Claude Res Inc CLGRF

RE: Red Lake/Madsen

[oddykog]

Management has in fact said themselves that they will be happy to take Madsen back on January 1st, 2007. They made the statement at the San Francisco gold conference last autumn, essentially saying that they thought it unlikely that Placer would deliver a positive bankable feasibility study by the end of this year. As far as I know, Goldcorp will get hold of the Placer assets in the Red Lake camp some time in April. If they want to develop Madsen they will have to negotiate with Claude on how that can be done. My take is that Goldcorp will have little interest in Seabee. For a company with their volume of gold production a peanut mine just moving from 48 000 ounces/year to 100 000 ounces/year (we hope) by 2007 or 2008 is not worth the bother. If Claude really wants to be bought out, I suppose they could buy all the gold assets and sell Seabee to another miner willing to take it on. With GG shares pretty strong they would be able to swap their paper for our paper without much of a blip, even if we get C$3 or so for our shares.