7936567 Canada Inc SWYDF

RE: Dundee sole seller at 1.04

[shambano]

I expected a little bigger pop for SWY myself but no one can predict the market all the time. As more results are reported and if they can continue to beat previous average grades then it will all come down to the valuation and if that beats previous modeled prices of 88 US per carat, then we have a mine for sure, IMHO. Don't forget they have Lynx and other dykes that can make a big difference in total tonnage and will definitely sway the economics of this project. Also no one is pricing in new discoveries at Renard that could also make a big difference in the economics of a Renard Mine. But all said I agree with Stokpicker, SWY just likes ACA needs to separate exploration from late stage mining phase properties otherwise dilution will kill SWY just as it did ACA, and TAH. The diamond business is just too darn slow and too darn expensive b4 they can get to mining stage, DeBums has the capital and experience to play this game; the other small guys don't have the staying power with the deep pockets of a DeBums. I think Eira is trying to change that by consolidating ACA, and SWY and CO, but it will still be difficult as she is finding out. On a positive note SRM spun-off their gold exploration properties and that worked out very well for shareholders (myself included) so Eira might very well spin-off Renard into a new company at some point in 2007 and JV with Agnico for pre-feasibility. Maybe after the valuations are completed and they need to raise big bucks for a big pre-feasibility drilling program in 2008. SWY should however get back to 1.25 – 1.40 once the selling is over especially if Will P can make these results sound promising. Oh well, just musing here, GLA