TORONTO -- Goldcorp Inc. has no plans for major acquisitions or mergers, and is instead looking to small deals to complement its pipeline of new mines, the company's head of corporate development said yesterday.
Debt-free and with $1.3-billion (U.S.) in cash on its balance sheet, the Vancouver gold producer could afford a large-scale takeover but is focused on its slate of development projects, which it hopes will increase production by more than 50 per cent over five years, executive vice-president Charles Jeannes said.
Acquisitions will be modest and restricted to assets near the company's current operations.
"We are looking for things in our districts, things that are strategic, things that are more what I call bolt-on type asset transactions rather than the big transformational company mergers. Those are not in our headlights right now," Mr. Jeannes said.
Look for Goldcorp to agressively acquire junior companies this year in areas where it's best future potential lies....RED LAKE & ELEONORE camps. Sirios (SOI) has 40km of strike length along the Eleonore/Eleonore South contact. This makes SOI the easiest and cheapest way to gain a larger land package in this camp. The Kukamees property (100% SOI) is the *sleeper* in the camp and should bring about many new discoveries in 2008. They have some of the highest gold in soil anomalies in the camp. Everton also looks like a very attractive takeover target with a large land position in both Opinica and the DR (areas where Goldcorp has property).
2008 should be the best Opinica year yet - I expect many new discoveries. A true gold camp opening up with abundant opportunity to make huge $$ on this area play. The Eleonore South news should get things kicked off nicely in the very near future. Can't see SOI at these levels much longer people.