Tagesbericht: Gold, Analyse: TVX - 500 Beiträge pro Seite

[Goldhotline]

Tagesbericht

07.06.00 Gold +3 auf 288 $/oz, Goldaktien freundlich, Analyse: TVX (Nordamerika)

Der Goldpreis sprang im gestrigen New Yorker Handel von 284 auf 292 $/oz, wurde aber im
Handelsverlauf wieder unter die wichtige Marke von 290 $/oz gedrückt. Ein Durchbruch der Marke
für 290 $/oz hätte dem Markt das Scheitern der Manipulation des Goldpreises durch die Bank of
England signalisiert, die am 7. Mai 1999 genau bei dieser Marke die Absicht ihrer Goldauktionen
bekanntgab. Heute morgen notiert der Goldpreis im Handel in Sydney und Hongkong ruhig um
die Marke von 288 $/oz. Die Goldaktien steigen zögerlich weiter an.

Der nordamerikanische xau-Goldminenindex stieg um 0,8 % oder 0,5 auf 62,1 Punkte. Bei den
Standardwerten konnten Placer Dome 2,0 % und Homestake 1,7 % zulegen. Franco Nevada
zeigten sich 5,7 % und Freeport 1,3 % schwächer. Bei den kleineren Werten stiegen TVX 11,1 %,
Eldorado 7,1 % und Kinross 5,9 %. Der Platin- und Palladiumproduzent Stillwater konnte um 3,9
% zulegen. Der konkursgefährdete Silberproduzent Sunshine erholte sich um 20,0 %.

Die in New York gehandelten südafrikanischen Werte zeigten sich wenig verändert. Harmony
stieg um 2,3 %. Gold Fields fiel um 2,4 % zurück.

Der australische Goldminenindex zeigte sich mit einem Anstieg um 1,5 % oder 10,4 auf 687,2
Punkte freundlicher. Bei den Standardwerten stiegen Normandy NFM 4,2 %, Delta Gold 3,9 %
und Goldfields 3,4 %. Bei den kleineren Werten verbesserten sich Emperor 19,4 %, Aquarius
Platinum 3,6 % und Resolute 3,5 %. General Gold büßten 9,3 %, Otter Gold 6,8 % und Herald 6,3
% ein. Bei den Explorationswerten konnte Tribune 4,4 % zulegen. Bei den Werten mit IT-
Beteiligungsphantasie brachen Golden Deeps 17,3 % und AMX 11,8 % weiter ein.


Die aktuellen Topempfehlungen der Goldaktien (maximale Kauflimite in Klammern):

Achtung: Wegen der Marktenge müssen alle Orders (auch in Australien) in Tribune Resources
limitiert werden!

Australien:
Sicherheitsorientiert:
Delta Gold 1,35 A$ (2,40 A$, aktuelle Dividendenrendite 7,4 %), Normandy Mining 0,90 A$ (1,20
A$, aktuelle Dividendenrendite 6,7 %), Pacmin 1,48 A$ (1,60 A$), Lihir 0,59 A$ (0,70 A$),
Newcrest 3,82 A$ (4,00 A$), Sons of Gwalia 4,82 A$ (4,80 A$, jetzt eine Halteposition)

Spekulativ:
New Hampton 0,22 A$ (0,26 A$), Hill 50 0,85 A$ (1,10 A$), Tribune Resources 0,24 A$ (0,25 A$),
Aquarius Platinum 4,05 A$ (2,80 A$, jetzt eine Halteposition)

Südafrika:
Sicherheitsorientiert:
Harmony 5,85 Euro (6,50 Euro), Gold Fields 4,03 Euro (4,50 Euro), Anglogold (ADR zu 1/2Aktie)
(GB) 23,00 Euro (28,00 Euro)

Spekulativ:
Durban Roodepoort Deep 1,21 Euro (1,80 Euro)

Nordamerika:
Sicherheitsorientiert:
Placer Dome 9,375 $ (12,00 $), Kinross 1,125 $ (1,25 $), Freeport 9,375 $ (16,00 $), Homestake
7,50 $ (8,00 $), Battle Mountain 2,25 $ (2,00 $, jetzt eine Halteposition), Barrick 19,625 $ (18,00
$, jetzt eine Halteposition), Newmont 25,50 $ (22,00 $, jetzt eine Halteposition)

Spekulativ:
TVX 0,625 $ (1,00 $)

Bis auf New Hampton und Aquarius Platinum werden alle Werte auch in Deutschland gehandelt.

Bemerkung: Bei New Hampton wurden am 24.12.99 Mineral Deposits Limited (MDL) Aktien im
Verhältnis von 5 MDL für 18 New Hampton Aktien und Gratisoptionen im Verhältnis von 1 Option,
Laufzeit 31.05.01, Basis 0,23 A$ für 2 New Hampton Aktien abgeschlagen.


Unternehmensmeldung
(AUS=Australien, NA=Nordamerika, SA=Südafrika, $=US$, MKP=Marktkapitalisierung),
Marktkapitalisierung immer in A$, Produktionskosten immer in US$

07.06.00 TVX (NA, MKP 171 Mio A$) gab am 17. Mai 2000 bekannt, die Aktien im Verhältnis von
5 alten Aktien zu 1 neuen Aktie zusammenlegen zu wollen, um den Anforderungen der New York
Stock Exchange gerecht zu werden, die einen Minimumpreis von 1,00 $/Aktie verlangt. Nach
einer Zusammenlegung würde sich die Anzahl der Aktien auf 35,9 Mio reduzieren und der
Aktienkurs entsprechend auf etwa 3,00 $ ansteigen. Am 6. Juni 2000 meldet TVX die
Genehmigung der Börse in Toronto, 8,0 Mio Aktien oder 4,5 % des Aktienkapitals zurückkaufen
zu dürfen. Nach der Zusammenlegung entspricht dies 1,6 Mio Aktien. Der Aktienkurs sprang nach
der Meldung um bis zu 22,2 % nach oben und schloß mit einem Gewinn von 11,1 % bei 5/8 $.

Beurteilung: Eine Aktienzusammenlegung führt üblicherweise zu Kursverlusten. Mit dem
Aktienrückkaufprogramm könnten diese ausgeglichen werden. Mit einer jährlichen Produktion von
250.000 oz, einem aktuellen KGV von 4,4, einer Lebensdauer der Reserven von 49,5 Jahren,
einer Lebensdauer der Ressourcen von 80,3 Jahren und einem Hebel von 20,3 auf den Goldpreis
bleibt TVX unsere nordamerikanische Top-Kaufempfehlung bei den spekulativen Werten.

Empfehlung: Halten, unter 1,00 $ kaufen, aktueller Kurs 0,625 $. TVX wird in Deutschland mit den
größten Umsätzen in Stuttgart gehandelt (vgl. Analyse vom 29.05.00).

Die Goldhotline

[gholzbauer]

KGV 4,4 bei 3,12$ ?
Jetzt bei 2$ KGV 2,8 ?
Oder doch Verluste ?

[gholzbauer]

TVX Gold Inc. Reports Second Quarter Americas Gold Equivalent Production of 64,700 Ounces at a Cash Cost of $180 Per Ounce
TORONTO, Aug 10, 2000 (BUSINESS WIRE) -- TVX Gold Inc. ("TVX") (TSE: TVX. chart, msgs) (NYSE: TVX chart, msgs) reports consolidated net earnings of $0.8 million in the second quarter of 2000 before accounting for adjustments on the gold linked convertible notes ("GLCN").

After accounting for non-cash adjustments related to the GLCN, TVX recorded a loss of $2.3 million. The decrease in net earnings during the second quarter over the reported net earnings of $6.0 million during the same quarter last year is primarily due to the $4.2 million gain recorded on the disposal of minority interests in 1999. Earnings in the second quarter were also negatively impacted by non-cash, mark-to-market adjustments on the Company`s gold and silver commodity contracts of $1.7 million.

Second quarter gold equivalent production attributable to TVX Normandy Americas` ("TVX Normandy") interests in its five precious metals mines totaled 129,400 ounces as compared to 132,300 ounces produced during the corresponding 1999 period. Cash cost per gold equivalent ounce increased 2% to $180 and production cost per gold equivalent ounce decreased 8% to $252 year-over-year. TVX`s share of gold equivalent production from its Americas operations was 64,700 ounces (52,200 ounces of gold and 694,100 ounces of silver). TVX`s 100%-owned Stratoni operation produced 256,500 ounces of silver along with 4,000 tonnes of lead and 4,600 tonnes of zinc.

During the second quarter of 2000, revenue and operating cash flow were $46.7 million and $10.8 million, respectively, compared to revenue of $46.5 million and an operating cash flow of $25.0 million in the corresponding 1999 quarter. The decrease in cash flow from operations relates to changes in working capital at the operations. Year-to-date operating cash flow was $25.3 million as compared to the $28.5 million during the same period in 1999.

The average spot gold and silver prices per ounce for the second quarter were $280 and $5.01, respectively, compared to $280 and $5.20 for the second quarter a year ago. Realized prices during the period were $346 per ounce of gold and $3.96 per ounce of silver after taking into account a positive impact of deferred revenue of $66 per ounce of gold and a negative impact of deferred revenue of $1.05 per ounce of silver. Realized prices during the second quarter of 1999 were $397 per ounce of gold and $4.20 per ounce of silver.

TVX`s consolidated cash and short-term investments, as of June 30, 2000, totaled $129.9 million.


Summary of TVX Normandy`s Share of Operations

---------------------------------------------------------------
Quarter ending: June 30, 2000
---------------------------------------------------------------
Produc-
Tonnes Gold Recov- Produc- Cash tion
Milled Grade ery tion(1) Cost Cost
Mine (000s) g/t % Ounces $/oz $/oz
---------------------------------------------------------------
La Coipa
Gold equivalent 771.0 2.3 68.7 44,900(2) $216(2) $291(2)
Brasilia 2,416.9 0.5 76.2 28,500 171 238
Crixas 93.7 8.4 95.4 24,000 111 163
Musselwhite 100.0 6.4 95.7 19,900 152 229
New Britannia 92.8 4.4 92.3 12,100 219 299
------ --- ---
129,400 $180 $252
---------------------------------------------------------------

---------------------------------------------------------------
Quarter ending: June 30, 1999
---------------------------------------------------------------
Production Cash Cost Production Cost
Mine ounces $/oz $/oz
---------------------------------------------------------------
La Coipa
Gold equivalent 63,700 $174 $279
Brasilia 21,000 197 283
Crixas 19,100 121 188
Musselwhite 16,800 177 293
New Britannia 11,700 230 317
------ --- ---
132,300 $176 $274
---------------------------------------------------------------

(1). After accounting for minority interest, TVX`s attributable
production is 64,700 gold equivalent ounces.
(2). Includes 5,700 gold equivalent ounces from the Can Can
underground mine.

All dollar amounts are expressed in US dollars, unless otherwise stated.


Operations

TVX Normandy Operations -----------------------
Effective July 1, 1999, TVX and Normandy Mining Limited ("Normandy") formed a strategic business alliance, TVX Normandy, to pursue business opportunities in the Americas. The new arrangement is owned 50 per cent plus one share by TVX and 50 per cent less one share by Normandy.

At the La Coipa Mine, Chile (TVX 25 per cent), TVX`s share of gold equivalent production was 22,500 ounces (10,000 ounces of gold and 694,000 ounces of silver). Cash cost per gold equivalent ounce during the second quarter rose to $216 from $174 in the same period one year ago. The increased cash cost and decreased production are the result of the conclusion of mining operations at the Chimberos deposit during the third quarter of 1999. As of January 2000, ore from the Can Can underground mine, which is located adjacent to the La Coipa main pits, was incorporated into the production figures of La Coipa. TVX`s attributable production from Can Can for the six months ending June 30, 2000, was 6,200 gold equivalent ounces. Mining operations have resumed at the Ladera Farellon pit after being halted during the first quarter for diamond drilling operations.

At the Brasilia Mine, Brazil (TVX 24.5 per cent), increased mill capacity, due to the installation of a fifth ball mill during the third quarter of 1999, resulted in a 36% increase in second quarter gold production. TVX`s share of gold production during the quarter was 14,300 ounces. Cash costs declined to $171 per ounce, a decrease of 13% over the same period last year. A major exploration program is underway in an attempt to expand the extent of the known mineralization.

At the Crixas Mine, Brazil (TVX 25 per cent), the successful implementation of the mill expansion at the end of 1999 continues to benefit production and cash costs. During the second quarter, gold production at the operation increased 26% compared to the same period last year, while cash cost declined 8% to $111 per ounce. TVX`s share of gold production for the second quarter was 12,000 ounces. The installation of a Knelson concentrator is being accelerated and should result in increased gold recoveries from the higher-grade quartz vein ore currently being developed at depth at the Mina III orebody.

At the Musselwhite Mine, Ontario (TVX 16 per cent), May 2000 was highlighted as the best month of production since the start of operations in April 1997, pouring a record 21,800 ounces of gold (3,500 ounces attributable to TVX). Second quarter gold production increased 18% year-over-year with 9,900 ounces attributable to TVX. Cash costs were down 14% to $152 per ounce compared to the second quarter, 1999. The Musselwhite Mine continues to exceed expectations and year-to-date production is 7% above budget with cash costs on budget.

At the TVX Normandy operated New Britannia Mine, Manitoba (TVX 25 per cent), the Company`s share of gold production was 6,000 ounces in the second quarter of 2000. Cash cost per ounce declined to $219 from $230 in the corresponding period last year. In April 2000, New Britannia reached a production milestone having poured 400,000 ounces of gold since start-up. Exploration since the beginning of the year has resulted in the extension of the Ruttan orebody 100 metres downdip.

Stratoni Operation ------------------

At the Stratoni operation, Greece (TVX 100 per cent), as of January 1, 2000, the Company began to treat the Stratoni lead/zinc/silver operation as a separate business unit within the Company`s 100% owned Greek subsidiary, TVX Hellas S.A.. Production for the second quarter was 256,543 ounces of silver, 3,984 tonnes of lead and 4,582 tonnes of zinc in concentrates. During the quarter, 51,961 tonnes of ore were mined, 32,504 tonnes and 19,457 tonnes from the Madem Lakkos and Mavres Petres mines, respectively.

A total of 2,081 metres of diamond drilling was completed during the second quarter. Geological interpretation will be completed mid July and a preliminary mine design will be in place by the end of July.


Summary of Stratoni Operations

---------------------------------------------------------------
Quarter ending: June 30, 2000
Tonnes Milled Grade Recovery Production
(000s) %
---------------------------------------------------------------

Stratoni Operations 50.1
Silver 186 g/t 85.70 256,500 oz
Lead 8.93% 88.21 4,000 t
Zinc 10.69% 85.59 4,600 t
---------------------------------------------------------------

Olympias Update
Following a public hearing on June 23, 2000, the Prefectural Council of the Chalkidiki region approved the Olympias project Environmental Impact Study ("EIS"). The study was referred to the Prefect of Chalkidiki by the Greek Ministry of the Environment for the statutory period of public review. Following the review, the council received public comments at the hearing and then voted by a margin of 18 to 2 to support the findings of the study. This decision by the representatives of the communities of the region is a significant vote of confidence in the Company and its development plans for the Olympias project, including its plans for the protection of the environment. This approval by the local authority is the final step required by the Ministry of the Environment before it issues the environmental terms and approves the EIS.

A hearing of all currently outstanding legal challenges to certain permits relating to the Olympias project, which were issued to its 100% owned subsidiary, TVX Hellas S.A. ("TVX Hellas"), was to be heard on June 2, 2000. The Greek Conseil d`Etat (Supreme Court for Administrative matters) postponed the hearing, on its own accord, until October 6, 2000. The postponement is to provide time for the Court to consider the recently announced Greek Central Archaeological Council ("CAC") decision, which gave clearance for the development of the Olympias project. The challenges are against the respective departments of the Greek government that issued the permits. TVX Hellas and other interested parties, including several labour unions and community groups, have been included as interveners in support of the government`s actions.

Following receipt of the EIS, the Company will apply for its construction permit and, upon receipt of this and conclusion of the legal challenge, will commence the 24-month construction period at Olympias.

Share Consolidation

At the June 27, 2000, Annual and Special Meeting of shareholders, TVX received approval of a special resolution by over 91% of the votes cast to carry through with a share consolidation on a one (1) new for five (5) old basis. A recent listing requirement of the New York Stock Exchange ("NYSE"), on which TVX trades, requires that all listed companies maintain a minimum trading price of US$1.00 per share. As TVX`s shares had not been trading above US$1.00, and due to certain covenants of the Company`s 5% Gold Linked Convertible Notes, the Company sought and attained approval for this share consolidation. The shares were posted for trading on a consolidated basis on July 31, 2000. As of July 31, 2000, the total number of shares outstanding was 35,722,353.

Normal Course Issuer Bid ------------------------

On June 6, 2000, TVX announced that the Toronto Stock Exchange ("TSE") had accepted TVX`s Notice of Intention to Make a Normal Course Issuer Bid for its common shares through the facilities of the TSE. In accordance with the share buy-back program, the Company has, to date, purchased back 1,004,000 shares at an average price of Cdn$0.91 per share. The Company may make purchases of up to a maximum of 8,000,000 common shares (1,600,000 post-consolidation), which represented approximately 4.5% of the issued and outstanding common shares at June 6, 2000. Any shares acquired will be purchased at the market price at the time of acquisition and will be cancelled. The bid will terminate on the earlier of the date determined by TVX and June 7, 2001.

Alpha Group Litigation

On June 1, 2000, the Court of Appeal for Ontario (the "Court") dismissed the appeals and cross-appeals in the action brought by the Alpha Group ("Alpha") against TVX. The result of the Court decision is to maintain the effect of the trial judgment of Madam Justice Feldman, which granted Alpha a 12% carried interest and the right to acquire a 12% participating interest in the Kassandra Mines, upon payment of applicable costs. TVX maintains its ownership in and control of the Kassandra Mines.

In dismissing TVX`s appeal, the Court of Appeal overturned the trial judge`s finding that TVX owed Alpha a fiduciary duty, which survived the termination of the agreement between TVX and Alpha. The Court, however, upheld the claim of Alpha that TVX used confidential information which belonged to Alpha.

The judgment of the Court of Appeal does not affect the ability of 1235866 Ontario Inc. ("1235866"), the successor to Curragh Inc., to continue with its action against Alpha. 1235866 claims Alpha`s interest in the mines on the basis that Alpha improperly took the business opportunity to acquire the Kassandra Mines from Curragh, and misused Curragh confidential information. TVX entered into an agreement with 1235866 in July 1999 that will ensure that these new claims will not result in any additional diminution of TVX`s interests in the Kassandra Mines.

Forward Looking Statements

Some statements in this press release contain forward looking information. These statements address future events and conditions and, as such, involve inherent risks and uncertainties. Actual results could be significantly different from those projected.

Visit the TVX Gold Web Site at: http://www.tvxgold.com

2000 First Quarter Highlights
(US$ millions, except per share
amounts; unaudited) Second Quarter Year to Date
2000 1999 2000 1999
------ ------ ------ ------
Revenue $46.7 $46.5 $88.8 $87.6
Net Earnings $0.8 $6.0 $4.8 $10.8
Less: Interest on convertible
notes(1) (2.6) (2.5) (5.0) (4.8)
Amortization of issuance
costs(1) (0.5) (0.5) (1.1) (1.1)
------ ------ ------ ------
Adjusted earnings (loss) $(2.3) $3.0 $(1.3) $4.9
------ ------ ------ ------
Earnings (loss) per share(2) $(0.06) $0.09 $(0.04) $0.15
Operating cash flow $10.8 $25.0 $25.3 $28.5
Operating cash flow per share $0.30 $0.76 $0.71 $0.87

Common shares outstanding
(millions)(2)
Weighted average 35.9 32.7 35.9 32.7
Period end 35.7 35.9 35.7 35.9




Realized Metals Prices
(US$ per ounce)
For the quarter ended June 30,
2000 1999
Gold Silver Gold Silver
------------- -------------

Spot $280.30 $5.01 $273.30 $5.10
Cash hedge(3) - - 17.80 -
Deferred revenue 66.00 (1.05) 106.00 (0.90)
------------- -------------
Realized price $346.30 $3.96 $397.10 $4.20
============= =============




Reserves and Resources
December 31, December 31,
1999 1998
------------ ------------
Reserves (ounces) (ounces)
Gold Americas 2,320,000 4,302,000
Hellenic Gold 7,510,000 6,745,000
Silver Americas 31,908,000 77,705,000
------------ ------------
Gold equivalent 10,370,000 12,379,000
Total Resources (Reserves + Resources)
Gold Americas 4,185,000 9,026,000
Hellenic Gold 9,419,000 9,450,000
Silver Americas 38,092,000 93,311,000
------------ ------------
Gold equivalent 14,250,000(4) 20,075,000



(1). $250 million, 5% gold linked convertible notes, issued March
14, 1997.
(2). Restated to reflect a 1 new for 5 old share consolidation
effective July 31, 2000.
(3). Also includes mine actual cash realized versus spot average.
(4). Represents TVX Gold`s share of precious metals reserves and
resources after completion of the TVX Normandy transaction,
effective July 1, 1999.


Consolidated Statements of Operations
(US$ thousands, except per share
amounts; unaudited) Second Quarter Year to Date
2000 1999 2000 1999
------- ------- ------- -------
Revenue $46,691 $46,513 $88,809 $87,640
------- ------- ------- -------

Mine Operating Costs
Cost of sales 29,488 26,000 54,757 45,574
Depletion and depreciation 9,787 14,531 19,025 25,761
------- ------- ------- -------
39,275 40,531 73,782 71,335
------- ------- ------- -------
Earnings from Mining Operations 7,416 5,982 15,027 16,305
------- ------- ------- -------

Other Expenses (Income)
Corporate administration 2,079 2,082 4,257 4,160
Interest expense 917 1,324 1,600 2,733
Exploration 1,327 1,048 2,339 2,319
Foreign exchange loss (gain) (244) (97) (580) 1,374
Interest income (1,837) (1,744) (4,289) (3,681)
Gain on disposal of minority
interests - (4,197) - (4,197)
Other, net 922 (131) 1,002 (923)
------- ------- ------- -------
3,164 (1,715) 4,329 1,785
------- ------- ------- -------

Earnings before the undernoted 4,252 7,697 10,698 14,520
Income taxes (note 1) 2,523 1,711 4,246 3,714
Minority interests and
participation rights 939 - 1,657 -
------- ------- ------- -------

Net Earnings $790 $5,986 $4,795 $10,806
------- ------- ------- -------

Earnings (Loss) Per Share*
(note 2) $(0.06) $0.09 $(0.04) $0.15

* After accounting for interest and amortization of issuance
costs on the 5% gold-linked convertible notes

Note 1. Change in Accounting Policy
Effective January 1, 2000, in order to comply with new
Canadian accounting standards, the Company changed the method
of accounting for income taxes to the liability method from
the deferral method. This change was adopted retroactively
without restatement of the 1999 comparative figures. As a
result, retained earnings at January 1, 2000 have been reduced
by $2,102 and the effect on earnings for the six-month period
ended June 30, 2000 was not material.

Note 2. Common Share Consolidation
Earnings per share has been retroactively restated to reflect
a 1 new for 5 old share consolidation, which was effective
July 31, 2000.



Consolidated Balance Sheets
(US$ thousands; unaudited)
June 30, December 31,
2000 1999
Assets
Current assets
Cash and cash equivalents $110,574 $147,176
Short-term investments 19,345 18,375
Accounts receivable 21,682 23,161
Inventories 41,589 39,849
------- -------
193,190 228,561

Mining property, plant and equipment 492,563 480,020
Deferred charges 7,143 6,692
Deferred income taxes (note 1) 7,599 -
Other assets 21,601 24,898
------- -------
$722,096 $740,171
======= =======

Liabilities
Current liabilities
Accounts payable and accrued liabilities $34,760 $31,986
Current portion of long-term debt 33,755 47,253
Current portion of deferred revenue 7,762 10,498
------- -------
76,277 89,737

Long-term debt 29,492 38,382
Other liabilities 24,974 24,694
Deferred income taxes (note 1) 29,544 19,263
------- -------
160,287 172,076

Minority interests and participation
rights 172,825 181,246
------- -------
333,112 353,322
------- -------
Shareholders` Equity
Capital stock 382,968 385,052
Contributed surplus 1,526 -
Gold-linked convertible notes 227,740 221,635
Deficit (note 1) (223,250) (219,838)
------- -------
388,984 386,849
------- -------
$722,096 $740,171
======= =======

Note 1. Change in Accounting Policy
Effective January 1, 2000, in order to comply with new
Canadian accounting standards, the Company changed the method
of accounting for income taxes to the liability method from
the deferral method. This change was adopted retroactively
without restatement of the 1999 comparative figures. As a
result, retained earnings at January 1, 2000 have been reduced
by $2,102 and the effect on earnings for the six-month period
ended June 30, 2000 was not material.


Consolidated Statements of Cash Flows
(US$ thousands; unaudited)

Second Quarter Year to Date
2000 1999 2000 1999
------- ------- ------- -------
Operating Activities
Net Earnings $790 $5,986 $4,795 $10,806
Non-cash items:
Depletion and depreciation 9,787 14,531 19,025 25,761
Deferred income taxes 792 (1,203) 1,005 (722)
Minority interests and
participation rights 939 (4,197) 1,657 (4,197)
Other 2,960 - 2,823 121
Deferred revenue (2,764) (3,804) (5,600) (8,068)
------- ------- ------- -------
12,504 11,313 23,705 23,701
Change in working capital (1,715) 13,656 1,613 4,821
------- ------- ------- -------
Cash provided by operating
activities 10,789 24,969 25,318 28,522
------- ------- ------- -------

Investing Activities
Mining property, plant
and equipment (16,478) (13,129) (31,900) (29,591)
Net proceeds on disposal
of minority interests - 180,053 - 180,053
Minority interest dividend (5,000) - (10,078) -
Short-term investments 9,699 6,685 (970) 17,143
Other (229) 298 955 348
------- ------- ------- -------
Cash used for investing
activities (12,008) 173,907 (41,993) 167,953
------- ------- ------- -------

Financing Activities
Common shares (626) 24,000 (626) 24,000
Gold-linked convertible notes 500 720 (5,137) (4,706)
Long-term debt repayments (8,039) (94,923) (14,164) (94,873)
------- ------- ------- -------
Cash used for financing
activities (8,165) (70,203) (19,927) (75,579)
------- ------- ------- -------

Increase (decrease) in cash
and cash equivalents (9,384) 128,673 (36,602) 120,896
Cash and cash equivalents,
beginning of period 119,958 33,455 147,176 41,232
------- ------- ------- -------

Cash and cash equivalents,
end of period $110,574 $162,128 $110,574 $162,128
======= ======= ======= =======