Cornerstone pulls out of Newfoundland and Labrador

Company continues to focus on South American prospects

Published on January 4, 2016
Cornerstone Capital Resources

Mineral exploration company Cornerstone Capital Resources has closed its office in Mount Pearl.

It has also changed chief financial officers, saying goodbye to Mount Pearl-based David Loveys and bringing on Sabino Di Paola, who will lead the company’s financial reporting through an accounting and administrative office in Ottawa.

“We don’t have any plans to do any further exploration in Newfoundland and Labrador at this point,” CEO Brooke MacDonald told The Telegram Monday.

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The company was once very active in the province. Yet with exploration investment dropping like a stone — from a record $194 million in 2012, to a forecasted $62 million in 2015 — the future became about best-chance opportunities.

Over the years, Cornerstone sold its interest in local projects. Shares in the Cape Ray gold prospect near Port aux Basques, for example, went to Benton Resources. Its stake in the Little Deer copper and gold property went to Rambler Metals and Mining the same year, 2013.

On the other hand, Cornerstone chased projects in South America, with the potential for bigger payoffs.

“Our investors were really looking for something that might have a huge, big bang,” MacDonald said.

And the company has gained traction there, particularly with the Cascabel copper and gold project in northern Ecuador.

At this point, the company’s portfolio of prospective properties is filled with gold, silver and copper projects in Ecuador and Chile.