October 18, 2010
Creston Moly Corp. (CMS.V)
Riding on the Crest of Molybdenum’s Next Big Move
Highlights
Creston Moly Corp. is currently optimizing project economics and
resource estimates at its flagship El Creston Molybdenum Project in
Sonora, Mexico. An updated resource estimate is expected in Q4,
2010 and a Feasbility Study in early Q2, 2011 which we believe will
significantly improve the project economics.
The El Creston project is located in the State of Sonora, Mexico,
145km north of Hermosillo, 105km from Molymet’s LME approved
Cumpus roaster and 42km from a 230kV grid power source. The semidesert
climate allows for year round exploration and development.
We believe the El Creston deposit offers excellent upside exploration
potential and fully anticipate further mineralization to be uncovered.
With positive market fundamentals for molybdenum pricing, we
believe the El Creston project development is timely. We are initiating
coverage of Creston Moly with a Speculative Buy recommendation
and a target price of $0.75 based on a 1.0X multiple to our $0.75 NAV.
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