Detour Gold Corporation fka DGC

[goldenpolarbear]

Detour Gold Corp. (TSE:DGC), the operator of the Detour Lake mine in Canada, dropped for the seventh consecutive session as BMO Capital lowered its price target on the stock.

Detour Gold sank 6.4 percent to C$3.53 at 1:20 p.m. in Toronto, stretching this year’s losses to 85 percent.

BMO Capital’s analysts cut their price target on the Toronto-based company’s shares to C$9.50 from C$12 in a note emailed to investors today.

Detour, which holds an “outperform” rating on the stock, said yesterday that its founder and chief executive officer Gerald Panneton resigned as the company faces “near-term challenges.”

The board appointed Paul Martin, Chief Financial Officer, as interim CEO. The company also appointed James Mavor, Vice President, Finance, as interim CFO.

At the end of the third quarter, Detour had cash and short-term investments of $156 million and working capital of $120.6 million.

“We expect the company has adequate cash and working capital over the near term and we do not see the need for an equity financing to enhance liquidity without seeing the revised 2014 mine plan,” said BMO’s John Hayes in the note.

BMO Research said it spoke to the interim CEO Martin and COO Pierre Beaudoin for clarification. It was made clear that there were no issues with the asset or discussions about a near-term financing that had precipitated the resignation, BMO Research added.

http://beforeitsnews.com/financial-markets/2013/11/detour-gold-target-slashed-at-bmo-capital-markets-2639744.html

Sincerely,
GPB

PS It is starting to look like the Great Basin Gold plunge? $9.50 pps this year, yea right!