In a research note titled “There’s Gold Everywhere…” Canaccord Genuity precious metals mining analyst Tom Gallo made Northern Empire Resources (TSX-V:NM, OTC: PSPGF) its top pick in the exploration and development space. Gallo cites Northern Empire’s most recent news release which outlines 17 additional targets in the “well-plumbed Bare Mountain district.” Gallo also points out soil samples from the newly identified Tungsten Canyon target (drill-ready) reveal gold grades of up to 36 g/t Au.
“We believe investors should note the company’s prime land package in one of the world’s best mining jurisdictions along with the development-ready project (Sterling) and growing resource base (Crown Block) as key M&A indicators. A recent flurry of acquisition activity has focused on scalable projects in low sovereign risk locales.”
Gallo goes on to lay out potential re-rating catalysts that are on the horizon:
- Receipt of a plan of operations permit, which would allow the company to ramp up to 50,000 meters of drilling (from 15,000 meters) while on-going drilling could lead to a potentially catalytic resource update.
- The potential for a new deposit scale discovery from one of the company’s many targets.
- The likelihood of consolidation within the region as neighbor Corvus Gold’s flagship property Mother Lode is isolated within Northern Empire’s claim block (collaboration between the two parties will be necessary for future development at Mother Lode).
Finally, Gallo places a C$2.00 price target on Northern Empire shares citing the fact that NM currently trades at roughly .28 x NAV, while recent bids for Dalradian have occurred at .5 x NAV and Arizona Mining at 1.0 x NAV.
The article is for informational purposes only and is neither a solicitation for the purchase of securities nor an offer of securities. Readers of the article are expressly cautioned to seek the advice of a registered investment advisor and other professional advisors, as applicable, regarding the appropriateness of investing in any securities or any investment strategies, including those discussed above. Northern Empire Resources is a high-risk venture stock and not suitable for most investors. Consult Northern Empire Resources’ SEDAR profile for important risk disclosures.
EnergyandGold has been compensated to cover Northern Empire Resources and so some information may be biased. EnergyandGold.com, EnergyandGold Publishing LTD, its writers and principals are not registered investment advisors and advice you to do your own due diligence with a licensed investment advisor prior to making any investment decisions.
This article contains certain forward-looking information and forward-looking statements within the meaning of applicable securities legislation (collectively “forward-looking statements”). Certain information contained herein constitutes “forward-looking information” under Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “expects”, “believes”, “aims to”, “plans to” or “intends to” or variations of such words and phrases or statements that certain actions, events or results “will” occur. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed by such forward-looking statements or forward-looking information, standard transaction risks; impact of the transaction on the parties; and risks relating to financings; regulatory approvals; foreign country operations and volatile share prices. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Actual results may differ materially from those currently anticipated in such statements. The views expressed in this publication and on the EnergyandGold website do not necessarily reflect the views of Energy and Gold Publishing LTD, publisher of EnergyandGold.com. Accordingly, readers should not place undue reliance on forward-looking statements and forward looking information. The Company does not undertake to update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws. Always thoroughly do your own due diligence and talk to a licensed investment adviser prior to making any investment decisions. Junior resource companies can easily lose 100% of their value so read company profiles on www.SEDAR.com for important risk disclosures. It’s your money and your responsibility.