Rox Resources Could 'Truly' be Acquisition Target, Says Euroz Hartleys

Rox Resources (ASX:RXL) has underground assets which can deliver 100,000 yearly ounces on granted mining permits in Western Australia, which are set to be built by 2027, making it "truly" a target for acquisition, said Euroz Hatleys in a Thursday note.

The company on Wednesday said metallurgical test work conducted on samples from the Youanmi gold project in Western Australia revealed high recovery of 91.6% gold and 98.3% sulphur to concentrate.

A lower mass pull of 9% compared to the pre-feasibility study assumption of 13% indicates reduced capital and operating costs, the research firm noted.

Euroz Hartleys has maintained Rox Resources' speculative buy rating with a raised price target of AU$0.47 from AU$0.40.