Trigon Metals Inc. (PNTZF) has announced positive high-grade drill results from its Kombat Mine, prompting Atrium Research analysts to maintain their Buy rating and target price of CA$3.50. The analysts, Ben Pirie and Nicholas Cortellucci, highlighted the significance of the results in a research report published on August 30, 2024.
The drill program at a new zone near Shaft #3 yielded several high-grade copper intersections. Notably, these intersections included:
* 3.32% Copper (Cu) over 7 meters (m) (E600-017)
* 2.08% Cu over 4m (E600-018)
* 2.65% Cu over 3m (E600-044)
* 2.48% Cu over 3m (E600-045
* 2.14% Cu over 2m (E600-047)
* 2.61% Cu over 2m (E600-055)
* 2.06% Cu over 2m (E600-056)
* 2.21% Cu over 4m (E600-065)
Atrium Research emphasized the potential of these results, stating they “show strong resource growth potential in the area around Shaft #3, which would open up more mining faces, reducing operational risk and allowing for future production growth.” The analysts also noted comments from Trigon’s VP Exploration, Andy Rompel, who indicated “potential for the deposit to expand in width further into the dolomites (not just along the dolomite phyllite contact), which could materially grow the resource.”
The positive outlook for Trigon Metals extends to its strategic plans, which include increasing throughput from 1,000 tpd to 2,000 tpd next year. Shaft #3 is expected to play a pivotal role in this expansion. The company is continuing its underground drilling operations with approximately 3,500m planned for completion by year-end.
Atrium Research maintains its Buy rating and target price of CA$3.50 per share, representing a potential return of 393% from the share price at the time of the report. The analysts identified ongoing quarterly production and financial results, as well as continued drill results at Kombat and expansion drilling, as key catalysts for Trigon Metals moving forward.
The company’s commitment to resource expansion and production growth, coupled with Atrium Research’s positive assessment, suggests a promising future for Trigon Metals.
