Curis Resources Ltd PCCRF

RE: RE: RE: RE: More progress

[elgin1]

Also Ray Goldie of Salman Partners came out with an update as well as Mark Turner who as added CUV to his list of copper plays. Probably causing the increase in share price.   Yes the hearing is on 25 of January, but I wonder how long before the the decision comes out. I anticipate it should  be soon afterwards since the hearing is only scheduled for a day. This result with ICU permit could substantially move the stock upwards. 

Curis Resources Ltd. (CUV - TSX - $0.68; Target $7.75; BUY) - 56.3M Shares Outstanding

 

Metallurgical results could have a material positive effect

 

Curis Resources yesterday announced “results for the recently completed large scale metallurgical test work … preliminary indications are that overall copper recovery of approximately 70 percent will be achieved from a typical mineralized block [emphasis Curis']. … Our objective now is to integrate these results into a new financial and engineering model for Florence Copper that is scheduled for release in Q1 2013 in the form of a pre-feasibility study (PFS).”

 

We currently model Curis as achieving a total recovery of 49% of the copper contained in the mineralization it proposes to treat, over 72 months, beginning with 5% recovery in Month 1. On this basis, we estimate Curis’ Net Asset Value at Cdn $7.77 per share.

 

If we were to model Curis’ process as achieving a total recovery of 70% of the contained mineralization over 72 months, beginning with 7.1% recovery in month 1, with no extra costs (the latter being an unrealistic assumption), that would take our estimate of Curis’ NAV to Cdn$20.28 per share. We intend to incorporate the results of the PFS into our modelling of Curis. Clearly, the metallurgical work reported yesterday by Curis could have a material, positive effect on our valuation.

 

Our recommendation on the shares of Curis Resources remains BUY. Analyst Coverage: Raymond Goldie