“With a market capitalisation of ~$8.1m (EV of ~$6.4m), we believe Ram presents an attractive risk-reward investment proposition, with moderate down-side risk but with significant upside on exploration success,” Millikan says.
Interesting!
http://resourcesrisingstars.com.au/infopage/4961
"Perth broker Hartleys has highlighted the substantial upside for investors in Ram Resources (ASX: RMR), the junior explorer with a huge land holding immediately next door to Sirius Resources (ASX: SIR).
In a glowing research note just released, Hartley’s analyst Mike Millikan recommends investors buy Ram for exposure to what is “one of the hottest exploration destinations in Australia”.
“With a market capitalisation of ~$8.1m (EV of ~$6.4m), we believe Ram presents an attractive risk-reward investment proposition, with moderate down-side risk but with significant upside on exploration success,” Millikan says.
“Ram has highly prospective ground, drill-ready targets and the technical capability that could translate into discovery success.”
Ram is exploring for highly valuable nickel sulphides such as those found by Sirius at its spectacular Nova and Bollinger discoveries.
The company holds 850sqkm in the WA’s Fraser Range, with some of its targets just 20km from Nova and others within 2km of Sirius’ hot Crux and Centauri prospects.
“Ram’s Fraser Range projects contain some of the key indicators (intrusive bodies, mafic rocks, geochemical anomalies) for the potential occurrence of nickel-copper magmatic sulphide mineralisation,” Millikan says in his report.
“The Company recently commenced with an aircore drilling program over six high-priority targets within the Fraser Range Project. The program is aimed at further refining the targets, prior to drill-testing the conductors with RC/diamond drilling.
“Results are expected in the coming weeks. Geophysical surveys and sampling programs are also underway at the northern and southern project areas.”
Millikan notes that of the six high-priority EM targets just drilled, four have coincident geo-chemical anomalies. The results of this shallow drilling will be used to better position the follow-up reverse circulation holes.
“On current timing, RC drilling should commence in mid-September Quarter 2014,” Millikan says.
At Ram’s Fraser Range South Project, an extensive soil geo-chemistry program is underway targeting ground along strike of, and around, Sirius’ Crux and Centauri prospects.
These highly promising Sirius targets are just a few kilometres from Ram’s ground."
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