Ecora Resources PLC (LSE:ECOR, TSX:ECOR, OTCQX:ECRAF) results this year might come in ahead of forecasts after an update from the owners of its Kestrel royalty in Australia, according to analysts at Panmure Liberum.
The royalty group indicated that Kestrel’s result would be first-half loaded, with income of US$40.8 million compared to Panmure’s full-year estimate of US$36 million.
Output in Ecora's royalty area is 2mt coal at the upper end of annual guidance where Panmure Liberum had estimated 1.9mt mined in the company’s area for the whole of 2024.
Based on the mine plan, there might be minimal income from Kestrel in the second half but with the first half 14% higher than the full-year estimate, “we believe we are still looking at upgrades to both our estimates and consensus for 2024E”.
‘Buy’ with a target price of 157p is its investment view.