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Source: Streetwise Reports 12/23/2024
Emerita Resources Corp. (EMO:TSX.V; EMOTF:OTCQB; LLJA:FSE) has reported promising results from ongoing metallurgical testing at the La Romanera deposit, part of its wholly-owned Iberian Belt West Project in Spain. Read on to learn how innovative recovery methods are unlocking the potential of this promising polymetallic deposit.
Emerita Resources Corp. (EMO:TSX.V; EMOTF:OTCQB; LLJA:FSE) has reported promising results from ongoing metallurgical testing at the La Romanera deposit, part of its wholly-owned Iberian Belt West (IBW) Project in Spain. Utilizing a two-stage process, the company has significantly enhanced recoveries of both base and precious metals. The initial stage employs conventional flotation, while the second stage, termed the Post Flotation Process (PFP), incorporates pyrometallurgical and leaching methods to recover residual metals, including gold, silver, copper, and zinc.
The PFP method has demonstrated a notable impact, boosting total estimated gold recovery to 64.3%, marking a significant improvement over the initial flotation results. Emerita’s testing involved a high-grade gold sample from La Romanera, processed in collaboration with Wardell Armstrong International in the UK and Dundee Sustainable Technologies in Quebec, Canada. The PFP utilizes the CLEVR™ non-cyanide gold leaching technology, aligning with the company’s commitment to environmentally sustainable mining practices.
According to Jorge Blanco, Emerita’s Director of Metallurgy, in the news release, the company is focused on maximizing the value of La Romanera’s mineralization. “We are very pleased with the progress using the CLEVR TM technology,” Blanco explained. “As our testing has progressed, we have continued to improve on the gold recovery for La Romanera mineralization to realize our objective of maximizing [the] La Romanera deposit’s value. In addition, this process would also gather much of the copper and zinc that was not collected in the initial flotation process. We are continuing to test other technologies with the aim of identifying the most efficient and optimal solution to maximize the value recovery at La Romanera while minimizing the overall environmental impact at the IBW Project.”
Understanding Polymetallic Mining
In a report dated December 13, The Globe and Mail highlighted advancements in polymetallic mining exploration. Projects such as Power Nickel’s Lion Zone extended mineralized zones deeper into the earth, reflecting the immense potential for resource growth. The findings at this project underscored how exploration continues to enhance the sector’s role in providing essential metals like nickel, copper, and precious metals for modern technologies.
According to Mining.com, on December 13, copper markets experienced a turbulent 2024, highlighted by speculative trading that pushed Comex copper to an all-time intraday high of US$5.20 per pound in May. Despite setbacks from geopolitical tensions and a stronger U.S. dollar, the long-term outlook for copper remains robust. Analysts point to ongoing growth in green energy projects and electrification as key demand drivers. The Chilean mining association forecasts production in 2025 will range between 5.4 million and 5.6 million tonnes, bolstered by major expansions such as Uzbekistan’s Almalyk mine and Congo’s Tenke Fungurume. Goldman Sachs, maintaining a bullish stance, predicts copper will average US$10,160 per tonne in 2025, reflecting its critical role in global energy transitions.
On December 16, Ahead of the Herd discussed geopolitical tensions that have prompted a renewed focus on domestic mineral production. Bipartisan efforts in the United States under both the Trump and Biden administrations allocated billions of dollars to bolster critical minerals supply chains, aiming to reduce dependency on nations like China. Michael Goehring of the Mining Association of British Columbia stated that Canada and the United States could establish secure and reliable supply chains. He emphasized that British Columbia’s critical minerals output, including zinc, lead, and aluminum, could “make a meaningful contribution to North America’s future.”
As covered by Midas Touch Consulting on December 16, silver has demonstrated remarkable resilience amid market volatility. The metal was trading around the US$30 mark for much of 2024. The report highlighted silver’s 31.75% annual gain in USD terms and emphasized its dual role as an industrial and investment metal. Key technical levels, such as support at US$29.68, are seen as “pivotal for silver’s ongoing uptrend,” while a bullish wedge pattern points to a potential breakout in 2025. Furthermore, silver’s role in green technologies and increasing industrial demand create a favorable supply-demand dynamic. Midas Touch Consulting maintains a bold price target of approximately US$50 by late spring 2025, driven by anticipated shifts in monetary policy and projected supply constraints.
According to Stockhead on December 20, gold’s position as a hedge against economic uncertainty remains solid, even as prices dipped below US$2,600 per ounce following the U.S. Federal Reserve’s recent policy meeting. While the Fed reduced its projected rate cuts for 2025, dampening short-term optimism, analysts continue to highlight gold’s long-term appeal. Gavin Wendt, founder of MineLife, stated that “gold remains the standout commodity for 2025, as the factors that have driven it to record highs in 2024 remain prevalent.” He also emphasized gold’s strong 92% correlation with rising U.S. sovereign debt, which has surpassed US$36 trillion. This alignment, combined with increased investment demand, particularly in China, positions gold as a compelling choice for investors.
The Forces Driving Emerita
Emerita believes that the IBW Project is poised for growth, with several milestones that could drive investor interest, as outlined in the company’s investor presentation. The ongoing Phase 2 metallurgical testing program continues to refine recovery processes, with additional results expected in early 2025. These advancements, combined with the integration of environmentally friendly technologies like CLEVR™, position the IBW Project as a model for modern, sustainable mining practices.
The company is preparing an updated MRE, which will incorporate recent drilling results and the outcomes of the metallurgical program. This update, expected in Q1 2025, includes data from the El Cura deposit for the first time, potentially increasing the project’s resource base and economic viability. [OWNERSHIP_CHART-10036]
Emerita’s designation of IBW as a project of “Strategic Interest” by the Andalusian government adds another layer of potential. This designation expedites permitting processes and reinforces government support for the project. With plans to finalize engineering studies and progress toward a preliminary economic assessment, Emerita feels it is well-positioned to transition the IBW Project from exploration to development.
The company’s financial health, bolstered by a US$15 million financing agreement with Nebari Resources, ensures that it has the capital to sustain exploration and development activities. As Emerita continues to demonstrate technical and operational milestones, the IBW Project could become a cornerstone in the Iberian Pyrite Belt, known for its rich polymetallic deposits.
Ownership and Share Structure
According to Reuters, Michael Lawrence Guy owns 1.53% of the company, David Patrick Gower owns 1.37%, Joaquin Merino-Marquez owns 1.10%, Catherine Stretch owns 0.74%, and Marilia Bento owns 0.5%.
Reuters reported that institutions own 1.18% of the company, including Merk Investments LLC, with 1.10%.
According to Refinitiv, there are 249.66 million shares outstanding with 234.92 million free float traded shares, while the company has a market cap of CA$289.48 million and trades in a 52-week range of CA$0.38 and CA$1.43.
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- James Guttman wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee.
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( Companies Mentioned: EMO:TSX.V; EMOTF:OTCQB; LLJA:FSE,
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