Re: Thursday, June 19, 2008
The latest drilling results, released June 17, from the Little Deer
copper project located near Springdale, Newfoundland & Labrador, Canada
are certainly very encouraging. To read the full release entitled
"Cornerstone and Thundermin report intersection of 2.2% copper over 74
metres including an interval of 6.5% Cu over 8.6 metres on the Little
Deer Joint Venture, Newfoundland" please go to link
http://www.cornerstoneresources.com/s/NewsReleases.asp and check
This apparently new copper zone that was recently intersected in hole
LD-98-07D is located approximately 50 m north of the high-grade copper
horizon that has been the focus of Cornerstone's and Thundermin's
drilling program on the property to date (Table 1, News Release dated
June 9, 2008) .
Copper assays ran 2.2% Cu over a core length of 74.0 m, including
intervals of 6.5% Cu over 8.6 m, 2.6% Cu over 13.0 m; 2.8% Cu over 7.3
m and 2.9% Cu over 10.6 m. We are awaiting assay results on Gold and
Our drilling to date has been designed to test the historical
copper-bearing horizon on the property but this latest intersection
appears to be a new discovery and adds a potentially whole new
dimension to this project. The partners are excited about these results
and look forward to further drilling on the project.
In other news recently Cornerstone and Altius have formed an alliance
to explore for copper in the Labrador Trough. See
http://www.cornerstoneresources.com/s/NewsReleases.asp for details.
Finally it seems that some life is trickling back into some Ecuadorian
stocks as there are some 'encouraging' reports through some news groups
such as the one at
At Cornerstone we are maintaining a wait and see attitude
while working closely with the Ecuador Chamber of Mines and the MMP as
one of the eight companies that now form the "Consejo de Mineras
Canadienses" (CONMIN). This group of eight responsible Canadian mining
and exploration companies (including CESA, Cornerstone's wholly owned
Ecuadorian subsidiary) is working hard to find a way to ensure that the
interests of the companies are protected through the regulations of the
Before the mining moratorium was imposed on April 18, 2008 Cornerstone
was working on the Macara Gold project with Newmont, the Shyri Gold
project with Coastport, the La Plata Gold rich VMS project with Sultana
and other 100% wholly owned promising Cornerstone properties. Investors
may refresh their memories on some of these projects by visiting
For a complete overview of all of Cornerstone's properties and JV
projects visit http://www.cornerstoneresources.com/s/Projects.asp.
Investors often express the opinion that the Cornerstone share price
does not reflect the value of its various properties and projects. In
some cases a company with a single project and similar share structure
may experience a higher share price and more robust liquidity. Over the
years we've struggled with that and in conversation with executives
from other companies that subscribe to the JV model it appears that it
is an issue common to prospect generators. One letterwriter expressed
the opinion that for the most part the average investor wants to focus
on one project. As most investors may not have the time to do a lot of
DD they find the variety of projects pursued by prospect generators to
be somewhat overwhelming. Therefore
they may opt to invest in a single
On the other hand there are a number of very successful junior resource
investors who invest primarily in prospect generators such as
Cornerstone. One well known Investor compares buying stock in any
junior resource company to buying a lottery ticket -- very high risk
and very high potential returns. By investing in a single project
company the investor gets one lottery ticket. However by investing in a
prospect generator the investor gets a number of 'lottery tickets' that
is equal to the number of properties and JV projects, all in one
investment. The odds for success increases and sometimes success can
occur unexpectedly on projects that are undervalued by the market.
Prospect generators that subscribe to the JV model fund work on their
projects primarily with OPM (other partner's money), and at any given
time Cornerstone has several such projects ongoing, each one in a sense
constituting a 'lottery ticket'. For the company and its shareholders
it also mitigates the inherent risk in exploration.
Obviously each Investor has to find the niche that fits his risk
threshold and investment strategy. For those who choose to invest in
junior resource companies, investment in prospect generators, in our
opinion, is worthy of consideration.
For those who would like to find out more about Cornerstone, its
strategy, and expectations for 2008 please contact either of the
Colin B. McKenzie, President & CEO
Cornerstone Capital Resources Inc.
Excellence in Mineral Exploration
"People, Process, Projects"
TSXV - "CGP" / OTC - "CTNXF"
F - "GWN" / B - "GWN"
Toll Free 1-877-277-8377
Certain statements contained in this email may be considered as
forward-looking. Such forward-looking statements are subject to risks
and uncertainties that could cause actual results to differ materially
from estimated or implied results.
Copyright (c) 2008 CORNERSTONE CAPITAL RESOURCES INC. (CGP) All rights
reserved. For more information visit our website at
http://www.cornerstoneresources.com/ or send
Message sent on Thu Jun 19, 2008 at 4:00:00 AM Pacific Time