• Tech stocks lead losses
  • Culpeo Minerals in huge copper strike
  •  Small cap index ends more than 1% lower

 

Down from the first bell, all the constituents on the ASX Emerging Companies (XEC) Index would probably like to have been Culpeo Minerals (ASX:CPO) on Monday. The Chile-based copper explorer is up about 160% after hitting about 173m of copper mineralisation at Lana Corina.

As it stands, the small cap index is 1.6% lower while ASX200 (XJO) has ended the session about 0.3% lower, dragged down by industrial, comms and tech stocks – which took an inevitable hit after the 2.5% whack the Nasdaq took in its last session.

The All Ords Gold sector (XGD) slumped on Monday, down 1.4% at the close.

Trade was light ahead of tomorrow’s anticipated Reserve Bank meet, where economists appear to have banked on a lift of between 25 to 40 basis points.

Commonwealth Bank’s senior economist Kristina Clifton says the market has priced in an increase of 28 basis points.

CommSec, meanwhile, anticipates more pain at the petrol pump for motorists, suggesting prices could hit $2.25 a litre nationally within the next week. They’re paying that in Adelaide even now.

Around the region, Hong Kong’s Hang Seng index climbed 1.5% while Shanghai, Shenzhen and Tokyo all lifted between 0.5% and 1%.

Finally, Caixin’s reading of China’s services PMI (purchasing managers index) suggests that activity contracted more than expected in May, while spending figures over the Dragon festival long weekend also suggests the world’s second largest economy will need time tom recover from it’s zero-COVID restrictions.

 

TODAY’S BIGGEST SMALL CAP WINNERS

(Stocks highlighted in yellow rose after making announcements during the trading day).

Scroll or swipe to reveal table. Click headings to sort.

Reuben is watching the copper showstoppers on Monday.

He notes, as many have on Monday, the South American-focused Culpeo Minerals (ASX:CPO) is up like a trooper after hitting 173m grading 1.05% copper from 313m depth in drilling at the ‘Lana Corina’ project in Chile.

The drilling also intersected a broad zone of high-grade molybdenum mineralisation — 85m @ 1,367ppm Mo and 0.07% Cu from 486m — which “highlights the presence of a deeper mineralised source of the base metal system … and provides new targets for exploration”, CPO says.

The stock listed on the ASX September 10 with a couple of porphyry projects in Chile — ‘Las Petacas’ and ‘Quelon’ — and only entered into an agreement to acquire 80% of Lana Corina in March.

CPO exploded out of the blocks later that month after hitting the copper motherlode in its very first drillhole at the historical project.

Assay results have now been reported for three holes, all of which have returned significant copper grades over wide intervals.

The $13m market cap stock is up 91% in 2022. It had $3.3m in the bank at the end of March.

 

TODAY’S BIGGEST SMALL CAP LOSERS

(Stocks highlighted in yellow fell after making announcements during the trading day).

Scroll or swipe to reveal table. Click headings to sort.

Code Company Last % Volume
GLV Global Oil & Gas 0.005 -76% 304,910,057
PRM Prominence Energy 0.002 -75% 210,737,836
DTI DTI Group Ltd 0.014 -30% 39,448
ARE Argonaut Resources 0.003 -25% 1,021,147
BAT Battery Minerals Ltd 0.006 -25% 50,107,562
IMR Imricor Med Sys 0.24 -20% 329,391
RR1 Reach Resources Ltd 0.004 -20% 6,850,000
IPT Impact Minerals 0.009 -18% 36,689,939
DBO Diabloresources 0.055 -18% 378,615
CG1 Carbonxt Group 0.2 -18% 74,766
CIO Connected Io Ltd 0.033 -18% 40,000
IVZ Invictus Energy Ltd 0.175 -17% 12,049,341
CFO Cfoam Limited 0.005 -17% 1,230,000
HSC HSC Technology Group 0.01 -17% 3,392,815
KEY KEY Petroleum 0.0025 -17% 126,534
B4P Beforepay Group 0.405 -16% 116,686
ROC Rocketboots 0.082 -15% 155,798
BME Blackmountainenergy 0.11 -15% 1,275,828
KFE Kogi Iron Ltd 0.0055 -15% 994,804
DAF Discovery Alaska Ltd 0.051 -15% 885,587
LPM Lithium Plus 0.405 -15% 364,762
AMA AMA Group Limited 0.15 -14% 3,589,052
AJQ Armour Energy Ltd 0.006 -14% 3,451,943
OAR OAR Resources Ltd 0.006 -14% 2,464,733
TTT Titomic Limited 0.19 -14% 351,974

On a day where the energy sector is up almost 2% as a whole, spare a thought for Global Oil and Gas (ASX:GLV) and its JV buddy Prominence Energy (ASX:PRM) after sharing what’s an understated disappointment for the long-prospective Sasanof-1 well in West Aussie’s North West Shelf. In a joint statement the companies said they drilled for almost 3kms and failed to trouble a single hydrocarbon.

There was a bit of thanks to all involved, before the fairly final news that Sasanof-1 will be plugged and permanently abandoned.

 

ANNOUNCEMENTS YOU MAY’VE MISSED

Regal Partners – formerly doing the rounds as VGI Partners  says it’s completed its merger with Regal Funds Management in accordance with the terms of the Merger Implementation thingy given to the ASX from back at the end of March. So the new company will soon be operating under the ASX ticker code RPL from VGI and has now officially acquired all of the shares in Regal in consideration for the issue of 141,008,460 new fully paid ordinary shares.

Reports of an old school power struggle for control of 1414 Degrees (ASX:14D) are doing the rounds, with major shareholder and former managing director Dr Kevin Moriarty reportedly attempting to roll the board for a second time.

The energy tech firm only lost its second CEO  in barely 22 months, with the short-lived former boss Matthew Squire resigning in May after barely six months in the job. There’s no shortage of interest in filling the vacuum, shares have retreated about 2.4% in late  trade.

 

TRADING HALTS

Way2Vat (ASX:W2V) – pending the expected release of an announcement relating to a proposed material equity capital raise

Cannon Resources Limited (ASX:CNR) –  pending an announcement regarding exploration results