September 13, 2021 (Investorideas.com Newswire) Clarus Securities Inc. advised in a research report that Emerita Resources Corp.’s recent infill drill results at its La Infanta Project in southern Spain demonstrate significant expansion potential. Clarus stated it is maintaining Emerita’s “Speculative Buy” rating and 12-month price target of CA$4.50/share.
In a September 9 research note, Clarus Securities Inc. Research Analyst, Varun Arora, MBA commented on base and critical metals explorer and developer Emerita Resources Corp. (EMO:TSX.V; EMOTF:OTCMKTS; LLJ:FSE) who recently announced drill results from five additional holes at the La Infanta area of its Iberia Belt West (IBW) property in southern Spain.
The analyst noted that these latest holes were drilled to depths of less than 100 meters (100m) within the historic 0.8 Mt at 26.5% Zn eq resource which prior testing showed to travel along a 600m strike-length to a depth of around 120m from surface.
The reported highlighted data gathered from Hole IN008 where from a depth of about 75m assay results returned 11.1m of 60.2% Zn eq, comprised of 3.6% Cu, 319 g/t Ag and 0.8 g/t Au, in what was described as the highest ultra-high grade and wide intercept registered to date. Hole IN008 is located approximately 200m from Hole IN003, which previously produced excellent grades and a wide intercept of 5m at 66.7% Zn eq. In addition, Hole IN005 demonstrated 42.9% Zn eq over 2.6 m and Hole IN006 recorded 26.6% Zn eq over 3.2m.
Clarus Securities advised that so far, Emerita Resources has received assay results from 1,253m of drilling in 8 of the 11 holes drilled at the site. Clarus indicated that its weighted average estimates for these 8 holes have come in at 35% Zn eq over 4.45m, compared to historic results from 49 holes that averaged 26.5% Zn eq over widths of 3 to 6m.
The company is still conducting its current drill program and plans to drill two additional infill holes before systematically advancing to step out drilling to depth along strike.
Importantly, surface sample data and gravity imply that the deposit may very possibly extend well past the historic strike and prior established depths. The analyst explained that Emerita’s management team is now planning to test the strike over a distance of approximately 1.2 km to downward depths of 300 to 350m.
Remarkably, Clarus stated that if these efforts by the company are indeed successful, the result could be as much as a three- to six-fold increase in the historic resource towards levels measuring 2.5-5.0 Mt at higher than historic grades.
The report noted that the company expects to receive electromagnetic (EM) survey results from depths as great as 400m in the coming weeks that are expected to confirm the depth potential at La Infanta. The analyst mentioned that the EM data is aligning well with gravity surveys conducted and if structure continuity can be identified at these depths it would serve to expand the historic resource by a factor of four as prior efforts only tested to depths of around 120m. The analyst further added that volcanogenic massive sulfide (VMS) ore deposits have been discovered to exist at depths exceeding 1,000m in the Iberian Pyrite Belt.
Clarus anticipates that environmental authorization (AAU) permits will be issued for the entre IBW property including Romanera and El Cura by no later than early October of this year. When the permits are received, Emerita’s management plans to deploy two additional rigs at Romanera raising the total rig count to four including two drills actively working at La Infanta many even commission a fifth rig to test several other anomalies identified by the gravity survey.
The analyst noted that a resource update is expected to be published in H1/22 for the company’s IBW project located in Huelva Province, Spain. The report is likely to encompass La Infanta, Romanera, and potentially El Cura.
Clarus mentioned that that Emerita Resources is currently well funded and has cash reserves of about CA$26 million on its balance sheet. Clarus pointed out that it believes the 5,000m La Infanta drill program will be expanded.
Clarus reported that Romanera offers significant exploration upside and suggest a combined resource potential of 21 Mt at 13.8% Zn eq for IBW including both Romanera and La Infanta, compared to the 12 Mt. historic resource. The analyst noted that the current estimates do not include any data for the El Cura area which is believed will increase the total IBW project resource.
According to Clarus, “Emerita offers a rare combination of significantly derisked, world-class polymetallic projects with excellent infrastructure on the Spanish side of the Iberian Pyrite Belt.”
Clarus Securities rates Emerita Resources Corp. as a “Speculative Buy” with a 12-month price target of CA$4.50/share. The company’s shares trade on the TSX Venture Exchange under the symbol EMO and last closed for trading at CA$1.84/share on September 9, 2021.
1) Stephen Hytha compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. He or members of his household own securities of the following companies mentioned in the article: None. He or members of his household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: Emerita Resources Corp. Click here for important disclosures about sponsor fees. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Emerita Resources Corp. a company mentioned in this article.
This news is published on the Investorideas.com Newswire – a global digital news source for investors and business leaders
Disclaimer/Disclosure: Investorideas.com is a digital publisher of third party sourced news, articles and equity research as well as creates original content, including video, interviews and articles. Original content created by investorideas is protected by copyright laws other than syndication rights. Our site does not make recommendations for purchases or sale of stocks, services or products. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. All investing involves risk and possible losses. This site is currently compensated for news publication and distribution, social media and marketing, content creation and more. Disclosure is posted for each compensated news release, content published /created if required but otherwise the news was not compensated for and was published for the sole interest of our readers and followers. Contact management and IR of each company directly regarding specific questions.
More disclaimer info: https://www.investorideas.com/About/Disclaimer.asp Learn more about publishing your news release and our other news services on the Investorideas.com newswire https://www.investorideas.com/News-Upload/ and tickertagstocknews.com