Significant Price Target Increase for Renforth Resources
Renforth Resources (CA:RFR – $0.05 & US:RFHRF – $0.05 & GER:9RR – €0.04) 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.
Parbec has become a legitimate acquisition target in proximity to several operating gold mines. Renforth is also capable of continuing to advance the property independently and may add further value through another round of exploration in the months ahead. The flagship asset has emerged as a significant gold project with compelling exploration potential to build further resource magnitude.
Exploration programs at Surimeau have already confirmed mineralization enriched with nickel, copper, zinc, silver, gold, cobalt, and platinum group metals at various areas of the property. The Battery Metals are considered to be of greater economic importance due to the escalating industrial demand related to manufacturing of electric vehicles. Renforth has also reported the potential for lithium resources to be outlined within the project area, adding another layer of attractive upside for the project.
Surimeau presents the right mix of resources at the right time, located in the ideal jurisdiction. Battery Metals are becoming the story of the commodity boom. Surging demand has placed a greater priority on advancement of new domestic deposits of these critical raw materials. Renforth has already delivered a discovery success at Victoria West with the confirmation of a large base metals system. The effort now shifts to expand on this beachhead.
The financing activity from December has provided additional funding to support Renforth through the next round of work programs. The Company is well positioned to launch further exploration initiatives at both projects.
With two high-profile projects advancing in this district, Renforth is building shareholder value at the end of the drill bit. The current work that is now underway demonstrates the Company has no intention of slowing down. Parbec becomes more attractive for an acquisition by a senior partner with every successful gold interval, while Surimeau may evolve into a large-tonnage battery metals deposit. The Company is now positioned for a breakthrough year into 2022.
We reiterate our buy recommendation for Renforth Resources with a price target of $0.29, which is 480% above today’s stock price.
|Smallcaps.us Advice: Buy||Price Target: $0.29||Latest Company Report (pdf)|
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