Optimo Research Ltd. has issued a research report on Nicola Mining Inc. (NASDAQ: NICM) (TSXV: NIM) (FSE: HLIA), assigning a C$2.93 per-share price target based on a sum-of-the-parts valuation of approximately C$766 million. The Sept. 21, 2026, report, authored by analyst Dr. Michael Green, examines the company's strategy of consolidating high-grade gold and silver projects through its wholly owned Merritt Mill and its exploration potential at the New Craigmont Copper Project. The report matters because it provides investors with an independent, albeit paid, assessment of Nicola's dual strategy of near-term cash flow from milling and long-term growth from resource development.
The Merritt Mill is central to Optimo's valuation, receiving a C$250 million standalone value. The facility processes third-party gold and silver ore from across British Columbia and is being expanded from 200 to 500 tonnes per day. This expansion supports Nicola's strategy of acquiring and developing smaller mineral projects, turning the mill into a hub for regional ore processing. Optimo also identifies potential revenue from milling and profit-sharing arrangements with Blue Lagoon Resources and Red Eye Resources, which could provide additional mill feed and cash flow.
Optimo projects revenue of C$17 million in 2026 and C$109 million in 2027, with net profit forecasts of C$1.4 million and C$58 million, respectively. These projections hinge on the ramp-up of precious metals operations. At Dominion Creek, where mining began in 2026, Nicola holds a 75% economic interest in the initial 10,000-tonne bulk sample, followed by full ownership. At Treasure Mountain, Optimo highlights plans to resume silver extraction from existing underground workings, with an initial target of approximately 400,000 ounces in 2027. The report assigns approximately C$357 million to precious metals mining and milling operations.
The New Craigmont Copper Project is valued at C$125 million, reflecting exploration results at the Jotun target, where drilling identified geological characteristics consistent with a potentially larger porphyry copper system. The report also discusses exploration at the Draken target and the use of geophysical surveys to identify additional drilling opportunities. Nicola owns 100% of New Craigmont, which covers more than 10,800 hectares along the southern margin of the Guichon Batholith, adjacent to Highland Valley Copper, Canada's largest copper mine.
The report constitutes paid, non-independent research. Nicola Mining is a client of Optimo Research and paid for the report's production. Optimo states that its price target represents an estimated valuation rather than a recommendation to buy or sell shares, and its financial projections are subject to geological, operational, commodity price and execution risks. The latest news and updates relating to HUSIF are available in the company's newsroom at https://ibn.fm/HUSIF.
For investors, the report provides a detailed framework for valuing Nicola's assets and highlights the company's transition from a mill operator to a diversified precious metals and copper producer. The expansion of the Merritt Mill and the restart of silver production at Treasure Mountain are critical milestones that could drive the projected revenue growth. However, the execution risks and the paid nature of the research warrant cautious consideration. The full report is available through the Sept. 21, 2026, research report by Optimo Research Ltd.
