With the U.S. Forest Service's authorization of the mine plan for this "highly strategic asset," the federal permitting process for the project could be done by year-end, noted a Cantor Fitzgerald report.
Perpetua Resources Corp.'s (PPTA:TSX; PPTA:NASDAQ) 2021 Modified Mine Plan for its Stibnite gold-antimony project in Idaho was approved by the U.S. Forest Service (USFS), reported Cantor Fitzgerald analyst Mike Kozak in a September 5 research note. The USFS completed the final environmental impact statement and will be issuing a draft record of decision (DROD) on the project.
"Note the Stibnite gold-antimony project's positive DROD comes nine days before China's antimony export controls are expected to come into effect," Kozak wrote, referring to September 15.
Kozak reiterated Cantor's US$13.75 per share target price on the U.S.-based explorer-developer. This one-year target reflects a potential return for investors of 70%, given the share price at the time of the report of about US$8.09 per share.
Perpetua remains a Speculative Buy.
Getting Stibnite authorized by the USFS, Kozak highlighted, was a "critical derisking milestone achieved" for Perpetua and the project.
Extensive work has led up to this point, including 14 years of scientific study and community engagement, eight years of federal permitting under the National Environmental Policy Act and 150 days of formal public comment periods. During the latter, about 28,000 letters were received and their content addressed.
After the USFS publishes the DROD in the Federal Register on September 6, there will be a 45-day objection period followed by a 45-day resolution period, Kozak reported.
Then the final record of decision would be published, completing the federal permitting process, and this is expected in Q4/24.
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Perpetua Resources Corp. is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$4,000 and US$5,000. Doresa Banning wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company.For additional disclosures, please click here.
Disclosures for Cantor Fitzgerald, Perpetua Resources Corp., September 5, 2024
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Potential conflicts of interest The author of this report is compensated based in part on the overall revenues of Cantor, a portion of which are generated by investment banking activities. Cantor may have had, or seek to have, an investment banking relationship with companies mentioned in this report. Cantor and/or its officers, directors and employees may from time to time acquire, hold or sell securities mentioned herein as principal or agent. Although Cantor makes every effort possible to avoid conflicts of interest, readers should assume that a conflict might exist, and therefore not rely solely on this report when evaluating whether or not to buy or sell the securities of subject companies.
Disclosures as of September 5, 2024 Cantor has provided investment banking services or received investment banking related compensation from Perpetua Resources Corp. within the past 12 months. The analysts responsible for this research report do not have, either directly or indirectly, a long or short position in the shares or options of Perpetua Resources Corp. The analyst responsible for this report has not visited the material operations of Perpetua Resources Corp. No payment or reimbursement was received for related travel costs.
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