2013-02-07 19:41:19 -
Vancouver, British Columbia, February 7, 2013 - Investment firm Canaccord
Genuity has reiterated their buy recommendation for Bear Creek Mining
(TSXV:BCM), with analyst Nicholas Campbell maintaining his speculative buy
rating and 12-month target price at $5.25, a 62% premium to today's price of
$3.25 per share.
InvestmentPitch.com has produced a "video news alert" about Bear Creek
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Bear Creek is a Vancouver-based junior exploration and development company
focused on precious metal projects in Peru. The company's Corani and Santa Ana
Projects contain more than 500 million ounces of silver of which over 330
million ounces are in reserves providing near-term production potential and
excellent leverage to silver prices.
The feasibility study for the flagship
Corani Project estimates average annual
production of over 13 million ounces of silver (plus lead and zinc credits) for
the first five years of a 20-year mine life, with extremely low cash costs and
fast payback of capital costs.
The feasibility study for the Santa Ana project defines a low-cost "pure silver"
mine, producing 5.0 million ounces annually in the first six years of an
estimated 11-year mine life.
Canaccord's updated research report followed the announcement that the Peruvian
judge had dismissed the civil suit lodged by the previous government alleging
that Bear Creek improperly acquired the mineral concessions at the Santa Ana
silver deposit. The Ministry of Energy and Mines has subsequently notified the
company that they plan to appeal the decision to the Peruvian Superior Court.
The company believes the current civil case ruling is expected to provide
further motivation for the Peruvian government to reach a negotiated settlement
regarding Santa Ana, which has always been the company's desired outcome.
Analyst Nicholas Campbell stated, "While Bear Creek is still in the early stages
of legal proceedings regarding the status of the Santa Ana project, we believe
this is a positive step forward to finding a resolution to the situation. We
currently ascribe no value for the Santa Ana project in our valuation of Bear
Creek; therefore, any resolution that allows Bear Creek to move the project
forward should be viewed positively."
The company has approximately US$70 million in cash and expenditures have
decreased significantly following the submission of the Corani Environmental and
Social Impact Assessment in December 2012, allowing sufficient funding to
continue all of Bear Creek's planned activities well into 2014 without
jeopardizing development timelines.
Bear Creek currently trades at $3.25 and with 92 million shares outstanding the
company is capitalized at $299 million.
For more information please visit the company's website www.bearcreekmining.com,
or call Lisa May at 604-628-1111 or email firstname.lastname@example.org
For more information about Canaccord Genuity or to obtain a copy of their
research report, contact your nearest Canaccord Genuity office. Their branches
are listed on their website at www.canaccord.com.
InvestmentPitch.com, a multimedia company that provides a combined solution for
creating and hosting financial video content, and distributing it across
multiple platforms to investors and financial professionals, specializes in
producing three minute videos based on news releases and research reports.
Barry Morgan, CFO
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Source: InvestmentPitch via Thomson Reuters ONE