The Chalice Mining Ltd (ASX: CHN) share price was a strong performer on Thursday.
The mineral exploration company's shares stormed almost 7% higher to end the day at $4.00.
The catalyst for this was the release of positive drilling results from the Dampier target.
Can the Chalice Mining share price keep rising?
The good news for investors is that one leading broker believes the Chalice Mining share price can keep rising… and rising.
According to a note out of Bell Potter, its analysts have retained their speculative buy rating and $11.10 price target on the company's shares.
Based on the current Chalice Mining share price, this implies potential upside of 178% over the next 12 months.
What did the broker say?
Bell Potter was very pleased with the drilling results from the Dampier target. It highlights that these results are similar to the enormous Gonneville deposit and paint a very positive picture of its Julimar project. The broker said:
These results are a very exciting development for CHN and are the strongest indication yet of further mineralisation at Julimar and for potential repeats of the Gonneville deposit. The mineralisation style is almost identical to Gonneville and the drilling has provided additional information that has enabled CHN to prioritise multiple targets.
The step-out (~10km) from the Gonneville deposit and the continuity of ~350m strike and over ~250m dip for the initial three holes is highly encouraging for the prospectivity of the entire Julimar Complex.
All in all, the broker believes this update as a big positive and continues to see significant value in its shares. Bell Potter concludes:
With this latest update, we see the likelihood of further positive catalysts emerging on exploration success. Our valuation remains unchanged at $11.10/sh and we retain our Speculative Buy recommendation.
