Emerita Resources Corp. (EMO:TSX.V; EMOTF:OTCMKTS; LLJA:FSE) put out a press release on October 20, 2023, announcing that the company has begun its drill program on its Nuevo Tintillo property after some delays due to concerns about fire prevention in the region.
The company's President, Joaquin Merino, commented on the delays: "This is the most extended dry period seen in the region in many years. Some rainy weather has started. However, much more is needed as reservoirs, ponds, and smaller streams and rivers are still dry in many cases. The company will truck water for the drill program."
According to the company, it has finished constructing infrastructure for the site and plans to move a rig to the project this week. The company plans to target six drill sites on the west side of the project, and the company is continuing to evaluate potential targets on the east side.
Gold and Silver Set to Rise
Technical Analyst Clive Maund commented on the gold market on October 19, which he believes is set to see a rise in the near future.
Varun Arora reviewed Emerita in June of 2023 and rated the company as a "Speculative Buy" with a target price of CA$3.75, representing a potential return of 349% for investors.
Maund said that "there is a clear line of strong resistance at the top of the pattern approaching US$2100, which is obviously very important, so a conclusive breakout above this resistance will be a strong bullish development that should usher in a major bullmarket advance."
Maund is also optimistic about silver, based on a report from October 18, 2023, where he called silver "probably the best value investment around, with very little downside and huge upside."
A Positive Outlook
Dean Bristow, on July 26, 2023, reviewed the company positively, highlighting past production on the company's properties, the region's reputation for producing high grades, and the company's good financials.
According to Bristow, "For now, Emerita is well funded with plenty of ongoing exploration continuing to generate news over the coming weeks and months."
The analyst Varun Arora reviewed Emerita in June of 2023 and rated the company as a "Speculative Buy" with a target price of CA$3.75, representing a potential return of 349% for investors.
As for catalysts, the company expects to settle the court case regarding Aznalcóllar in Q2 of 2025. The company estimates that the site contains approximately 73Mt of historic reserves of zinc and an additional zone of mineralization that has never been drilled.
Ownership and Share Structure
Streetwise Ownership Overview*
Reuters provided a breakdown of the company's ownership and share structure, where management and insiders own approximately 5.80% of the company.
According to Reuters, Chairman Michael Lawrence Guy owns 1.90% of the company with 4.32 million shares, CEO and director David Patrick Gower owns 1.22% of the company with 2.76 million shares, President and director Joaquin Merino-Marquez owns 0.92% of the company with 2.09 million shares, director Catherine Stretch owns 0.70% of the company with 1.60 million shares, director Marilia Bento owns 0.44% of the company with 1.00 million shares, CFO Gregory Duras owns 0.29% of the company with 0.65 million shares, Corporate Secretary Damian J.D. Lopez owns 0.20% of the company with 0.46 million shares, Executive Vice President Ian T. Parkinson owns 0.11% of the company with 0.25 million shares, and director Michael Jones owns 0.02% of the company with 0.05 million shares.
Reuters reports that institutions own 10.47% of the company, as Eric Sprott owns 9.11% of the company with 20.72 million shares, Merk Investments LLC owns 1.21% of the company with 2.75 million shares, Palos Management Inc. owns 0.09% with 0.20 million shares, and Timelo Investment Management Inc. owns 0.06% with 0.14 million shares.
According to Reuters, there are 227.32 million shares outstanding, with 214.13 million free float traded shares, and that the company has a market cap of CA$70.45 million and trades in the 52-week period between CA$0.29 and CA$1.24.
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- Amanda Duvall wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee.
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