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Mining Company's Exploration Work Defining 'Abundance of Drilling Targets'
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An update on Aurania Resources' efforts at Lost Cities–Cutucu is provided in a Noble Capital Markets report.

In a May 24 research note, Noble Capital Markets analyst Mark Reichman reported that Aurania Resources Ltd. (ARU:TSX.V; AUIAF:OTCQB) is "making progress" with its exploration program at its Lost Cities–Cutucu project in Ecuador and described recently finished work.

"Aurania's exploration program is providing an abundance of drilling targets for a variety of metals and the potential to make multiple discoveries in its large concession package," Reichman wrote. "The drilling program is progressing on schedule."

At the Tsenken N1 copper-silver target, the Canadian explorer completed two holes, Reichman noted. One represented 722 meters (722m) of drilling and the other, 433m. Now, it is drilling a third hole. Later, Aurania will move the drill rig, one of two in use at the property, to Tsenken West and then to Tiria-Shimpia.

As for the Kuri-Yawi 1 epithermal gold-porphyry copper target, relayed Reichman, the company drilled one hole for 1,212m and is currently drilling a second. After work there is done, Aurania will move this second rig to Kuri-Yawi 2.

Along with Tsenken West and Tiria-Shimpia, other planned drill targets include Tsenken N4 (copper-gold), Tsenken B (copper-silver) and Kuri-Yawi 3 (copper-gold).

"Management has mentioned the order could change along with the potential for a third rig to be deployed at Tiria-Shimpia," Reichman wrote.

Regarding the Tiria-Shimpia target, the analyst pointed out, "exploration and channel sampling [are] yielding information about the distribution of grade on surface" in the silver-zinc mineralization trend there. Silver grades, in a 500m segment in a 2.7km mineralized zone, were as high as 73 grams per ton, and zinc grades as high as 49%.

The mineralization trend at Tiria-Shimpia now spans 22km with Aurania's recent discovery of a 7km-long mineralized zone at Shimpia North.

"The latest discovery at Tiria-Shimpia is encouraging because while the 22-kilometer trend is mineralized, the company appears to be narrowing in on the highest-grade sections for drilling," Reichman commented.

Noble has an Outperform rating and a US$3.75 per share target price on Aurania Resources, whose stock is trading at about US$2.28 per share.


1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
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Disclosures for Noble Capital Markets, Aurania Resources, May 24, 2021
Company Specific Disclosures
The following disclosures relate to relationships between Noble and the company (the "Company") covered by the Noble Research Division and referred to in this research report.
The Company in this report is a participant in the Company Sponsored Research Program ("CSRP"); Noble receives compensation from the Company for such participation. No part of the CSRP compensation was, is, or will be directly or indirectly related to any specific recommendations or views expressed by the analyst in this research report.
Noble has arranged non-deal roadshow(s) with investors in the last 12 months. The Company has attended Noble investor conference(s) in the last 12 months.
Noble intends to seek compensation for investment banking services and non-investment banking services (securities and non-securities related) within the next 3 months.
Noble is not a market maker in the Company.

Senior Equity Analyst focusing on Basic Materials & Mining. 20 years of experience in equity research. BA in Business Administration from Westminster College. MBA with a Finance concentration from the University of Missouri. MA in International Affairs from Washington University in St. Louis. Named WSJ 'Best on the Street' Analyst and Forbes/StarMine's "Best Brokerage Analyst." FINRA licenses 7, 24, 63, 87.

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