Impact: Positive
Karora Resources reported strong results from initial air core scout drilling from the Lake Cowan prospect, part of the Higginsville Greater exploration area in Western Australia. We view these results positively given the limited exploration that has occurred in the Lake Cowan area to date. As Karora continues to demonstrate steady operations and cost reductions, it is building a foundation for the next leg of its growth. We expect this will be delivered via the drill bit, perhaps supporting the need for a mill expansion. We expect Karora’s aggressive A$20M exploration budget, to deliver continued success, translating into new drill targets and resource growth, potentially helping Karora re-rate further.
