Greystar Resources, which owns a gold project next to acquisition-target Ventana Gold's closely watched site in Colombia, could also be on the radar screen of larger mining companies looking to buy their way into the region, Canaccord Adams said on Monday.

In a note, analyst Nicholas Campbell said the proximity of Greystar's 15-million-ounce Angostura gold-silver project to Ventana's La Bodega project suggests the two assets should be developed together.

Greystar's Angostura project and Ventana's La Bodega project are part of what we believe is an emerging 20-30 million ounce gold district, Campbell said.

Given the dearth of new large gold discoveries, Greystar could attract the attention of a suitor looking to consolidate the district, he said.

Ventana, whose shares have risen 26-fold this year due to increasingly impressive drill results at La Bodega, said last week it had been in talks with an unidentified third party that might be interested in buying the company.

Campbell initiated a speculative buy rating and C$10.50 price target on Greystar.

The Vancouver-based company's shares were up 1 Canadian cent at C$5.95 on the Toronto Stock Exchange at midday on Monday.

Canadian-listed junior Galway Resources also holds a property near the Greystar and Ventana projects, and has seen its shares rise along with the Ventana results.

Shares of Ventana were down 16 Canadian cents at C$9.60, while Galway stock was up 5 Canadian cents at C$1.18.

($1=$1.06 Canadian) (Reporting by Cameron French; editing by Peter Galloway)