Category: Natural Resources

Friday, January 31, 2020

Aurania Resources Ltd. (ARU:CA)

Initial Results Inform and Refine Direction of Drilling

Aurania Resources Ltd. is a Canada-based junior mining exploration company engaged in the identification, evaluation, acquisition, and exploration of mineral property interests, with a focus on precious metals and copper. Its flagship asset, The Lost Cities-Cutucu Project, is in southeastern Ecuador in the Province of Morona-Santiago. The company also has several minor projects in Switzerland.

Mark Reichman, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Initial assay results yield more information than gold. Six drill holes, representing approximately 2,500 meters of drilling, have been completed on the first three of four targets at Yawi. Assay results received for the first four holes indicated no significant gold or silver was intersected. Findings are being used to refine…

Aurania applies for mineral concessions in Peru. Aurania recently applied for mineral concessions in northern Peru. The applications are associated with the company’s non-refundable but transferable advance of C$2.4 million to acquire additional mineral property interests disclosed in third quarter 2019 financial reports. We believe the property interests encompass portions of the mineral belt that extend from…    

Get the full report on Channelchek desktop.

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst
certification and important disclosures included in the full report. 
NOTE: investment decisions should not be based upon the content of
this research summary.  Proper due diligence is required before
making any investment decision. 

Wednesday, January 29, 2020

Great Panther Mining Limited (GPL)

Exploration Activity in Mexico Carries Momentum into 2020

Great Panther Mining Limited, headquartered in Vancouver, Canada, is a precious metals mining and exploration company that operates three mines. These include: 1) the Tucano gold mine in Amapa State, Brazil, 2) the Guanajuato mine complex which includes the Guanajuato and San Ignacio mines in Mexico, and 3) the Topia mine in Mexico. Great Panther also owns the Coricancha Mine in Peru, which is expected to restart operations in 2020. The shares are traded under the ticker “GPR” on the Toronto Stock Exchange and under the ticker “GPL” on the NYSE American.

Mark Reichman, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Investing in Mexico. While attention in 2019 largely focused on the company’s Tucano mine in Brazil, Great Panther executed a successful exploration program in Mexico that set the stage for 2020. Following 21,711 meters of drilling in 2019, the company has allocated $4 million to fund exploration in Mexico in 2020, focused mainly on the Guanajuato and San Ignacio mines. The 2020 drilling program calls for 14,400 meters of drilling at the Guanajuato mine, up to 8,500 meters of drilling at the San Ignacio mine and 2,500 meters at Topia.

Guanajuato mine could resume production in 2020. At the beginning of 2019, production was suspended at the Guanajuato mine in order to focus on exploration for higher grade resources. Three rigs completed 8,832 meters of drilling in 126 holes and…

Get the full report on Channelchek desktop.

This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst
certification and important disclosures included in the full report. 
NOTE: investment decisions should not be based upon the content of
this research summary.  Proper due diligence is required before
making any investment decision. 

Wednesday, January 29, 2020

Great Panther Mining Limited (GPL)

Exploration Activity in Mexico Carries Momentum into 2020

Great Panther Mining Limited, headquartered in Vancouver, Canada, is a precious metals mining and exploration company that operates three mines. These include: 1) the Tucano gold mine in Amapa State, Brazil, 2) the Guanajuato mine complex which includes the Guanajuato and San Ignacio mines in Mexico, and 3) the Topia mine in Mexico. Great Panther also owns the Coricancha Mine in Peru, which is expected to restart operations in 2020. The shares are traded under the ticker “GPR” on the Toronto Stock Exchange and under the ticker “GPL” on the NYSE American.

Mark Reichman, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Investing in Mexico. While attention in 2019 largely focused on the company’s Tucano mine in Brazil, Great Panther executed a successful exploration program in Mexico that set the stage for 2020. Following 21,711 meters of drilling in 2019, the company has allocated $4 million to fund exploration in Mexico in 2020, focused mainly on the Guanajuato and San Ignacio mines. The 2020 drilling program calls for 14,400 meters of drilling at the Guanajuato mine, up to 8,500 meters of drilling at the San Ignacio mine and 2,500 meters at Topia.

Guanajuato mine could resume production in 2020. At the beginning of 2019, production was suspended at the Guanajuato mine in order to focus on exploration for higher grade resources. Three rigs completed 8,832 meters of drilling in 126 holes and…

Get the full report on Channelchek desktop.

This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst
certification and important disclosures included in the full report. 
NOTE: investment decisions should not be based upon the content of
this research summary.  Proper due diligence is required before
making any investment decision. 

Friday, January 24, 2020

Sierra Metals (SMTS)

Fourth Quarter Production Results In Line with Expectations

Sierra Metals Inc is a precious and base metals producer in Latin America. The company acquires, explores, extracts, and produces mineral concentrates consisting of silver, copper, lead, zinc and gold in Mexico and Peru. Its activity includes the operation of the Yauricocha Mine in Peru, and the Bolivar and Cusi mines in Mexico. Yauricocha is an underground polymetallic mine using the sublevel block caving and cut-and-fill mining methods. Bolivar is a copper-silver-zinc-gold underground mine using room-and-pillar mining method. The majority of the revenue is earned by selling of the mineral concentrates to its customers in Peru.

Mark Reichman, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

SMTS reports fourth quarter production results. Compared with the prior year period, fourth quarter production of gold increased 69.2% to 3,615 ounces, silver increased 24.3% to 871 thousand ounces, lead production increased 24.9% to 9.9 million pounds, copper production increased 26.6% to 11.3 million pounds and

2020 Guidance.  At the midpoints of 2020 production guidance, Sierra expects 14.0%, 20.7% and 31.2% increases in silver, copper and zinc equivalent production relative to 2019. Production capacity is expected to increase from 8,350 tonnes per day at year-end 2019 to 9,500 tonnes per day by year-end 2020 and…

Get the full report on Channelchek desktop.

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst
certification and important disclosures included in the full report. 
NOTE: investment decisions should not be based upon the content of
this research summary.  Proper due diligence is required before
making any investment decision. 

Friday, January 24, 2020

Sierra Metals (SMTS)

Fourth Quarter Production Results In Line with Expectations

Sierra Metals Inc is a precious and base metals producer in Latin America. The company acquires, explores, extracts, and produces mineral concentrates consisting of silver, copper, lead, zinc and gold in Mexico and Peru. Its activity includes the operation of the Yauricocha Mine in Peru, and the Bolivar and Cusi mines in Mexico. Yauricocha is an underground polymetallic mine using the sublevel block caving and cut-and-fill mining methods. Bolivar is a copper-silver-zinc-gold underground mine using room-and-pillar mining method. The majority of the revenue is earned by selling of the mineral concentrates to its customers in Peru.

Mark Reichman, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

SMTS reports fourth quarter production results. Compared with the prior year period, fourth quarter production of gold increased 69.2% to 3,615 ounces, silver increased 24.3% to 871 thousand ounces, lead production increased 24.9% to 9.9 million pounds, copper production increased 26.6% to 11.3 million pounds and

2020 Guidance.  At the midpoints of 2020 production guidance, Sierra expects 14.0%, 20.7% and 31.2% increases in silver, copper and zinc equivalent production relative to 2019. Production capacity is expected to increase from 8,350 tonnes per day at year-end 2019 to 9,500 tonnes per day by year-end 2020 and…

Get the full report on Channelchek desktop.

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst
certification and important disclosures included in the full report. 
NOTE: investment decisions should not be based upon the content of
this research summary.  Proper due diligence is required before
making any investment decision. 

Tuesday, January 21, 2020

Coeur Mining (CDE)

Fourth Quarter Production Results Disappoint; Rating Remains Outperform

Coeur Mining Inc is a metals producer focused on mining precious minerals in the Americas. It is involved in the discovery and mining of gold and silver and generates the vast majority of revenue from the sale of these precious metals. The operating mines of the company are palmarejo, rochester, wharf, and kensington. Its projects are located in the United States, Canada and Mexico, and North America.

Mark Reichman, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

CDE reports fourth quarter 2019 production results. Coeur Mining reported fourth quarter production of 94,716 ounces of gold, 3.2 million ounces of silver, 3.9 million pounds of zinc and 4.0 million pounds of lead. On a year-over year basis, gold and silver production declined 4.8% and 8.6%, respectively, while zinc and lead production increased 25.8% and 135.3%. Sequentially, gold production declined 5.6%, silver production increased 6.7% and zinc and lead production declined 7.1% and 11.1%, respectively. Fourth quarter production results were lower than expected and progress toward improving operational performance at Silvertip has been incrementally slow.

Adjusting estimates.  We are lowering our 2019 EPS loss forecast to ($0.30) per share from ($0.22) per share to reflect lower production. Additionally, we are reducing our 2020 EPS and EBITDA estimates to $0.10 and $240.3 million from $0.12 and…

Get the full report on Channelchek desktop.

This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst
certification and important disclosures included in the full report. 
NOTE: investment decisions should not be based upon the content of
this research summary.  Proper due diligence is required before
making any investment decision. 

Tuesday, January 21, 2020

Coeur Mining (CDE)

Fourth Quarter Production Results Disappoint; Rating Remains Outperform

Coeur Mining Inc is a metals producer focused on mining precious minerals in the Americas. It is involved in the discovery and mining of gold and silver and generates the vast majority of revenue from the sale of these precious metals. The operating mines of the company are palmarejo, rochester, wharf, and kensington. Its projects are located in the United States, Canada and Mexico, and North America.

Mark Reichman, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

CDE reports fourth quarter 2019 production results. Coeur Mining reported fourth quarter production of 94,716 ounces of gold, 3.2 million ounces of silver, 3.9 million pounds of zinc and 4.0 million pounds of lead. On a year-over year basis, gold and silver production declined 4.8% and 8.6%, respectively, while zinc and lead production increased 25.8% and 135.3%. Sequentially, gold production declined 5.6%, silver production increased 6.7% and zinc and lead production declined 7.1% and 11.1%, respectively. Fourth quarter production results were lower than expected and progress toward improving operational performance at Silvertip has been incrementally slow.

Adjusting estimates.  We are lowering our 2019 EPS loss forecast to ($0.30) per share from ($0.22) per share to reflect lower production. Additionally, we are reducing our 2020 EPS and EBITDA estimates to $0.10 and $240.3 million from $0.12 and…

Get the full report on Channelchek desktop.

This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst
certification and important disclosures included in the full report. 
NOTE: investment decisions should not be based upon the content of
this research summary.  Proper due diligence is required before
making any investment decision. 

Wednesday, January 15, 2020

Orion Group Holdings (ORN)

New Concrete Awards Help Near-term Visibility

Orion Group Holdings, based in Houston, Texas, is a specialty construction company within the Marine and Industrial Construction sectors, with operations focused in the continental United States and Caribbean. Revenue is split roughly 50/50 between a Marine Construction segment that provides marine facility, pipeline and structural construction services and a Commercial Concrete segment that provides turnkey concrete services in the light commercial and structural construction markets.

Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Concrete awards of $22 million helps 2020 visibility. Three light commercial jobs in Texas totaling $22 million were awarded; two in Dallas for $14 million and another in Houston for $8 million. The work helps concrete visibility since it begins this quarter with completion by end of 3Q2020.

The outlook remains very good and added awards on the horizon. More than $1.0 billion of bids remain outstanding so additional awards are likely. A large proposed cruise port project in George Town is likely to slip further into this year due to…

Get the full report on Channelchek desktop.

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst
certification and important disclosures included in the full report. 
NOTE: investment decisions should not be based upon the content of
this research summary.  Proper due diligence is required before
making any investment decision. 

Wednesday, January 15, 2020

Great Panther Mining Limited (GPL)

Upgrading Based on Improving Risk and Reward Profile

Great Panther Mining Limited, headquartered in Vancouver, Canada, is a precious metals mining and exploration company that operates three mines. These include: 1) the Tucano gold mine in Amapa State, Brazil, 2) the Guanajuato mine complex which includes the Guanajuato and San Ignacio mines in Mexico, and 3) the Topia mine in Mexico. Great Panther also owns the Coricancha Mine in Peru, which is expected to restart operations in 2020. The shares are traded under the ticker “GPR” on the Toronto Stock Exchange and under the ticker “GPL” on the NYSE American.

Mark Reichman, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

GPL reports fourth quarter production results. In aggregate, fourth quarter production increased 275.7% to 44,697 gold equivalent ounces versus the prior year period and decreased 5.7% compared to the third quarter of 2019. The significant year-over-year increase in gold production reflects the acquisition of the Tucano Gold Mine in March 2019. Fourth quarter gold production from the Tucano mine exceeded the recent guidance range of 31,000 to 33,000 ounces with production of 34,181 ounces.

Full year 2019 production. In 2019, Great Panther produced 146,853 gold equivalent ounces which was above the midpoint of management’s guidance range of 142,000 to 149,000 ounces. In addition to the Tucano mine’s strong finish to the year, the Topia mine experienced higher year-over-year production as a result of…

Get the full report on Channelchek desktop.

This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst
certification and important disclosures included in the full report. 
NOTE: investment decisions should not be based upon the content of
this research summary.  Proper due diligence is required before
making any investment decision. 

Wednesday, January 15, 2020

Orion Group Holdings (ORN)

New Concrete Awards Help Near-term Visibility

Orion Group Holdings, based in Houston, Texas, is a specialty construction company within the Marine and Industrial Construction sectors, with operations focused in the continental United States and Caribbean. Revenue is split roughly 50/50 between a Marine Construction segment that provides marine facility, pipeline and structural construction services and a Commercial Concrete segment that provides turnkey concrete services in the light commercial and structural construction markets.

Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Concrete awards of $22 million helps 2020 visibility. Three light commercial jobs in Texas totaling $22 million were awarded; two in Dallas for $14 million and another in Houston for $8 million. The work helps concrete visibility since it begins this quarter with completion by end of 3Q2020.

The outlook remains very good and added awards on the horizon. More than $1.0 billion of bids remain outstanding so additional awards are likely. A large proposed cruise port project in George Town is likely to slip further into this year due to…

Get the full report on Channelchek desktop.

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst
certification and important disclosures included in the full report. 
NOTE: investment decisions should not be based upon the content of
this research summary.  Proper due diligence is required before
making any investment decision. 

Wednesday, January 15, 2020

Great Panther Mining Limited (GPL)

Upgrading Based on Improving Risk and Reward Profile

Great Panther Mining Limited, headquartered in Vancouver, Canada, is a precious metals mining and exploration company that operates three mines. These include: 1) the Tucano gold mine in Amapa State, Brazil, 2) the Guanajuato mine complex which includes the Guanajuato and San Ignacio mines in Mexico, and 3) the Topia mine in Mexico. Great Panther also owns the Coricancha Mine in Peru, which is expected to restart operations in 2020. The shares are traded under the ticker “GPR” on the Toronto Stock Exchange and under the ticker “GPL” on the NYSE American.

Mark Reichman, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

GPL reports fourth quarter production results. In aggregate, fourth quarter production increased 275.7% to 44,697 gold equivalent ounces versus the prior year period and decreased 5.7% compared to the third quarter of 2019. The significant year-over-year increase in gold production reflects the acquisition of the Tucano Gold Mine in March 2019. Fourth quarter gold production from the Tucano mine exceeded the recent guidance range of 31,000 to 33,000 ounces with production of 34,181 ounces.

Full year 2019 production. In 2019, Great Panther produced 146,853 gold equivalent ounces which was above the midpoint of management’s guidance range of 142,000 to 149,000 ounces. In addition to the Tucano mine’s strong finish to the year, the Topia mine experienced higher year-over-year production as a result of…

Get the full report on Channelchek desktop.

This research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst
certification and important disclosures included in the full report. 
NOTE: investment decisions should not be based upon the content of
this research summary.  Proper due diligence is required before
making any investment decision. 

Cobalt and Rare Earth Metals from the Ocean Floor Eyed to Meet Growing Battery Demand

(Note: companies that
could be impacted by the content of this article are listed at the base of the
story [desktop version]. This article uses third-party references to provide a
bullish, bearish, and balanced point of view; sources are listed after the
Balanced section.)

The pursuit of seabed minerals, including polymetallic nodules containing nickel, copper, cobalt, and manganese is being driven by growing demand for batteries to power electric cars and to store wind and solar energy.  Discoveries of rich deposits on the seafloor and advances in technology are generating renewed interest in seafloor mining.  The International Seabed Authority (ISA), representing 168 countries as the trustee of the mineral resources of the deep seabed, has approved 30 contracts for exploration in international waters.  These contracts encompass 0.7% of the world’s seabed.  ISA is currently developing exploitation regulations for deep-sea marine minerals.  Technology advances, including remotely operated vehicles, robotics, and communications technology, make deep-sea mining more feasible, the deep ocean is starting to look increasingly attractive.  We look at the bull and bear arguments for opening the ocean seafloor to mining.

Cobalt and Rare Earth Metals from the Ocean Floor Eyed to Meet Growing Battery Demand

(Note: companies that
could be impacted by the content of this article are listed at the base of the
story [desktop version]. This article uses third-party references to provide a
bullish, bearish, and balanced point of view; sources are listed after the
Balanced section.)

The pursuit of seabed minerals, including polymetallic nodules containing nickel, copper, cobalt, and manganese is being driven by growing demand for batteries to power electric cars and to store wind and solar energy.  Discoveries of rich deposits on the seafloor and advances in technology are generating renewed interest in seafloor mining.  The International Seabed Authority (ISA), representing 168 countries as the trustee of the mineral resources of the deep seabed, has approved 30 contracts for exploration in international waters.  These contracts encompass 0.7% of the world’s seabed.  ISA is currently developing exploitation regulations for deep-sea marine minerals.  Technology advances, including remotely operated vehicles, robotics, and communications technology, make deep-sea mining more feasible, the deep ocean is starting to look increasingly attractive.  We look at the bull and bear arguments for opening the ocean seafloor to mining.