MINING MARKETS & INVESTMENT NEWS — Pursuit writes down properties, shifts focus

It once held one of Kalimantan’s largest land positions, most of which was acquired during the height of the Busang-fueled gold exploration boom. But that boom has gone bust, prompting International Pursuit (IPJ-T) to write down its property portfolio in Southeast Asia and Mongolia, and shift its focus away from mining.

International Pursuit posted a net loss of $20.3 million on revenue of $166,971 for the first nine months of this year, compared with net income of $311,000 a year earlier. The loss was attributed to a $20.5-million writedown of mineral properties.

The writedown consisted of $4.2 million for the Mongolian mineral properties (now valued at $50,000) and $3.2 million for the Vulcan project in the Philippines, plus smaller projects in Nevada and Peru. The company has retained the more prospective areas of its Mongolian mineral licences but has written down the properties in order to reflect “an indefinite postponement of further exploration” until a partner can be found.

Pursuit has ceased exploring its properties in Indonesia but is holding them until either they are sold or a joint-venture partner is found. If these efforts are not successful, further writedowns are expected by year-end.

Pursuit intends to seek business opportunities outside of mining. At the end of September, the junior had working capital of about $2.4 million and 28.5 million shares outstanding.

In keeping with the company’s new direction, a non-mining executive, G.E. Creber, was named president and chief executive officer. Stephen Dattels will assume the role of chairman and be responsible for the sale of mineral property assets.