Rubicon Minerals (RMX-T) Mackie Research Spec Buy Target $3.50
Rubicon Minerals released more positive results from an infill drill program at its advanced Phoenix Gold underground project in Red Lake, Ontario.
We maintain our SPECULATIVE BUY and increase our target price to $3.50/share (was $3.25/share).
Summary: Since October 2019, Rubicon has drilled 6,612m of orientated drilling to upgrade inferred material between the 976 and 1,098m levels. Initial results (reported in January, subsequent to the latest resource update) proved encouraging, with 7.6m grading 8.82 g/t, including 0.8m at 56.1 g/t, and 1.6m grading 13.82 g/t, including 0.6m at 30.60 g/t. Highlights from the latest update include:
4.0m grading 130.60 g/t, including three one-meter sub-intervals at 49.30 g/t, 385.0 g/t and 86.40 g/t. The mineralization lies 966m vertically below surface, adding considerable upside to the project’s potential at depth;
2.85m grading 10.15 g/t, starting at 859m and including 0.6m at 18.80 g/t and 0.8m at 12.90 g/t;
1m grading 19.20 g/t, starting at 1,018m, followed by 2.0m grading 7.11 g/t, starting at 1,027m; and
1.54m grading 19.52 g/t, starting at 912m, followed by 0.45m grading 12.30 g/t, starting at 914m |
