IPO Wrap: Investing in a battery metals IPO is the closest you’ll get to a sure thing right now
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Listing on the ASX in 2022 has been disappointing unless you’re a battery metals stock (which includes the savvy nickel and copper cum ‘energy metals’ explorers).
Seven stocks have listed so far in January.
Of those, the winners have been explorers NICO Resources (ASX:NC1) (nickel, cobalt), Greentech Metals (ASX:GRE) (nickel, copper) and ChemX Materials (ASX:CMX) (high purity alumina, kaolin, halloysite, manganese).
CMX is also developing its upstream HiPurA HPA processing tech.
These stocks are up 85%, 100% and 20% respectively on their listing prices.
In B4P’s case, the crash could signal growing wariness towards an overcrowded BNPL segment fraught with huge near-term challenges.
But back to the battery metals. A fever has gripped the ASX as punters look for the next big winner in the emerging EV raw materials/ critical minerals space.
Who is listing in the next month or so, and are they worth a punt?
Looking for: Nickel, copper, PGEs, cobalt, gold
Listing: 27 January
Not to be confused with December listing Cosmos Exploration (ASX:CX1) which is also a nickel-copper-PGE explorer in WA.
CMO is a Great Boulder Resources (ASX:GBR) spinoff raising $5m to $7m at 20c per share to tackle the multi-commodity ‘Yamarna’ project.
Yamarna already includes a couple of copper-nickel-cobalt discoveries at ‘Mt Venn’ and ‘Eastern Mafic’, with mineralisation at Mt Venn extending over 1.5km “and offering near-term resource definition potential”.
There are also known gold, chromite, vanadium, and uranium occurrences to test, CMO says.
The team includes Ziggy Lubieniecki, who is credited with the discovery of the neighbouring +6Moz Gruyere gold deposit.
Looking for: Nickel, copper, PGEs, gold
Listing: 1 February
The spinout of private project generator Tali Resources is raising between $4.5 and $6m at 20c per share.
WA1 will list with 3 WA exploration projects — the flagship ‘West Arunta’ plus ‘Madura’ (IOCG) and ‘Hidden Valley’ (nickel, copper, PGEs).
Iron oxide copper gold ore deposits (IOCG) — like BHP’s Olympic Dam mine or more recent Oak Dam discovery — can be tremendously large, and simple-to-process concentrations of copper, gold and other elements like uranium.
Hidden Valley contains a number of potential intrusive bodies considered prospective for mafic-ultramafic intrusion-hosted Ni-Cu-PGE sulphides, à la Chalice Mining’s (ASX:CHN) Julimar.