Replies to post #415 on Alamos Gold Inc (AGI)

[amarksp]

small test heap-leach program in late 2003...

Anyone know when the test leach program results are due out? If Chester Millar's alchemy can increase gold recoveries from 67% to 72% or better, this would have a very significant impact on the project IRR... Any thoughts or opinions here?

from the RBC report:
"Alamos Gold intends to complete a small test heap-leach program in late 2003. At this time, the company is proposing to develop three, 2,000-tonne pads containing oxide, sulphide and mixed ore. The program is to evaluate several aspects in an
attempt to improve recoveries, including finer crushing of the ore and agglomeration."

Looking at that Enterprise Value Chart, am glad I own both Alamos and Metallica Resources...

[Jackjc]

Jul 22 wts:

I exercised 200k of these today and I know that another
has exer 90k this wk also. There were 1.77M remaining
last wk so leaves about 1.5M and Pru Bear has 600k and
Sprott about 450k. I had heard that Sprott had been adding
recently, so perhaps will not be selling. So leaves about 450k
left, partly insiders, so perhaps whatever recent selling
has been due to this may taper off.

Next big wt exer about 3 mo off so a breather from that.

[Jackjc]

Ruling:

The AGM had a slide showing Judge promised ruling in Jul
and have been hearing we may know very soon. However the
worst case of 350k vs 50k for next 10 yrs would only reduce
the valuation (per Northern Securities analyst report of
May 30, 2003) from 59.9M to 56.9M at 8% discount.

At a 150k oz/yr mining rate it would only take a 2 dollar
increase in gold to offset this, so worst case I don't
consider it a dollar problem. It is a perception problem
as lawsuits cast a pall in most investors eyes.

I expect the stock to perform better for the following
reasons:

1. The recent attempt to pressure Alamos into a low
share price financing has been turned back, and selling
from this source has dried up.

2. The Jul wts are well on the way to ending as a drag
and now are helping the cash position.

3. I believe the Ejido ruling will be soon behind us and
will be a plus for that reason alone.

4. The physical work at Mulatos shown at the AGM which
has not yet been the subject of a release. Infrastructure,
leach testing etc.

5. Upcoming award of the feas study.

6. Hopeful of successful negotiation of contractor stripping agreement.

7. The upcoming exp work in the old workings underground
and some district targets.


Strictly my personal opinion, do your own DD. I am long
this stock.