CIBC World Markets Inc. raised its price target on Belo Sun Mining
Corp. (TSXV:BSX.V) to $3.00 from $2.60, following the company's
resource update.
Jeff Killeen, an analyst at CIBC, maintains a "Sector Outperformer"
rating and increased his target to reflect NAV increase based on
increased tonnes and grade. He expects continued resource growth in 2012
with a Q2 revision planned. The global resource is expected to exceed
4M oz in Q2, he said.
The Canadian development-stage mineral exploration company announced a
revised resource estimate for the Volta Grande project on Monday. The
total resource has grown by 11% to 3.8M oz and overall grade increased
31% to 1.7 g/t. Ounces in measured and indicated categories increased by
70%.
Killeen views that continued resource growth and drilling results
will be significant catalysts to help the stock to outperform peers in
2012.
Shares of Belo Sun Mining, formerly Verena Minerals Corp., fell 1.8 percent to $1.07.
