Emerita Resources Corp. (EMO:TSX.V; EMOTF:OTCMKTS; LLJ:FSE) has released the assay results of their 12 additional drill holes on the Iberian Belt West.
The Emerita Resources Corp. is focused on mining mineral resources in Europe. The company is based in Sevilla, Spain, with branch offices in Toronto, Canada. Emerita owns over 18,000 combined hectares on the Iberian Pyrite Belt, with their flagship site, Iberian Belt West. Their property is located in Spain, close to the border with Portugal. They operate three sites on the belt: La Romanera, La Infanta, and El Cura.
The Iberian Belt West has long been known as a reliable mining site and was a source of valuable minerals for the ancient Romans. In modern times, the area is known to be friendly to mining. Long-term mining, especially acidic runoff, has significantly changed the environmental makeup of the area.
The La Romanera section of the Iberian Belt West site has yielded encouraging results in the past, especially by the Rio Tinto.
Drill Results
The drill holes featured in this release are focused in the La Romanera section. Several of the drill holes revealed significant findings of copper (Cu), lead (Pb), zinc (Zn), gold (Au), and silver (Ag).
Drill hole LR036B found 0.2 % Cu; 0.3 % Pb; 0.3 % Zn; 1.93 g/t Au and 24.8 g/t Ag across 1.8m of mineralization. The upper lens of drill hole LR042B found 0.2 % Cu; 2.8 % Pb; 4.5 % Zn; 1.30 g/t Au and 72.4 g/t Ag across 8.0m, with 3.8 m grading 0.2 % Cu; 5.8 % Pb; 8.7 % Zn; 2.51 g/t Au and 139.3 g/t Ag across 3.8m. The lower lens found 0.4 % Cu; 0.5 % Pb; 1.5 % Zn; 0.12 g/t Au and 7.3 g/t Ag across 4.9m.
The upper lens of drill hole LR049 found 0.4 % Cu; 0.6 % Pb; 1.2 % Zn; 0.54 g/t Au and 24.0 g/t Ag over 2.8m of grading. The lower lens found 0.1 % Cu; 1.2 % Pb; 2.1 % Zn; 1.08 g/t Au and 51.6 g/t Ag over 3.5m.
The lower lens of drill hole LR051 found 0.4 % Cu; 0.5 % Pb; 0.7 % Zn; 0.44 g/t Au and 21.4 g/t Ag of 18.0m, with 0.4 % Cu; 1.9 % Pb; 2.2 % Zn; 1.00 g/t Au and 72.1 g/t Ag over 2.3m.
The lower lens of drill hole LR053 found 0.3 % Cu; 0.6 % Pb; 0.5 % Zn; 0.47 g/t Au and 36.3 g/t Ag over 36.5m.
The upper lens of drill hole LR058 found 0.1 % Cu; 0.6 % Pb; 1.3 % Zn; 0.36 g/t Au and 33.5 g/t Ag over 4.7m.
The lower lens of drill hole LR064 found 0.2 % Cu; 2.0 % Pb; 5.1 % Zn; 1.16 g/t Au and 100.5 g/t Ag over 24.3m, with 0.2 % Cu; 3.1 % Pb; 12.4 % Zn; 0.80 g/t Au and 67.7 g/t Ag over 7.1m.
The lower lens of drill hole LR066 found 0.3 % Cu; 0.5 % Pb; 0.8 % Zn; 0.53 g/t Au and 18.4 g/t Ag over 3.8m.
Drill hole LR082 found 1.6 % Cu; 0.1 % Pb; 0.0 % Zn; 0.58 g/t Au and 18.3 g/t Ag over 11.2m. The upper lens found 2.3 % Cu; 0.1 % Pb; 0.0 % Zn; 0.56 g/t Au and 45.3 g/t Ag over 4.5m. The lower lens found 0.1 % Cu; 2.8 % Pb; 4.1 % Zn; 1.42 g/t Au and 76.3 g/t Ag over 4.2m.
The lower lens of drill hole LR086 found 0.4 % Cu; 1.1 % Pb; 2.5 % Zn; 0.57 g/t Au and 28.4 g/t Ag over 18.5m.
Overall, the drill results found silver in the greatest abundance and the least amount of copper. The drill holes in this report are clustered in the central and western sections of the site, though Emerita suspects that the formation may continue westward.
Emerita Resources Corp. still has a number of assays pending and may have significant findings to report in the future. LR075, LR060, LR029, LR027, and LR021 specifically are still pending.
On the future of Emerita’s operations, President Joaquin Merino has said “Our drill campaign remains on track, and we plan to lock the database in mid-February in order to proceed with the initial NI 43-101 mineral resource estimate for the IBW Project. We expect to have the mineral resource estimate completed in early Q2. We are presently reviewing proposals for metallurgical testing and this work will commence this quarter also. Our environmental baseline studies are also progressing and expected to be completed in April. The baseline study is a key deliverable for the permitting process.”
Why Copper, Zinc, and Lead?
According to Emerita, “Copper, Zinc, and Lead are critical minerals that are vital to the future of renewable energy and green energy. We are one of the biggest mining explorers in Europe with 2 of the biggest Copper-Zinc-Lead deposits in the world.”
Analyst Clive Maund suggested in October of 2022 that Emerita’s stocks, which had been in decline, may see a turnaround soon. According to Maund, “This looks like a recovery situation with the potential for large percentage gains . . . Factors suggesting that a sudden turnaround is in the offing are the steady diminution of downside momentum since May which is now at neutrality and the convergence of the downtrend which looks like a bullish Falling Wedge and also a Fan pattern, both of which are indicative of a downtrend that is decelerating ahead of a reversal to the upside.” Maund indicated that positive news may raise the value of Emerita’s stocks. To that end, their recent drilling reports may bear consideration.
In November of 2022, analyst Adam Schatzker reported that “Research Capital has a Speculative Buy rating and a CA$3.75 per share price target on Emerita.” Schatzker indicated that “the Canadian explorer is trading at CA$0.79 per share” and that the difference between the two may represent a lucrative opportunity for investors.
Multiple Catalysts
Emerita has hired a new Sr. VP, Ian Parkinson, who has over a decade and a half of experience as a mining analyst. His experience in the industry stretches back ten years before his start as an analyst.
Currently, Emerita has 15 drill rigs and aims to define over 20Mt polymetallic deposits. The company has also identified a new alteration zone between El Cura, and La Infanta, with El Cura containing a potential high-grade copper deposit.
The company also anticipates a court settlement for the Aznalcollar public tender, which contains one of the largest known untapped zinc deposits. The site is reported to contain 73Mt of historic reserves, and the original site contained 91Mt with one zone that has not been drilled at all.
Ownership and Share Structure
Emerita reports that the company has 23.63 million (CAD) in the bank as of June 30, 2022. They report no monthly burn rate or monthly drilling cost.
The market cap for Emerita is 166 million (CAD). The company holds 207.32 million shares, 8.8 million warrants, and 18.85 options.
Management, directors, and insiders hold 11,443,927 shares in the company or about 5.6%. They also hold 14,790,000 of the company’s options, and 353,400 of the company’s warrants.
In regards to institutions, Eric Sprott owns 20.5 million shares, or about 10%, while Merk Investments LLC owns 2.56 million shares, or about 1.3%.
The company reports no strategic investors.
Emerita works with influencers Johnny Lambo (https://mobile.twitter.com/lambojohnny/) and Doc Jones (https://twitter.com/drjimjonesceo).
