Why Junior Mining is a Game for Insiders

Date Event

July 11/12, 1989 Idziszek and Mallo visit the drill camp and are very impressed with their visual observations. A new zone of mineralization is identified and Mallo states that there is a very good chance that the reserves are doubling.
July 12, 1989 Calpine grants options on 100,000 of its common shares to the Calpine Employee Plan at a price of $1.44 per share, the previous close being $1.63 per share.
July 13, 1989 A news release is issued describing the location of the drilling. The assay results for the first hole, hole 71, are ready but they are not disclosed in the news release.
July 19, 1989 Calpine issues a news release disclosing the first assay results from the summer drilling program.
July 26, 1989 While reviewing the daily fax sent from the drill camp, Mallo finds out that hole 109 is out of the ordinary. Mallo receives chip samples from hole 109 and has assays done on them. At least one of the samples shows very high gold and silver values.
July 28, 1989 While on vacation, Idziszek is advised that visible gold has been discovered in hole 109. He immediately phones the respondent Ivany to advise him of the discovery. He then calls Mallo who informs him of the results of the chip sample assays for hole 109.
July 31, 1989 In the morning, Calpine grants options on 100,000 of its common shares to Leslie MacConnell, a long-time associate of Pezim's, at a price of $2.32 per share, the previous close being $2.55. Idziszek and Mallo visit the drill camp, arriving about noon. After viewing the drill core and confirming the finding of visible gold, Idziszek phones Pezim at about 1:30 p.m. and informs him of the visible gold. In the late afternoon, Pezim signs and files a declaration in which he certifies that there are no undisclosed material changes in the affairs of Calpine.
August 1, 1989 Idziszek and Mallo begin to prepare a news release and correlate the assay results that are in the office.
August 2, 1989 At Pezim's request, trading in Calpine's shares is halted from 9:40 a.m. until 9:30 a.m. the following day. A news release is issued announcing the assay results for several more holes as well as the discovery of visible gold in hole 109.
August 14, 1989 The final gold and silver assays for holes 93 and 101 arrive. They included "very good numbers".
August 15, 1989 Prime reduces, to $2.13 per share, the exercise price of options on 3,351,383 of its common shares already granted, the previous close being $2.47. Most of these options are held by Senior Management of Prime, including the respondents. In the afternoon, Calpine issues a news release disclosing the assay results for holes 93 and 101.
August 16, 1989 The final total gold assays for hole 109 arrive at Prime Explorations in the afternoon.
August 17, 1989 Prime grants options on 125,000 of its common shares to Richard Warke and Murray Garrison, two Prime employees, at an exercise price of $2.28 per share, the previous close being $2.50. In the afternoon, Pezim signs and files a declaration in which he certifies that there are no undisclosed material changes in the affairs of Prime.
August 22, 1989 Calpine issues a news release (dated August 21) disclosing a detailed description of the assay results for hole 109, as well as information on visual observations of nearby holes that had been subsequently drilled.
August 24, 1989 Calpine grants options on 100,000 of its common shares to the Calpine Employee Plan and to Norman Pezim, Murray Pezim's brother, at an exercise price of $4.78 per share, the previous close being $6