15:11 | 14.04.2021
Eloro Resources Ltd.
Original-Research: Eloro Resources Ltd. – von Sphene Capital GmbH
Einstufung von Sphene Capital GmbH zu Eloro Resources Ltd.
Unternehmen: Eloro Resources Ltd.
Anlass der Studie: Aufnahme der Coverage
Kursziel: CAD 15,80
Kursziel auf Sicht von: 24 Monate
Letzte Ratingänderung: –
Analyst: Peter Thilo Hasler
High-Grade Breccias in Stable Jurisdictions
We initiate research coverage of Eloro Resources with a Buy rating and a
fully diluted price target of CAD 15.80 per share, representing 314.7%
upside from the current share price. Our price target is derived from the
in-situ valuation of the Santa Barbara Breccia Pipe of its property Iska
Iska in Bolivia, for which we calculated a NAV estimate of CAD 1,476.5
million. We applied a 0.8x multiple to our net asset value per share
estimate to arrive at our target price of CAD 15.80 per share. Other assets
(above all La Victoria in Peru) were not included in our valuation. We like
to highlight that the current pullback in the company’s stock price (during
its recent financing rounds), could be an interesting entry point for
investors, as Eloro Resources is now ideally positioned, in our view, to
aggressively advance its current portfolio of development projects. Should
the company be able to make a discovery and eventually delineate a mineral
resource at Iska Iska, we believe the share price could quickly re-rate
towards our price target.
Eloro Resources is a Canadian-based exploration and development company
that controls a portfolio of high-grade gold and silver projects in mostly
stable jurisdictions in Bolivia, Peru, and the Canadian province of Québec.
Eloro Resources states that it has recently intersected very encouraging
silver, gold, and base metals mineralization at its most valuable Iska Iska
flagship property in Bolivia – a stable mining jurisdiction in close
proximity to world-class polymetallic mines and mineral deposits like the
world’s largest silver deposit Cerro Rico de Potosí, attracting increasing
interest from major miners.
Drilling confirmed ASTER satellite data suggesting a breccia pipe with a
total effective mineralized diameter of at least 600 m at Iska Iska.
Breccia pipes are usually important hosts of large tonnage ore bodies in
many producing mines in epithermal and porphyritic deposits, particularly
in the Andean Cordillera of Central and South America. With silver
equivalents (Ag EQ) of up to 442 g/t in continuous channel sampling of the
Santa Barbara adit, drilling strongly support the geologists’ assumption,
that the breccia is a medium to high grade polymetallic deposit, where
several different metal phases are found in the ore – in addition to silver
mainly zinc, lead, gold, copper, bismuth, tin, and indium.
Recent findings demonstrate that Iska Iska not only seems to be mineralized
everywhere the company has drilled so far, but also, that Iska Iska
contains sections of extreme high grades, which in our view, could create a
bulk tonnage potential in Iska Iska.
Die vollständige Analyse können Sie hier downloaden:
Kontakt für Rückfragen
Peter Thilo Hasler, CEFA
+49 (89) 74443558/ +49 (152) 31764553
——————-übermittelt durch die EQS Group AG.——————-
Für den Inhalt der Mitteilung bzw. Research ist alleine der Herausgeber bzw.
Ersteller der Studie verantwortlich. Diese Meldung ist keine Anlageberatung
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