The Chalice Mining Ltd (ASX: CHN) share price has been a strong performer on Thursday.
In afternoon trade, the mineral exploration company's shares are up over 7% to $3.95.
This means the Chalice Mining share price is now up approximately 11% over the last two trading sessions.
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What's going on with the Chalice Mining share price?
There appear to be a couple of catalysts for the strong gain by the Chalice Mining share price today.
The first is a rebound in the resources sector. For example, at the time of writing, the S&P/ASX 200 Resources index is up a sizeable 2.2%.
This compares favourably to the benchmark ASX 200 index and its 0.5% gain.
What else?
Also potentially boosting the Chalice Mining share price is a broker note out of Bell Potter from earlier this week.
In response to recent drilling updates, the broker has retained its speculative buy rating and lofty $11.73 price target. This is almost triple where the company's shares currently trade.
Bell Potter commented:
This is another positive update from CHN, with the latest Resource showing growth and improvement on all metrics: tonnes, grade and quality. It is also in-line with our expectations, with the main focus being the lift in the quality of the Resource. This is, in our view, a top priority and will support ongoing mining studies.
The high grade Resource provides project development optionality, flexibility to maximise project cash flows and is supportive of potential underground operations. The update has delivered all the key features we were expecting and is a key project development milestone.
