Gabriel Resources Ltd. (GBU)

[Ed Monton]

From Mineweb:

Randgold not buying Gabriel

By: Tim Wood


Posted: 2003/02/12 Wed 13:00 / © Mineweb 1997-2003


TORONTO -- Bay Street has been abuzz lately with rumours that Rangold [GOLD] was making a play for Gabriel Resources [GBU]. However, an informed source close to Randgold says Gabriel is not the target for its growth ambitions.
Randgold, the seventeenth largest gold stock in the world by market capitalisation, was said to be eyeing twenty ninth ranked Gabriel which is developing the Rosia Montana gold project in Romania. Randgold chief executive Mark Bristow is on record as saying that Randgold is assessing several opportunities. The company has also been linked to Nevsun [NSU], which has a rich project close to Randgold’s Morila mine.

Randgold has the means to buy either company though Gabriel would stretch the balance sheet, and Nevsun could become an expensive chase as it continues to build value through its exploration in Mali and Eritrea.

It is worth noting that BMO Nesbitt-Burns will be assisting Randgold with its upcoming North American roadshow. HSBC was the co-lead for Randgold’s Nasdaq ADR listing and participated in a road show last November that was followed by a tremendous run-up in Randgold’s stock. A BMO team headed by Egizio Bianchini delivered Brancote’s Esquel project to Meridian Gold [MDG] against some stiff competition.

http://www.mips1.net/MGGold.nsf/Current/4225685F0043D1B285256CCB0063D140?OpenDocument

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