UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 3
INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES
1. Name and Address of Reporting Person
Smith, Jeffrey L.
1200 Prospect St. Suite 325, La Jolla, CA 92037
2. Date of Event Requiring Statement (Month/Day/Year)
02/11/99
3. IRS or Social Security Number of Reporting Person (Voluntary)
4. Issuer Name and Ticker or Trading Symbol
SGI International (SGII)
5. Relationship of Reporting Person(s) to Issuer (Check all applicable)
(X)Director ( )10% Owner ( )Officer (give title below) ( )Other (specify below)
6. If Amendment, Date of Original (Month/Day/Year)
7. Individual or Joint/Group Filing (Check Applicable Line)
(X) Form filed by One Reporting Person
( ) Form filed by More than One Reporting Person
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Table I -- Non-Derivative Securities Beneficially Owned
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1. Title of Security
Common Stock
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2. Amount of Securities Beneficially Owned
(A) 717,368
(B) 10,286
(C) 29,196
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3. Ownership Form: Direct (D) or Indirect (I)
(A) (D)
(B) (I)
(C) (I)
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4. Nature of Indirect Beneficial Ownership
(B) Amount represents ownership percentage in partnership holding
25,715 shares of common stock.
(C) Amount held by LFC Management Corporation owned 100% by reporting
person.
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Table II -- Derivative Securities Beneficially Owned
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1. Title of Derivative Security
Warrants
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2. Date Exercisable and Expiration Date (Month, Day, Year)
Expiration Date: Date Exercisable:
Warrants: (A) 12/31/01 Immediately
(B) Three years after construction of first commerical
plant.
(C) Three years after construction of first commerical
plant.
(D) 12/31/06 Immediately
(E) 12/31/04 04/01/00
(F) 12/31/04 04/21/00
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3. Title and Amount of Securities Underlying Derivative Security
Title: Common Stock
Amount or Number of Shares:
Warrants: (A) 15,086 shares
(B) 14,845 shares
(C) 17,893 shares
(D) 50,000 shares
(E) 10,000 shares
(F) 17,500 shares
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4. Conversion or Exercise Price of Derivative Security
Warrants: (A) $5.75
(B) $9.50
(C) $9.50
(D) $5.87
(E) $0.125
(F) $0.12
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5. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(A) (I)
(B) (I)
(C) - (F) (D)
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6. Nature of Indirect Beneficial Ownership
(A) Amount represents ownership in partnership holding 37,714 shares
underlying two warrants.
(B) Amount held by LFC Management Corporation owned 100% by reporting
person.
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Explanation of Responses:
(1) Incentive stock options are exercisable only after the underlying stock is
registered or after the passage of one year.
/s/ JEFFREY L. SMITH July 29, 1999
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Signature of Reporting Person Date
