LOL->Thom Calandra's StockWatch: Crystallex executive says shares are cheap
Date: 6/10/2003 1:31:04 PM Eastern Standard Time
From: CBS MarketWatcher <reports@marketwatchmail.com>
To: XXXXXXXXXXXXXX
Sent from the Internet (Details)
Thom Calandra's StockWatch
<a href="http://cbs.marketwatch.com/news/story.asp?column=Thom+Caland...>http://cbs.marketwatch.com/news/story.asp?column=Thom+Caland...</a>
============================ Our Sponsor ============================
THE SINGLE BIGGEST INVESTMENT OPPORTUNITY OF 2003?
Once you click on the link below you'll completely understand why this
opportunity is so enormous... and why we're so confident we could
significantly increase the value of your portfolio in 2003. Click
below to
<a href="http://www.agora-inc.com/reports/OXF/WOXFD541/">http://www.agora-inc.com/reports/OXF/WOXFD541/</a>
______________________________________________________________________
CRYSTALLEX CEO SAYS STOCK IS CHEAP
SAN FRANCISCO (CBS.MW) - The chief executive of Crystallex International Corp. on Tuesday called the gold miner's shares "severely undervalued" and said he is confident the company will develop its vast gold deposits in Venezuela.
"We are not going to speculate on M&A at this time," Chief Executive Marc Oppenheimer said in an interview at the San Francisco Gold Forum.
Crystallex (KRY) shares rose more than 20 percent earlier in the week after The Calandra Report (<a href="http://cbs.marketwatch.com/commerce/theCalandraReport.asp?si...>http://cbs.marketwatch.com/commerce/theCalandraReport.asp?si...</a>), a subscription service owned by CBS MarketWatch, quoted a mining analyst as saying he expects a bid for the entire company before its June 26 annual shareholder meeting.
Crystallex shares have been under a cloud for years as it struggled to win government approvals to develop the vast Las Cristinas deposit amid the political turmoil of Venezuela. Those approvals came in September 2002, but investors are skeptical the tiny Toronto company can raise the several hundred million dollars necessary to turn the holding into a full-fledged gold mine.
The first phase of the project would cost $250 million, Oppenheimer estimated on Tuesday.
Robert Bishop of Gold Mining Stock Report (<a href="http://www.goldminingstockreport.com/">http://www.goldminingstockreport.com/</a>) told The Calandra Report that shares of Crystallex would double or triple after an offer from a mid-sized or large bullion miner. The size of Crystallex's Las Cristinas proven and probable gold reserves is almost 10 million ounces.
"I think the company is building itself to be taken out," Bishop, a longtime mining analyst and financial writer, said. More later this week in
The Calandra Report (<a href="http://cbs.marketwatch.com/commerce/theCalandraReport.asp?si...>http://cbs.marketwatch.com/commerce/theCalandraReport.asp?si...</a>).
Crystallex's Oppenheimer said his company fully intends to pursue financing of the Venezuela deposit. "Our objective is to build the project. We've built the management team."
_______________________________________________________________________
A former Barrick Corp. (ABX) officer, Ken Thomas, is now Crystallex chief operating officer, Oppenheimer noted.
Crystallex had $34 million of debt as of March 31. Oppenheimer estimated the company's reserve assets - proven and provable gold ounces in the ground -- were worth as much as $45 a share. Crystallex shares Tuesday midday were selling for $1.20 on the American Stock Exchange.
"Our ability to produce gold will not be limited by our reserves," he said at the gold forum, sponsored by Denver Gold Group, a trade organization. The CEO said he expects a feasibility study on the development of Las Cristinas into a 20,000-tonne-per-day open-pit mine to be published by SNC-Lavalin by September of this year.
The company has hired Deutsche Bank to help arrange project financing. "Deutsche Bank has met with the Venezuela government, and I think that speaks for itself," he said. "I would make the argument that Crystallex's shares are severely undervalued."
Oppenheimer and his fellow executives now must hope the investing public begins to feel the same way.
_______________________________________________________________________
FIND OUT WHAT'S HAPPENING OFF WALL STREET
Get a weekly roundup with the latest investment newsletter insights and strategies from star columnists Mark Hulbert, Peter Brimelow, Thom Calandra, and guest editors. Sign up to receive the free Investment Newsletter Insights <a href="http://cbs.marketwatch.com/subscriptions/subscriptions.asp?d...>Sign up to receive the free Investment Newsletter Insights</a>
THE CALANDRA REPORT
Thom's latest two speculative buys are up 50% and 15% in just 6 weeks. Find out who they are with The Calandra Report. In every issue, Thom utilizes his financial reporting and expertise to disclose investment favorites to help you assess your portfolio. Subscribe today! <a href="http://cbs.marketwatch.com/commerce/theCalandraReport.asp?pn...>/commerce/theCalandraReport.asp?pname=tcr&dist=nwtwatch&siteid=mktw</a>
THE HULBERT FINANCIAL DIGEST: A BUYER'S GUIDE TO INVESTMENT NEWSLETTERS
For the past 20 years, thousands of investors have turned to The Hulbert Financial Digest (HFD) for objective performance rankings of over 160 investment newsletters and the 500+ portfolios they recommend. Find out which investment newsletters are right for you with the HFD Monthly Newsletter. Subscribe today and receive 50% off plus free bonuses with your order. <a href="http://cbs.marketwatch.com/commerce/store.asp?dist=nwtwatch&...>Subscribe today and receive 50% off plus free bonuses with your order.</a>
SPECIAL OFFERS
Get special offers from our partners like Barron's, InvestBio, Forbes, and Options Industry Council. There is no obligation or risk. Sign up today! <a href="http://cbs.marketwatch.com/subscriptions/partneroffers/membe...>Sign up today!</a>
______________________________________________________________________
This e-Newsletter is sent to you as an opt-in member of our site.
To change your format preference to html, go to:
Questions? Please contact us at:
<a href="http://cbs.marketwatch.com/support/feedback.asp?siteid=mktw">http://cbs.marketwatch.com/support/feedback.asp?siteid=mktw</a>
Thank you.
CBS MarketWatch
______________________________________________________________________
Intraday data provided by S&P Comstock and subject to terms of use.
Historical and current end-of-day data provided by FT Interactive Data.
Copyright 1997-2003 MarketWatch.com, Inc. All Rights Reserved.
MarketWatch, Inc. is a publicly traded company, Nasdaq: MKTW.
CBS.MarketWatch.com is TRUSTe Certified.
To see our Privacy Policy for details, click:
<a href="http://cbs.marketwatch.com/support/privacy.asp?siteid=mktw">http://cbs.marketwatch.com/support/privacy.asp?siteid=mktw</a> |
