Capstone Mining Corp. is a TSX listed Canadian mining company whose principal business activity is the production of copper from the Company's two producing copper mines: the 100% owned Cozamin copper-silver-zinc-lead mine located in Zacatecas State, Mexico and the 100% owned Minto copper-gold-silver mine in the Yukon, Canada.
Using its operations as a springboard, Capstone aims to grow both organically and through mergers and acquisitions: organic growth through continued mineral resource and reserve expansions at its operating mines and through the development of its 100% owned high grade Kutcho copper-zinc-gold-silver deposit in British Columbia, while M&A provides opportunities to accelerate that growth profile by combining with other current producers or acquiring operating mines or development projects.
Capstone is included in the S&P/TSX Global Mining Index.
Investment Highlights
- Strong copper prices -- the outlook for copper remains strong as a result of the strong growth in emerging markets such as China, India and Brazil.
- Strong financial position -- cash-rich balance sheet, liquid investments in Silver Wheaton and Nevada Copper and low debt. Cash flow from operations provides a growing cash position.
- Highly competitive operations -- high grade, low cost, low risk copper production with significant by-products of gold, silver, lead & zinc.
- Organic growth -- continued exploration success provides potential for mineral resource growth, conversion to mineral reserves and production expansions.
- Potential third mine -- high grade Kutcho copper-zinc-silver-gold project provides near term production growth potential.
- Investment portfolio -- investments in Silver Wheaton and Nevada Copper provide leverage to precious metals and a large copper mineral resource.
- M&A -- Capstone has been successfully built through mergers and acquisitions, and management aims to continue that growth going.
- Focused Management -- proven ability to deliver on targets.
- Experienced board -- Capstone's board of directors adds considerable experience in operations, finance, M&A and corporate governance.
Mission
Capstone's mission is summed up in its tag line, "Profitable Growth Producing Copper", emphasizing the Company's focus on profitability, growth, production and copper.
Strategies
Our strategies are used to focus our day-to-day business activities as we strive to deliver on our mission statement; they help define our choices and decisions to grow organically and through market opportunities.
- Expansion of the Cozamin and Minto Mines
By focusing on exploration, making six discoveries in three years at its Minto Mine, Capstone has been able to increase mineral resources, more than double mill throughput and extend its mine life. Cozamin has had similar successes and mill throughput has tripled in four years. We aim to continue this pattern in 2010 with major exploration programs underway at both mines.
- New Mines
Through its ownership of the high grade Kutcho project, Capstone has the potential to boost its production by developing a third mine. Work continues in 2010 towards this objective.
- Mergers and Acquisitions
Capstone has a strong balance sheet that could support a merger or acquisition a company that is in production or close to production. We are focused preferentially on assets located in the Americas in a safe and economically, politically and socially stable environment.
- Strong portfolio through investments and market opportunities
We occasionally look to strengthen our position and increase our portfolio exposure to other metals through investments. Our holdings in Silver Wheaton give us exposure to precious metals, with a higher degree of leverage than we could obtain by owning and producing our precious metals directly. Our investment in Nevada Copper gives us exposure to a large copper mineral resource located in the USA.
- Focus on efficiency and effectiveness
We continually strive to improve our effectiveness and efficiency, so we not only meet our goals, but continually look for ways to improve on what we do.
- Safety
Capstone's goal is that every one of its workers returns home safely every day. In order to achieve this, Capstone has policies and procedures, training programs and enforcement designed to ensure this objective is met.
- Sustainable Development
Capstone is committed to execute is mission in a responsible manner, before, during and after mining, with initiatives to protect the environment and to enhance social development in the communities where we operate.
For further information please refer to:
http://capstonemining.com/i/pdf/codeofconduct.pdf
