Price Target Increase for Renforth Resources as Result of Significant Progress at Parbec and Surimeau
Renforth Resources (CA:RFR – $0.09 & US:RFHRF – $0.07 & GER:9RR – €0.05) is a mineral exploration company that focusses on easily accessible Canadian-based gold projects. It holds Parbec, an open pit gold deposit, and Surimeau, a district scale battery metals discovery, both located near Malartic, Quebec, along with several other mineralized properties.
The positive results and high grade gold intervals that have been reported recently at Parbec build the speculative potential value for a transaction to vend the property.
Moreover, the Surimeau project has already evolved from the concept stage to where it is now positioned as a confirmed battery metals discovery. The structural targets further along strike may yet reveal a very large deposit area.
The discovery of a significant VMS (Volcanogenic Massive Sulfide) deposit is usually a transformative event for an exploration story. The potential scale and magnitude of these deposits attracts speculative interest, and establishes the project on the radar screen of senior mine developers. Senior mining companies are only interested in the largest deposits and joint-venture transactions are frequently completed shortly afterwards.
The ongoing stream of exploration results from the Surimeau and Parbec properties is contributing a powerful one-two punch combination for Renforth. Barely halfway into the year, the Company has completed two ambitious drilling programs. The backlog of samples awaiting assay required utilizing the services of a second laboratory facility. As these assay results are reported, each of these properties is gaining speculative value.
We reiterate our buy recommendation for Renforth Resources with a price target of $0.23, which is 155% above today’s stock price.
|Smallcaps.us Advice: Buy||Price Target: $0.29||Latest Company Report (pdf)|
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