Enterprise Metals to Benefit from Talisman Discovery

Enterprise Metals may be an attractive second derivative investment after today’s Sandfire Resources/Talisman Mining exploration report from their Monty prospect 10km east of the Degrussa mine. The texture of the mineralised interval and the package of host altered sedimentary rocks making up the Monty target show strong similarities to ore at the Degrussa mine and appear to be consistent with a common depositional history. The Monty target occurs between splays of the northeast trending Goodwin Fault which extends south of the Sandfire and Talisman tenements into those of Enterprise Metals. Enterprise has highlighted that its Vulcan base metal and gold prospect sampled in 2013 sits in the same structural setting as Monty. The company holds a 100% interest in the prospect and has a track record of cost effective exploration outcomes. While the Enterprise market value has doubled in trade today, its starting point of just $6 million suggests greater eventual leverage to a confirmed discovery than for Talisman ($60 million) or Sandfire ($929 million).