Fortuna Silver (FVI.to) San José site visit report

He may still have huevo stuck to his cara from the Greystar debacle, but credit where it's due; the site visit notes published by Nicholas CampbellSoup of Canaccord (along with his trusty sidekick Gabriel Gonzalez) today May 10th do a very good and comprehensive job of laying out the state of play at Fortuna Silver's (FVI.to) San José project, currently being built and ready to roll in 3q11 (not so long to go, folks). Nice work Soupy!

You too can read his site visit notes (starts p11) by clicking here and downloading your copy of the PDF. Thanks due to reader 'GB' for the forward.

Greystar Resources (GSL.to): A ray of hope for CampbellSoup and the Can of Corn

IKN once again performs an act of charitable kindness to the Canadian equities analysis community, this time offering a glimmer of hope™ to Nicholas CampbellSoup over at the Can of Corn, currently bogged down with what's looking more like a disaster buy call on Greystar Resources (GSL.to) back in November when it was trading two full dollars higher than now.

This is from IKN88 yesterday, Soupy. Enjoy.

Colombia’s new mining code may be declared inexecutable

A development out of Colombia that sounds like it may delay mining development on one level but, strangely, may help one specific and polemic project move forward to construction.

Last week Colombia’s national procurator (9) asked that the current mining law reform be declare inexecutable, because 1) due to the fact that Colombia is a signee of the International Work Organization’s Covenant 169 that guarantees indigenous populations the right to decide on the future of mining projects and that 2) the new mining code was not presented to said populations for their approval, it cannot be implemented. Apparently, at least. We shall see.

Over the medium-term this may become a setback for Colombia’s mining industry as it tries to reform old and often difficult to work rules and regulations. The potential for bureaucratic bottlenecks is clear, but on the other hand if the current mining code is declared null and void it may allow Greystar (GSL.to) to move forward with its Angostura project, unfettered by the new environmental code that protects about 50% of the land on which it wants to develop its mine.

The IKN Weekly is not calling GSL a buy at this point and the potential for unhindrance of rules that may help GSL is by no means a done deal, but it is a story we’ll be watching carefully in the near future for developments.

Latest Fortuna (FVI.to) coverage from the Can of Corn

Nicholas CampbellSoup over at the Can of Corn was on the recent Fortuna Silver (FVI.to) site visit to San José Mexico and yesterday (after the bell, I believe) published this updated report on the stock. What he saw must have impressed, because he's raised his target (quite right too) to $5.50. As well as giving good commentary on the development at the project there's also talk of the exploration potential there, but this humble corner of cyberspace found particular agreement with the Valuation section on page 7 and thinks CampbellSoup has nailed the call just right.

It's a good report, so go download your own from this link and read for yourself.

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Bizarrely, Otto agrees with The Can of Corn again

I must be getting old.

One section of today's Morning Coffee, from said establishment, covered Greystar Resources (GSL.to) and I found myself nodding in agreement with Nocholas CampbellSoup's call on the stock. In fact, the guy has been nailing good calls on LatAm bargain miners for a while now, gotta be said. Here's the excerpt from today Morning Coffee (and if you'd like to receive this on a daily basis I have absolutely no idea where you could get it from but you could always send me a mail):

Greystar Resources* (GSL : TSX : $3.36), Net Change: 0.08, % Change: 2.44%, Volume: 307,396
Falling star? Greystar, a Colombia gold explorer, reported on Friday that it has not received a decision in regard to its appeal with the Ministry of the Environment, Housing and Territorial Development (MAVDT) to reinstate its December 22, 2009 Environmental Impact Assessment (EIA) and to accept that the company has complied with all legal requirements to proceed with the development of an open-pit gold-silver mine at the company's Angostura project in Colombia. Greystar will continue to work with the Colombian Government and MAVDT to resolve issues of concern and ensure that the impact of the Angostura project on Paramo is minimized whilst ensuring the financial viability of the Angostura project. At the end of April, MAVDT requested that a new EIA be filed for the Angostura project, with adjustments made to limit the occupied area to an elevation below 3,200 metres. Roughly half of the Angostura deposit and the vast majority of planned infrastructure and project facilities are currently designed to be developed above the 3,200-metre elevation. The request by the MAVDT would require Greystar to completely redesign the Angostura project. According to Canaccord Genuity Mining Analyst Nicholas Campbell, given the topographical challenges of the Angostura land package, particularly at elevations below 3,200 metres, the potential to engineer an economically viable alternative development of the Angostura project that would adhere to the guidelines set out by the MAVDT would be incredibly challenging and likely unworkable. Greystar is completing a Definitive Feasibility Study (DFS) on the Angostura project that is expected to be published in H2/10. In addition, the company has begun the process of securing US$650 million in project finance from international sources. The company continues to carry out exploration at the project with a total of four drill rigs focused on three targets; Angostura high grade, Mongora and La Plata.

It'll get even worse for GSL.to if Mockus gets the nod on June 20th, as he's said pretty darn clearly that mining at 3,000masl should be taboo. I now need to go lie down, get drunk or do something to shake these pro-Corn feelings out of my system. Cream of corn served, the end.