Exploration Company Changes Name as it Focuses on Copper

Norseman Silver Inc. (NOC:TSX.V; NOCSF:OTCQB) announced in a press release on January 24, 2024, that it will be changing its name to Fitzroy Minerals Inc. on January 29, and trade under the ticker FTZ. The company’s shares will still be available on the TSX Venture Exchange.

This announcement comes on the heels of the company’s transition to copper, and its related acquisition of the Caballos copper project in Chile, as well as the company’s appointment of a new COO, Merlin Marr-Johnson.

The company also recently finalized a private placement worth CA$1.26 million, which it intends to use to fund exploration efforts on the company’s properties in Canada and Argentina. Mike Ballinger, who has covered the company extensively, believes that the company is undergoing a transformation that will position it advantageously as copper is expected to rise for the foreseeable future. Ballinger provided thorough analysis and review of the company’s catalysts.

Copper Prices to Increase by 75%

At the beginning of this month, CNBC released a report predicting that copper prices will increase by 75% by 2025, an increase driven by rising demand and increasingly scarce supply. The need for copper has been intensified as corporations and governments pursue electrified infrastructure in an effort to ease off of fossil fuels.

Katusa Research reported that copper would be one of the sectors that could see “face-ripping rallies.” Katusa’s report examined some of the causes of the copper shortage, which included strikes in major copper producing regions, such as Peru and Chile. The halt in copper production served to squeeze supply further in 2023, possibly exacerbating the shortage in 2024. As a result of rising prices, copper has the attention of investors in mining and metals.

Company a Favorite of Analysts

On January 22, 2024, analyst Michael Ballanger of G.G.M. Advisory Inc. called Norseman Silver Inc. “one of my absolute favorites,” and made a favorable note of the company’s recent acquisition in Chile, the Caballos copper project.

Ballinger elaborated on this acquisition on January 16, 2024, when he noted that the company had pivoted towards the lucrative copper market. In the light of this transition towards copper, a market that is expected to keep going strong as long as the metal has applications in electronics, the acquisition of the Caballos copper project is an important addition to the company’s portfolio.

He rated the company as a “buy” for investors on January 2, 2024, and stated that he has hopes that the company’s share price will return to CA$0.70. Ballinger commented, “NOC is simply following through on the original plan formulated by one of the world’s premier base metal miners. There is a lot more going on with NOC than meets the eye but suffice it to say that it is moving hard in the direction of copper and will continue to do so.”

The company’s investor presentation reports a number of catalysts, including 3,000m of drilling on the Caballos project scheduled to take place in Q3 and Q4 of 2024, and 1,500m of drilling expected on the Taquetren project in Q1 and Q2 of 2025.

Ownership and Share Structure

Reuters provided a breakdown of the company’s ownership and share structure, where management and insiders own 8.36% of the company. According to Reuters, Chairman John Campbell Smyth owns 6.24% of the company with 4.25 million shares, President and CEO Sean Dawie Hurd owns 1.76% of the company with 1.20 million shares, Director John Seaman owns 0.29% of the company with 0.20 million shares, and Director Samuel Anthony Kyler Hardy owns 0.07% of the company with 0.05 million shares.

Reuters reports that institutional investors own 6.93% of the company in the form of Cloudbreak Discovery Corp., which holds 4.72 million shares of the company.

According to Reuters, there are 68.12 million shares outstanding with 57.7 million free float traded shares, while the company has a market cap of CA$6.05 million and trades in the 52-week period between CA$0.04 and CA$0.18.

Important Disclosures:

1. Norseman Silver Inc. is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$4,000 and US$5,000. 
2. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Norseman Silver Inc.
3. Amanda Duvall wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee. 
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