Murray Pezim believed out to regain Corona

The man who financed International Corona and through it the discovery of the Hemlo gold camp wants his money back. Murray Pezim has gone public about a rift with Corona Chairman Peter Steen and he may try to regain control of Corona.

Mr Pezim has made other takeover attempts in the past, including one for British Columbia Resources Investment Corp. (He probably doesn’t feel too bad about that one because BCRIC has nearly gone bankrupt.)

His new flagship company, Galveston Resources, recently announced plans to acquire control of several companies in the Pezim fold, each of which owns significant numbers of Pezcorona warrants. These are convertible at $7 into Corona shares and the companies collectively hold about 233,000 Pezcorona warrants.

Galveston is the largest warrant holder with 981,500 and with other marketable securities it has a sizeable war chest. The company has used these securities as leverage and in the past month has concluded offerings worth more than $30 million for “general corporate purposes.”

Galveston recently announced several high-powered board appointments including Lawrence Page, who will also serve as executive vice-president. Canarim Investment’s Peter Brown will also join the board along with Social Credit MLA and former leadership contender Bud Smith, plus John Iveney, Herbert Doman and Leslie MacConnell. Mr Pezim will hold the position of chairman and long- time associate. Arthur Clemis will be president.

The stakes are high because Corona has a 50% interest in the Teck-Corona mine at Hemlo and stands to earn a similar interest in Lac’s Page-Williams mine pending an appeal of the original decision which favored Corona.

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