Pescod Mention: $2.75/$3 target pricesIt was a bit of a shock to find out that Bill Fisher, the CEO
and Director of Globestar Mining has resigned his position
from Globestar effective immediately to pursue other interests.
He is actually quite a busy guy as he’s also Chairman
of Aurelian Resources, the folks that found that huge 13 million
ounce gold deposit in Ecuador. There is also another junior
that he is involved with as well, so he is a busy guy.
Meanwhile, it looks like Globestar continues to develop
their Cerro de Maimon mine in the Dominican Republic.
Thomas Weisel and Partners writes on Friday, February 1st,
“Globestar has built a strong operating team that can continue
to carry both the mine and nickel/copper exploration
programs forward at its current pace. Chief Operating Officer
Jean-Pierre Chauvin, a Mining Engineer, continues to
lead construction of the Cerro de Maimon mine which is on
track for production in mid-2008…”
“Fiscal discipline comes from Dave Massola, CFO, with a
long history of mining finance with De Beers Canada Inc.
and 20 years with BHP-Billiton. In the Dominican Republic,
top operating and exploration teams are led by Jose Antonio
Ruiz, Mine Manager with over 23 years experience including
16 years at Pueblo Viejo.” and Julio Espaillat, Exploration
Manager and a highly regarded geologist with the Dominican
Republic and spent 12 years with Falconbridge Dominicana
(Falcondo).”
They end with the conclusion “Although we are disappointed
to see Mr. Fisher go, the in-house team is more than
capable of bringing the mine into production and exploration
projects going at their aggressive pace. The stock continues
to offer excellent value, investors exposure to a fully
financed copper-gold mine, strong exploration potential and
a rapidly growing nickel project. Our overweight rating and
$3.00 target are unchanged.”
Meanwhile, taking over the position left by Fisher is Larry
Ciccarelli, who was one of the original developers of
Globestar Mining and through his participation at Carr Securities,
has interests of up to 14% in the project. While chatting
with him he is bemoaning more than a bit the recent
market setbacks that have hit the mining industry and for
down the road, he remains quite bullish."