Report
FREE
• Trigon reported high-grade near-surface drill results (1.48% Cu over 76.0m & 1.14% Cu over 10.0m).
• Management announced that mining is progressing ahead of schedule.
• Trigon’s stock remains depressed (0.2x NAV vs. peers at 0.7x NAV) despite making strong headway towards a profitable operation.
Yesterday, Trigon Metals Inc. (TM:TSXV), announced another series of high-grade drill results from its Kombat Mine. The Company reported drill results from three holes totalling 182m at the East 600 planned open pit, located 400m east of the main open pit. Hole OC0004 represented one of the longest mineralized intercepts drilled from surface, intersecting 1.48% Cu over 76.0m (Table 1). The results are new to the East 600 area and have been incorporated into the Company’s resource and mine plan. This is the third batch of high-grade at-surface drill results which we believe supports an extension of the open pit mine plan.
Trigon also provided a positive update on the ongoing mining operations at Kombat. The Company reported it has completed one full month of mining activities, and that the ramp up to full mining production is going as planned. Mined tonnes during the month of May was above budget at 124Kt of waste vs. the planned 120Kt. With May strictly devoted to moving waste, the high-grade mineralization has now been exposed in several areas of the pit. The first ore tonnes are scheduled to be mined towards the end of June. The Company also reported that it anticipates mining rates will average 8,000tpd when the mine is in full operation; however, in this start-up phase, rates have reached up to 10,000tpd when the team has worked to test capacity. This is important as it highlights the Company’s ability to make up lost production if there was ever unplanned downtime. We are maintaining our BUY rating and C$0.60/share target price on Trigon Metals Inc.
Trigon plans to continue to test areas around the planned open pits including East 400, East 600, and East 900 which can be potential sources for adding near-surface high-grade ore. Additionally, TM is planning to begin drilling at the Otavi area, 12km west of the Kombat mining permit which will better test the extent of the 35km strike-length. We believe this can kickstart the uncovering of an asset large enough to attract the majors.
TM: Wide High-Grade Drill Results; Positive Mining Update
What you need to know:• Trigon reported high-grade near-surface drill results (1.48% Cu over 76.0m & 1.14% Cu over 10.0m).
• Management announced that mining is progressing ahead of schedule.
• Trigon’s stock remains depressed (0.2x NAV vs. peers at 0.7x NAV) despite making strong headway towards a profitable operation.
Yesterday, Trigon Metals Inc. (TM:TSXV), announced another series of high-grade drill results from its Kombat Mine. The Company reported drill results from three holes totalling 182m at the East 600 planned open pit, located 400m east of the main open pit. Hole OC0004 represented one of the longest mineralized intercepts drilled from surface, intersecting 1.48% Cu over 76.0m (Table 1). The results are new to the East 600 area and have been incorporated into the Company’s resource and mine plan. This is the third batch of high-grade at-surface drill results which we believe supports an extension of the open pit mine plan.
Trigon also provided a positive update on the ongoing mining operations at Kombat. The Company reported it has completed one full month of mining activities, and that the ramp up to full mining production is going as planned. Mined tonnes during the month of May was above budget at 124Kt of waste vs. the planned 120Kt. With May strictly devoted to moving waste, the high-grade mineralization has now been exposed in several areas of the pit. The first ore tonnes are scheduled to be mined towards the end of June. The Company also reported that it anticipates mining rates will average 8,000tpd when the mine is in full operation; however, in this start-up phase, rates have reached up to 10,000tpd when the team has worked to test capacity. This is important as it highlights the Company’s ability to make up lost production if there was ever unplanned downtime. We are maintaining our BUY rating and C$0.60/share target price on Trigon Metals Inc.
Trigon plans to continue to test areas around the planned open pits including East 400, East 600, and East 900 which can be potential sources for adding near-surface high-grade ore. Additionally, TM is planning to begin drilling at the Otavi area, 12km west of the Kombat mining permit which will better test the extent of the 35km strike-length. We believe this can kickstart the uncovering of an asset large enough to attract the majors.
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.