UPDATE: BMO Capital Markets Reiterates Market Perform, $18.50 PT on Silver Standard Resources
BMO Capital Markets remains rated Market Perform with a price target of $18.50 on Silver Standard Resources (NASDAQ: SSRI) as the company announces long-term smelter contracts for ~60 percent of Pirquitas silver concentrate.
BMO Capital Markets comments, "SSRI reported that it has entered into two new long-term contracts with smelters to sell 60% of the silver concentrate produced from its Pirquitas mine in Argentina. Combined, the two contracts total 700 tonnes of silver concentrate per month. ...Although the contract terms were not released, the establishment of long-term contracts for the silver concentrate should provide a degree of earnings stability for Pirquitas over the remainder of the year. BMO Research expects that multi-year contracts will be forthcoming, now that preliminary contracts have been established with new smelters."
SSRI closed at $14.94 a share on Friday.
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Tags: BMO Capital Markets