Capital markets firm Ocean Equities has commented on recent drilling results from Sunridge Gold Corp's (CVE:SGC)(OTCQX:SGCNF) Adi Rassi copper-gold prospect, part of the company's Asmara Project in Eritrea.
is a mineral exploration and development company focused on the
acquisition, exploration, discovery and development of base and precious
metal projects on the Asmara Project in Eritrea and exploration
properties in Madagascar.
Earlier this month, Sunridge said the
results from Adi Rassi continued to show wide copper and gold intercepts
and confirms management's belief that Adi Rassi is a new large
copper-gold discovery that has the potential to become Sunridge's fifth
deposit on the Asmara Project.
"Exploration success at Adi Rassi to add significant value to Sunridge's portfolio," Ocean Equities said in a note.
said that the copper-gold mineralized zone has now been defined over
about 400 metres strike length, 40 to 100 metres in width and to a
vertical depth of 330 metres. The zone remains open and Sunridge is now
planning the next phase of drilling and completion of an initial
resource estimate on the Adi Rassi deposit.
highlights, hole AR-013-D encountered 0.80% copper and 1.01 grams per
tonne (g/t) gold over 56.17 metres; AR-014-D drilled for 49.65 metres
averaging 0.31% copper and 0.47 g/t gold; hole AR-016-D discovered 0.52%
copper and 0.34 g/t gold over 74.26 metres; AR-017-D drilled 38.20
metres averaging 1.50% copper and 0.50 g/t gold and hole AR-018-D
encountered 0.54% copper and 0.43 g/t gold over 99 metres.
the impressive first set of exploration drill results from Adi Rassi
there is the potential that Adi Rassi may become Sunridge's second
largest asset behind Emba Derho and potentially provide the economics to
be developed as a stand alone asset or processed in association with
Sunridge's other assets," Ocean Equities said.
Based on the
results of a prefeasibility study for the Asmara Project released
earlier this year, Ocean Equities has established a valuation target of
$0.68 per share.
"Entry to Sunridge at this level offers
considerable upside to investors as the company moves to completion of a
full feasibility study at Asmara."