Accumulate Sandfire, says Hartleys

Hartleys has maintained its accumulate recommendation for Sandfire Resources
10th May 2019
Resources Rising Stars

Hartleys has maintained its accumulate recommendation for Sandfire Resources but cut its 12-month price target to $7.36 from $8.17 after another good quarter by the copper miner (reports The West Australian).

Sandfire’s biggest challenge is the depletion of its flagship DeGrussa mine, near Meekatharra, which needs a new discovery to extend its life past 2022.

Hartleys noted the recent release of a draft environmental impact statement for Sandfire’s 86 per cent-owned Black Butte copper project in Montana.

“We have been modelling commencement of operations at Black Butte from early 2021,” it said. “The project . . . has been closely scrutinised on account of its potential environmental impact.

“We don’t see anything untoward with Black Butte from an environmental standpoint and note Montana’s strict environmental standards.”

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