Company’s Heap-Leach Projects Hold Strong Economic M&A Interest

mical to recover. Second, Black Pine hosts seven large gold targets. “Drilling reveals that the system is open, with gold mineralization potentially amenable to heap leaching,” the analysts stated.
The analysts stated that the recently acquired TV Tower in Turkey “is permitted for further drilling, and a maiden JORC resource is expected to be released shortly.” Added to Liberty’s pipeline in Q4 is Kinsley Mountain in Nevada, “a nearby synergistic opportunity bordering Newmont Mining’s (NEM:NYSE) district-size exploration land.”
3L characterized the company’s stock as substantially undervalued and noted this was likely due to a wider gold sector sell-off. Nevertheless, the analysts rated Liberty Gold as a buy with a 12-month target price of $2.50 per share.
Considering Liberty’s heap-leach projects, the analysts concluded, “We believe the low-capex, high-return nature of heap leaching, a development timeline that is shorter than traditional milling projects, and early potential M&A could lead to a rerating as investors recognize the turnaround.”