NKORF - Palladium One Mining (NKORF)(PDM:CA) - Kaukua A Big System That Keeps Getting Bigger
Drilling affirms increasing grades and widths at depth. Palladium One released results for four Kaukua South drill holes at the LK PGE-Ni-Cu project in Finland, including Hole LK21-081 which intersected 4.07 grams of palladium equivalent per tonne over 24 meters, within 2.08 grams of palladium equivalent per tonne over 112 meters, starting at 171.5 meters depth. Hole LK21-081 surpassed Hole LK20-016 as the drill hole returning the highest-grade intercept to date. Both holes are part of two parallel high grade zones at Kaukua South. Drilling is successfully expanding higher grade zones to depth. For example, Hole LK21-080 intersected 1.86 grams of palladium equivalent per tonne over 40.5 meters, including 2.95 grams of palladium equivalent per tonne, over 3.0 meters from 229.5 meters depth.Updated resource estimates and PEA. Management expects to complete an updated NI 43-101 compliant resource estimate for the Greater Kaukua Area in December 2021/January 2022. A preliminary economic assessment is expected in mid-2022. Since we initiated coverage in October 2020, the company has increased its NI 43-101 compliant resources to 2,235,000 from 1,161,400 palladium equivalent ounces. We think the company could end up at around 4,000,000 palladium equivalent ounces between the Greater Kaukua Area and the recently released mineral resource estimate for Haukiaho. We think the resource potential is far greater. There are several other higher grade core zones yet to be defined based on the number of drill targets remaining to be tested. Two potential new zones have been identified in geophysical surveys to the west and east of the drill defined mineralization at Kaukua South.Rating is Outperform. The company continues to deliver excellent drill results that affirm the potential for higher grade zones within the Kaukua Area. Results for 40 drill holes remain outstanding and we also expect more news related to a VTEM survey and drilling at the Tyko Cu-Ni project in Ontario, Canada. At the current price, we believe the shares offer exceptional value. Read More >>