Haywood Raises Nevada Copper Price Target After Debt Extension

On October 12th, Nevada Copper Corp. (TSX: NCU) announced that it has entered into an agreement with senior project lenders and a non-binding term sheet to raise capital as well as a deferral and extension of its debt facilities. The company entered into a non-binding term sheet with their largest shareholder to consolidate outstanding shareholder loan promissory notes and increased the credit facility by US$41 million.

Nevada Copper currently only has 3 analysts covering the stock with an average 12-month price target of C$1.75, or a 51% upside. Out of the 3 analysts, 1 has a buy rating and the other 2 have hold ratings. The street high sits at C$2.50 from Paradigm Capital while the lowest comes in at C$1.25.

Haywood Capital Markets raised their 12-month price target to C$1.25 from C$1 and reiterated their hold rating after the news, saying “the debt extensions and added liquidity should provide NCU with sufficient flexibility to achieve its production goals.” This comes less than a week after the firm dropped its price target on the company from $2.00 to $1.00 following production results.

Haywood says that between the agreement with KfW IPEX bank and additional financing, a deferral, and extension of its debt facilities will be able to help the company ramp up its underground mine at Pumpkin Hollow and will let them advance their plans for open pit development.

Additionally, Haywood spoke with the newly appointed CEO recently and had some commentary on the event. As per Haywood, the priorities go as follows: improving the availability of mine equipment, completing the commissioning of the paste plant, and getting utilities to face in order advance mining and open up more mining fronts.


Information for this briefing was found via Sedar and Refinitiv. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

When 4% of Global Copper Disappears Overnight | David Gower – Emerita Resources

Mining M&A: Gold X2 Acquires Kesselrun Resources

They Said Oil Was Dead. They Were Wrong. | Michael Judson – Record Resources

Recommended

Military Seizes Power in Madagascar After President Flees

Altamira Gold Hits 395.5 Metres Of 0.4 g/t Gold At Maria Bonita

Related News

Curaleaf: Consensus Estimate Falls To $20.18 After Weak Guidance

On March 3rd, Curaleaf Holdings, Inc. (CSE: CURA) reported its fourth quarter and full year...

Friday, March 11, 2022, 04:20:00 PM

BMO Launches Coverage On Beyond Meat With $68 Price Target

Beyond Meat (NASDAQ: BYND) gained its 21st analyst coverage at the beginning of February. BMO...

Saturday, February 5, 2022, 01:11:00 PM

Well Health: Canaccord Reiterates Ratings Following Recent Acquisition

Last week WELL Health Technologies (TSX: WELL) announced their latest acquisition, a majority stake in...

Friday, September 10, 2021, 03:29:00 PM

Max Resource Acquires Mining Concession Contract At Cesar

Max Resource Corp (TSXV: MXR) is now one step closer to drilling out its flagship...

Wednesday, November 17, 2021, 07:34:58 AM

BMO Expects K92 Mining To Miss 2021 Production Guidance

On October 18th, K92 Mining Inc. (TSX: KNT) reported their third quarter production results. The...

Thursday, October 21, 2021, 11:49:00 AM