the steps necessary to put an old mine back into production, one would see quite clearly it is not an overnight endeavor.(Our website has our current work schedule outlined by year).However, I think our position in Mexico has added to our value overall.I think this dissident group doesn't appreciate or know what hours I put into my job.

We should have moved faster towards a higher listing, and several months ago we hired two higher level financial people to lead that process, on the other reconsidering how little we had when we started our expansion, some would say we have done quite well.

Obviously low stock prices concern anyone, but this is a long term business and we are not an exploration company based solely on drilling success, we are developing an operating company, it takes time.

As far as the phrase "silver revolution" I have used that phrase along with several others in the industry and yes I supported efforts such as the annual silver summit conference.The president of Pan American Silver called the conference the best silver event in the world.I think some people maybe take the phrase too seriously.

I hope I have answered your questions.

When I hired Mike Maclean as Sunshine Mine manager in February 2004 I told him to focus on returning the Sunshine Mine to long term sustainable production and do it right, and step by step assemble the work crew of the best experienced Sunshine Mine veterans he could find, and to develop the best plan for the long run at the mine.I have the utmost confidence in Mike Maclean and all the workers at the mine.I believe we have taken the right approach at the mine, and in many cases the only approach from a technical standpoint.

Thanks again for your support.

Ray