Stifel Canada on Tuesday reiterated its buy rating on the shares of Omai Gold Mines (OMG.V) and its C$2.00 price target following exploration results from the company.
"Omai Gold Mines released drill results this morning with highlight hole 25ODD-142 cutting 11.07g/t Au over 14.7m at Wenot East, outside of the current MRE pitshell. We highlight two main takeaways from today's results, where i) drilling from the south of the shear zone is successfully intercepting mineralization in the 'barren' sediments, potentially putting downward pressure on the stripping ratio on the 1H26 PEA and ii) a high grade, wide, intersection outside of the current 2025 MRE wireframe, directly along the QFP/volcaniclastic contact indicates upward pressure on the ounce count ahead of the 2026 MRE, alongside a properly working, predictive geological model. While ounces are important, economic ounces drive cash flow and we think OMG's current drill program, which has seen 30 holes drilled post August resource update, have the ability to increase ounce count and economics of the Omai project ahead of a catalyst rich 1H26," analyst Cole McGill wrote.
(MT Newswires covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www.mtnewswires.com/contact-us)
Price: 1.26, Change: +0.01, Percent Change: +1.21
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