Equities analysts have responded positively to Ariana Resources PLC (AIM:AAU)’s Turkey-based partnership signing of a US$20 million credit facility to support operations at the Kiziltepe gold-silver mine and the Tavsan mine construction programme.
“The favourable terms of the loan, in our opinion, underlines the benefits of Ariana’s partnerships and the quality of its Turkish assets,” WH Ireland analysts said of the deal.
WH Ireland analysts have a fair-value price target of 5.5p on the stock against a 2.84p publication price.
Liberum, meanwhile, highlighted the broader jurisdictional benefits of the loan: “‘Strong’ banking relationships bode well for future pipeline development not only in Turkey but potentially also in Zimbabwe (where Ariana is acquiring Rockover Holdings, which is developing the feasibility-stage Dokwe gold project).”