Last checked at 
(Sharecast News) - Berenberg upgraded Rio Tinto and Centamin on Friday as it took a look at the metals and mining sector.
The bank lifted Rio to 'buy' from 'hold' and upped the price target to 5,500p from 5,000p. "After a 25% relative underperformance versus BHP in 2021, we think that i) higher iron ore prices than consensus, ii) the benefit of index inflows following BHP's exit from the FTSE 100, iii) net-underweight Chile, and iv) still-strong shareholder returns will lead the stock to outperform," it said
Berenberg also upped Centamin to 'buy' from 'hold' and increased the price target to 112p from 104p.
The bank said it was changing its rating after the pullback in the shares following the recent capital markets day, as it believes the gold miner is well positioned to meet new guidance, with upside potential from the Egyptian exploration portfolio.
"We remain more cautious on the company's West African assets," it said, adding that Centamin retains a solid balance sheet and should produce 450koz-500koz over the longer term from Sukari.
20 Jul 2023 14:07
IN BRIEF: Centamin agrees mining rule framework with Egyptian ministry
Centamin PLC - London-based gold producer with interests in Egypt, Burkina Faso and the Ivory Coast - Says it has in principle agreed the framework for a model mining exploitation agreement with the Egyptian Ministry of Petroleum & Natural Resources & Mineral Resources Authority. MMEA sets out the fiscal and regulatory terms for the exploitation phase of new mining projects and will apply to commercial discoveries made on the EDX blocks in Egypt's Eastern Desert, which were awarded to Centamin in 2021 for exploration. Centamin says the MMEA will be ratified as a "Special Law" by the Egyptian government in late 2023.
Read more