Emerita Resources Corp. (EMO:TSX.V; EMOTF:OTCMKTS; LLJ:FSE) is getting even more aggressive with drilling at its Iberia Belt West project in Spain, adding yet another rig and, starting next month, targeting another deposit, El Cura, reported Research Capital Corp. analyst Adam Schatzker in a November 3, 2022 research note. Also, the company announced more drill results from the Romanera deposit, and they are "looking quite good."
Accordingly, Research Capital has a Speculative Buy rating and a CA$3.75 per share price target on Emerita.
All of the drilling and the cumulative results so far bode well for a new resource estimate, Schatzker wrote, noting it "will likely improve on the historical estimate, and we see the opportunity for it to grow with the results the company has produced from drill intercepts outside the historical resource."
Accordingly, Research Capital has a Speculative Buy rating and a CA$3.75 per share price target on Emerita. In comparison, the Canadian explorer is trading at CA$0.79 per share, the difference between the two figures representing a potentially sizable return for investors.
The new drill results for six holes, Schatzker wrote, "help expand the footprint of the deposit with the intercepts that lie outside of the historical resource."
Holes LR025, LR026, and LR033 were drilled to the west of the deposit, LR030 was drilled to the east of it, and LR006B was drilled in its central portion. Standout results, Schatzker wrote, are:
- Hole LR025: Lower lens: 11.2 meters (11.2m) of 3.54% copper equivalent (Cu eq) starting 184.2m downhole
- Hole LR026: Lower lens: 16.3m of 1.27% Cu eq starting 457m downhole
- Hole LR006B: Lower lens: 40.7m of 2.2% Cu eq. "The thickness and grade of 6B [are] quite robust," Schatzker wrote.
As for the additional rig being put to use because it can drill shallow angle holes, Emerita will use it to target Romanera's upper portion, noted Schatzker.
With 14 rigs active and drilling to commence in December at El Cura, the steady news flow of drill results from Emerita should continue.
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Disclosures For Research Capital Corp., Emerita Resources Corp., November 3, 2022
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Adam Schatzker has visited Emerita Resources Corp. in the past 18 months.
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