The Gold Crusader advances GATA''s cause


12:10a EST Wednesday, December 15, 1999

Dear Friend of GATA and Gold:

Here's something unusual: Mainstream press commentary
in favor of gold. It's from Thom Calandra over last weekend
at It seems largely
responsible for the jump in price of shares of Golden Star
Resources (GSR) on Monday and Tuesday.

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.

* * *


By Thom Calandra
December 13, 1999

Don't cringe. Gold stocks are worth a look, especially
for those of you who are wringing your hands, watching
the tech train accelerate without you on board. And for
those enjoying their breezy ride on the train of
locomotive tech shares, maybe it's time for some

The whole world is talking technology. But you're
wondering -- did you miss the boat? Yahoo at 350 a
share, after all, might not be not your idea of smart

So? While investors everywhere are zigging, maybe it's
time you zagged? Into gold stocks.

Don't cringe. Sure, gold stocks are the very antithesis
of technology stocks. Slow. Dull. Cheap. An ounce of
gold sells for less than 300 bucks ($280 or so).
Central banks like the bank of England are selling tons
of the stuff.

And gold -- near a 20-year low -- is one of the few
commodities this year that has yet to rebound in a big

Still, savvy fund managers are placing their bets on
gold mining stocks. Why?

Demand for gold jewelry is exceeding output, thanks to
recovering economies in Asia, the Middle East and
India, according to trade groups like the World Gold

Fund managers and nervous investors -- with one eye on
a possible Year 2000 panic -- are looking to hedge the
enormous gains they've made in technology stocks with
something more basic.

Gold mining companies themselves are ending their
practice of selling forward their production of the
metal -- a practice that has been a drag on the market.

Alan Snyder of Snyder Capital Management L.P. in San
Francisco tells me he sees a big price move coming ...
and soon. His favorites are Golden Star Resources
(GSR), a tiny Denver company that mines in Africa and
South America, and Cambior Inc. (CBJ) of Montreal. Both
are highly speculative investments that would benefit
greatly if gold prices rose sharply above $350, Snyder

"With Golden Star, at $325 an ounce or $350 an ounce,
you're opening up a whole new area -- mines that can be
profitable," Snyder said. Earlier this autumn, when
gold prices shot up to about $330 an ounce, shares of
Golden Star rose above $2 a share from about 50 cents a
share on the American Stock Exchange. The stock sells
for about 75 cents a share now that gold prices have

In Snyder's words -- "Hang on, because when the ride
comes, it's going to be fun.I see a multi-year move

Snyder says traditional investors might want to look at
larger, better known gold mining companies. Golden Star
and Cambior are examples of small mining companies that
would be able to open profitable mining operations if
gold prices rise. Gold investors have been waiting for
that ride for a long long time.