Pursuit builds on Wubin South and opens up gold prospectivity

|

Published 14-DEC-2020 12:03 P.M.

|

2 minute read

Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.

In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.

The below articles were written under our previous business model. We have kept these articles online here for your reference.

Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.


Click Here to View Latest Articles

Shares in Pursuit Minerals (ASX:PUR) have doubled in the last three weeks, and news released on Monday morning regarding the application for a new exploration licence at Wubin South that will expand the group’s landholding in a highly prospective PGE-copper-nickel province could well lead to further upside.

Wubin South will increase the landholding in the highly prospective Western Yilgarn to 648 square kilometres.

Of particular interest is the area’s additional gold prospectivity.

Management’s confidence in the area has been buoyed by the identification of belts of aeromagnetic anomalies prospective for PGE-nickel-copper mineralisation at Wubin and Calingiri East.

The company plans to undertake airborne electromagnetic surveys in early 2021 in order to generate drilling targets.

Pursuit aiming to be the next Chalice

Since recently acquiring the Warrior PGE-Ni-Cu Project, Pursuit has moved quickly to define specific areas prospective for PGE-Ni-Cu mineralisation of the type that occurs at Chalice Mining Limited’s (ASX: CHN) Gonneville PGE-Ni-Cu prospect.

This was a company making discovery for Chalice Mining, one which resulted in the company’s shares increasing more than 1500% in 2020 and its market capitalisation pushing above the $1 billion mark.

Pursuit would no doubt like to emulate Chalice’s achievement, but while this may seem out of reach for a mere minnow with a market capitalisation of $16 million, one wouldn’t be surprised to see a significant rerating particularly if the group is able to deliver positive exploration results in 2021.

From a geological perspective, the PGE-nickel-copper mineralisation at Gonneville is associated with mafic and ultramafic intrusions, which can be recognised in regional aeromagnetic data.

The Gonneville PGE-Ni-Cu mineralisation is conductive and can be located using airborne electromagnetic data.

Utilising the regional aeromagnetic data, management has identified aeromagnetic anomalies prospective for such mineralisation over the company’s Wubin and Calingiri East prospect areas with Wubin and Wubin South shown below.

In terms of achieving a share price rerating, the first goal will be to establish sound drilling targets in early 2021, but the real kicker would be some exploration results that point to continuity of mineralisation, similar to that identified by Chalice.



General Information Only

S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.

Conflicts of Interest Notice

S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.

Publication Notice and Disclaimer

The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.

Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.

This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.

 

Discover Small Cap
Biotech Stocks

Join thousands of other Investors following our stock commentary for Free

X