Report
FREE
• Trigon announced that the Kombat Mine mill will produce its first concentrate in the coming week, with sales planned for end of August.
• Underground mining is planned to start in April 2024.
• On July 6th, TM reported another batch of drill results with a highlight intercept (outside of the current resource) being 9.0m of 7.89% Cu and 23.8 g/t Ag, near-surface from 30m.
• Trigon closed its $5.0M private placement announced July 12th.
This morning, Trigon Metals Inc. (TM:TSXV), provided a progress update on mining operations at the Kombat Mine in Namibia. The mill is on schedule for start-up and is expected to produce its first concentrate in the coming week, with first sales planned by the end of August. The Company provided a detailed update on the open pit mining operations as well as all the work being done to achieve their goal of starting the underground mining operations in April 2024. We are pleased with this update as it provides more clarity into open pit and underground production timelines, the specific costs associated with each activity, and the nearing of revenues and ultimately cashflows for the Company. We are maintaining our BUY rating and C$0.60/share target price on Trigon Metals Inc.
On July 6th, the Company reported two drill hole results in the East 400 area, the smallest and shallowest of the planned open pits. The highlight intercepts were Hole E400INF013 reporting 9.0m of 7.89% Cu and 23.80 g/t Ag, from 30m and Hole E400INF009 reporting 11.0m of 1.75% Cu and 20.61 g/t Ag, from 31m.
This is the fourth batch of high-grade copper results which we believe gives support to an extension of the open pit mine plan. The Company also reported consistent high-grade results from confirmatory holes within the planned resource envelope at the Kavango North pit.
On July 12th, Trigon announced it had closed its private placement of 25.0M units at a price of C$0.20 per unit for aggregate gross proceeds of $5.0M. Each unit is comprised with one common share and one-half of one warrant with an exercise price of C$0.30 per share for 36 months.
Open Pit Mining
As reported in our previous notes, open pit mining started in May 2023 and has been ramping ever since. Of note, operations have been focusing on stripping waste and overburden with 500,000 tonnes of waste and 15,000 tonnes of ore having been mined with the ore being placed in stockpiles, preparing to be fed into the mill. As previously mentioned, mining rates are averaging over 10,000tpd, compared to the required 8,000tpd in the mine plan, highlighting the ability to make up lost production if there was ever unplanned downtime. On July 25th, an ore block of 10,000 tonnes is planned to be blasted in preparation for mill start-up.
Please refer to the Underground Mining Update on page 2.
TM: Positive Kombat Mine Update & Previous Drill Results
What you need to know:• Trigon announced that the Kombat Mine mill will produce its first concentrate in the coming week, with sales planned for end of August.
• Underground mining is planned to start in April 2024.
• On July 6th, TM reported another batch of drill results with a highlight intercept (outside of the current resource) being 9.0m of 7.89% Cu and 23.8 g/t Ag, near-surface from 30m.
• Trigon closed its $5.0M private placement announced July 12th.
This morning, Trigon Metals Inc. (TM:TSXV), provided a progress update on mining operations at the Kombat Mine in Namibia. The mill is on schedule for start-up and is expected to produce its first concentrate in the coming week, with first sales planned by the end of August. The Company provided a detailed update on the open pit mining operations as well as all the work being done to achieve their goal of starting the underground mining operations in April 2024. We are pleased with this update as it provides more clarity into open pit and underground production timelines, the specific costs associated with each activity, and the nearing of revenues and ultimately cashflows for the Company. We are maintaining our BUY rating and C$0.60/share target price on Trigon Metals Inc.
On July 6th, the Company reported two drill hole results in the East 400 area, the smallest and shallowest of the planned open pits. The highlight intercepts were Hole E400INF013 reporting 9.0m of 7.89% Cu and 23.80 g/t Ag, from 30m and Hole E400INF009 reporting 11.0m of 1.75% Cu and 20.61 g/t Ag, from 31m.
This is the fourth batch of high-grade copper results which we believe gives support to an extension of the open pit mine plan. The Company also reported consistent high-grade results from confirmatory holes within the planned resource envelope at the Kavango North pit.
On July 12th, Trigon announced it had closed its private placement of 25.0M units at a price of C$0.20 per unit for aggregate gross proceeds of $5.0M. Each unit is comprised with one common share and one-half of one warrant with an exercise price of C$0.30 per share for 36 months.
Open Pit Mining
As reported in our previous notes, open pit mining started in May 2023 and has been ramping ever since. Of note, operations have been focusing on stripping waste and overburden with 500,000 tonnes of waste and 15,000 tonnes of ore having been mined with the ore being placed in stockpiles, preparing to be fed into the mill. As previously mentioned, mining rates are averaging over 10,000tpd, compared to the required 8,000tpd in the mine plan, highlighting the ability to make up lost production if there was ever unplanned downtime. On July 25th, an ore block of 10,000 tonnes is planned to be blasted in preparation for mill start-up.
Please refer to the Underground Mining Update on page 2.
Underlying
TRIGON METALS INC.
Provider
Atrium Research Corporation
Atrium Research provides institutional quality issuer paid research on North American public equities using deep fundamental analysis. Our research reports are disseminated through Bloomberg, FactSet, Capital IQ, Reuters and many more, as well as through our social media and email distribution lists.
Ben Pirie
Other Reports on these Companies
Other Reports from Atrium Research Corporation
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.