Roth Capital Partners has repeated a 'Buy' rating on New Pacific Metals (TSX:NUAG, NYSE:NEWP) Corp following news the company had kicked off a 38,000 metres (m) diamond drill program at its flagship Silver Sand project in Bolivia.
"80% of the drill program is focused on resource expansion, while the remainder is focused on infill drilling. We view this as a positive development for the company as a lack of drilling in recent quarters had reduced the potential for positive catalysts," said the broker's analysts.
READ: New Pacific Metals kicks off 38,000-metre diamond drill program at its flagship Silver Sand project in Bolivia
"Additionally, the company is working on a PEA for the project, and we believe the release of the PEA is likely to be a catalyst for the company," they added.
Roth also noted that since it last wrote about the company, it had begun trading on the NYSE American under the symbol 'NEWP'.
"As a result, we are converting our coverage from the company's Canadian ticker to the new U.S. symbol," it said.
This has resulted in the price target being converted to US$5.25 from C$6.50 previously, said the broker, adding that this technically represented a small increase in the price target, but noted this was only "due to rounding".
Explorer New Pacific is focused on precious metal projects, including its flagship Silver Sand project, the Silverstrike project and the Carangas project, all of which are in Bolivia.
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