Acero-Martin Exploration - Making Serious Progress in Peru
February 25th, 2008
Vancouver, BC
Good afternoon – Recently, Malcolm Bucholtz of the Commodity Supercycle Report featured Acero-Martin in an update to his readers. Malcolm makes some interesting and timely comments regarding Acero-Martin and the fundamental value of our Pinaya deposit that I feel are worthy of your consideration. His article is below, and I hope you will take a moment to read his report.
Thank you for your interest in Acero-Martin Exploration and best regards.
Ryan Fletcher
Acero-Martin Exploration Inc.
(604) 999-5603 Phone
(800) 884-5269 Toll Free
(604) 646-0640 Fax
Email: ryan@acero-martin.com
www.acero-martin.com
Acero-Martin Exploration - Making Serious Progress in Peru
By Malcolm Bucholtz of the Commodity Supercycle Report
My frustration with these bizarre markets continues. Gold is visiting in the $900 neighborhood yet the markets continue to shun smaller up and coming Gold stories, Copper stories, and in fact all resource stories worse than Rudy Giulianni was shunned by voters in Florida this week.
One story that I like is that of Canadian based Acero-Martin Exploration (TSXv:ASD). Acero Martin's flagship property is the Pinaya copper-gold deposit in southern Peru.
Before the sound of the word Peru sends you running into the streets, just remember one thing:
Peru is Latin America’s largest gold producer, largely as a result of revised mining laws instituted in the 1990’s which prompted the subsequent exploration attention by several international mining companies. Newmont Mining Corporation’s Minera Yanacocha, Latin America’s largest gold mining operation, commenced production in the early 1990’s and is now producing over 2 million ounces of gold annually. In 1998, Barrick Gold Corporation’s Pierina mine started production and now yields approximately 900,000 ounces of gold annually, and more recently Barrick has put their Laguna Norte mine into production with reported reserves in excess of 10 million ounces of gold.
Base metal exploration also increased in the 1990’s with the privatization of the Antamina copper-zinc skarn deposit in north central Peru resulting in over US $2 billion of investment by the owners, Noranda and Teck-Cominco. In addition, the Tintaya copper mine, one of the largest copper producers in Peru and situated 70 km north of the Acero's Pinaya property, was privatized in late 1994. Australian based Xstrata has recently purchased the Tintaya mine from BHP-Billiton for US $750 million. I think I have more than made my point. Peru is a mining mecca.
What Acero-Martin has identified at Pinaya is over 25 million tonnes of mineralization containing a resource of some 666,000 ounces Gold and 385 million pounds Copper. This is sufficient to support a 15,000 tonne per day mining operation for 6 years. In other words, Acero-Martin is off to an excellent start. If it can continue to build out this resource (and I am certain it can) it will have little trouble attracting the necessary bank financing to build a mine.
Do the markets care? Of course not. If I were to buy all of Acero's shares right now at market prices I would pay nearly $18 million dollars. And for this I would end up with the solid beginnings of a mineable ore body. This market cap effectively values Acero's Copper resource in the ground at 20 cents per pound and its Gold at $11 per ounce in the ground. Downright depressing. Hello!! Anybody home out there ??
Acero Martin is a steal at these prices. Take a real hard look at it. Go to their website at www.aceromartinexp.com. These junior markets will one day soon wake up to the realities of $900 Gold and when they do investors who had the good sense to take positions in companies like Acero-Martin when the rest of the crowd was running away in fear will be smilin' all the way to the bank.
Source: Malcolm Bucholtz Feb 2008
For further information, contact us at
1 877 646 0067
Email: info@acero-martin.com or visit our website http://www.acero-martin.com |