Drolet Stock Notes on Cornerstone Capital Resources: Bets are open to acquire a stake in the largest copper-gold discovery in Ecuador
Mario Drolet, President of MI3 Communications Financières Inc. (MI3), released his Drolet Stock Notes on Cornerstone Capital Resources Inc. (TSXV: CGP) on October 23, 2020 for exclusive distribution on InvestorIntel. Highlights include:
- For the second time, Cornerstone Successful in Defence Against SolGold’s Hostile Bid.
- BHP and Newcrest each own 13.6% of the joint venture partner and project operator SolGold.
- BHP’s cost base of ~C$11/CGP share and he was restricted (Standstill Subject to permitted exclusions, BHP has agreed not to acquire further shares in, or make an offer for, SolGold) until October 19, 2020.
- Cornerstone’s interest in Cascabel provides an attractive opportunity for a potential acquirer to secure a strategic position superior to any other SolGold shareholder.
- CGP traded over 2.1 Million shares between $3.49 & $6.53
- Support: S2; $ 4.75 S1; $5.25 Resistance: R1; $5.85 R2; $5.97
About Cornerstone Capital Resources Inc.
Cornerstone Capital Resources Inc. is a mineral exploration company with a diversified portfolio of projects in Ecuador and Chile, including the Cascabel gold-enriched copper porphyry joint venture in northwest Ecuador. Cornerstone has a 21.4% direct and indirect interest in Cascabel comprised of (i) a direct 15% interest in the project financed through to completion of a feasibility study and repayable at Libor plus 2% out of 90% of its share of the earnings or dividends from an operation at Cascabel, plus (ii) an indirect interest comprised of 7.6% of the shares of joint venture partner and project operator SolGold Plc. Exploraciones Novomining S.A. (“ENSA”), an Ecuadoran company owned by SolGold and Cornerstone, holds 100% of the Cascabel concession. Subject to the satisfaction of certain conditions, including SolGold’s fully funding the project through to feasibility, SolGold Plc will own 85% of the equity of ENSA and Cornerstone will own the remaining 15% of ENSA.
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Disclaimer: This Mario Drolet Stock Notes are produced by MI³ Communications Financières is neither an offer to sell, nor the solicitation of an offer to buy any of the securities discussed therein. The information contained is prepared by MI3, emanating from sources deemed to be reliable. MI3 Communications Financières makes no representations or warranties with respect to the accuracy, correctness or completeness of such information. MI³ Communications Financières accepts no liability whatsoever for any loss arising from the use of the information contained therein. Please take note that for compliance purposes, all directors, consultants or employees of MI3 Communications Financières are prohibited from trading the securities of the company and MI3 Communications Financières is a shareholder and do not intend to sell any shares during the distribution of this report.