Canada makes so much sense for Chesterfield Resources
“…there are only 15 of these basins globally and where they exist they’ve tended to yield very large discoveries. It’s elephant country. They tend to produce world class discoveries and that’s what we’re after…”
Fortunes have been made in Mayfair’s Chesterfield Hotel. Home to many an investor forum with a faded elegance that’s an attraction for many a North American tourist wanting to experience London luxury at relatively affordable prices.
It was here Canadian entrepreneur Peter Damouni crafted the idea of the resource explorer known as Chesterfield Resources which now has assets domiciled in Cyprus, and more recently Canada where the company has an entire sedimentary basin in Labrador to explore.
According to the chairman Martin French there are only 15 of these basins globally and where they exist they’ve tended to yield very large discoveries.
“There’s a huge one going into production in Siberia next year and people know the Zambian copper belts very well which is pretty much exactly the same geology, and in Zambia there are three or four world class discoveries there.”
“It’s elephant country. They tend to produce the world class discoveries and that’s what we’re after.”
Damouni knows Labrador and its potential very well. It was put on the map, he says, when Robert Friedland made a nickel discovery at Voisey’s Bay back in 1993.
Since then companies such as Canadian listed New Found Gold and Labrador Gold have made discoveries and Damouni says they “have gone up multiple times as a result of their discoveries.”
It makes sense therefore that the board are considering a dual listing in Canada to tap into an investment community well versed in Labradorian potential. Regardless of stock exchange location Damouni is emphatic. “All shareholders will benefit out of this with the value we create out of this discovery.”
And don’t forget Cyprus. The assets Chesterfield owns there attracted the attention of Anglo-Russian FTSE 100 Polymetal International who have an almost 23% stake in the AIM-listed company. They like what Chesterfield have discovered in the Troodos mountains.
French says Polymetal is one of the top ten gold producers in the world and they recently sent in a very senior geological team. “These guys are experts in gold and they concluded the gold was really really interesting in Cyprus.”
Chesterfield agrees both extending its drill programme there and identifying a promising waste dump opportunity that has the potential for an early revenue heap leach project.
Founder Peter Damouni and Chairman Martin French join Sarah Lowther to discuss Labrador, Limni, listings and the investment approach in North America that will benefit London shareholders.
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The author was remunerated but does not hold shares in the company