September 9, 2021
Karora Resources Inc. (TSX:KRR, BUY, C$9.00 target, David A. Talbot) announced additional drilling results from the Larkin zone at its 100%-owned Beta Hunt mine in Australia. Results have extended the zone to over 1km (from 650m) with the zone remaining open along strike and at depth. Assays include 6.2 g/t over 10.3m, including 9.6 g/t over 6.2m; and 9.4 g/t over 11m. This zone was just discovered in September 2020 and is expected to be added to resources in early 2022. We believe these are very encouraging infill and extensional drilling results from several zones at Beta Hunt. A Zone North drilling confirmed gold mineralization extends over 150m down-dip from existing resource areas, which supports continuation of the zone to the north including up and down dip extensions. Western Flanks North and South drilling support the goal of upgrading existing inferred resources – results include 5.1 g/t over 10.7m. Additionally, 30C Trough nickel infill drilling returned up to 2.4% Ni over 3.6m and the 50C nickel discovery drilling intersected nickel sulphides in all 11 new holes with assays pending. Major Western Flanks and A Zone extensional target supported with new surface drilling results which includes 4.7 g/t over 2m, including 9.3 g/t over 1m, drilling was located 300m up plunge from margin of existing A Zone underground resource. Additionally, core and RC drilling has identified a broad shear ~40m wide located 700m north along strike of the existing Western Flanks resource. We expect ongoing production growth and cost reduction efforts to be the main value driver for Karora, which is likely to be spearheaded by organic growth through the drill bit. Read more
