Lunchtime ASX small cap wrap: who’s got perfect timing today
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Here are the key ASX small cap winners and losers at lunch Wednesday December 5:
The ASX Small Ords fell 47 points — or 1.82 per cent — to 2,557.90 at 12:00pm AEST.
Cobalt-free lithium battery maker Ultracharge (ASX:UTR) will deliver 16,000 batteries over three years to Israeli scooter company Roadix.
Even though Ultracharge did not put a figure on this contract, investors bought in: the stock shot up 88 per cent to an intraday high of 1.5c.
The is Ultracharge’s second purchase order ever; in May this year, another Israeli scooter company called Blitz signed a deal for 28,000 batteries over three years, in which they committed to a minimum spend of $4 million in the first year.
Other winners include cobalt explorer Corazon Mining (ASX:CZN), up 20 per cent to 0.6c, and Acacia Coal (ASX:AJC), which is up 100 per cent to 0.2c on no news.
Acacia is getting out of the black stuff and buying two nickel, copper and cobalt exploration projects in Western Australia, so no doubt it will be looking to change its name sometime soon too.
Drilling at Sipa Resources’ project in the Paterson province of Western Australia has discovered a new style of mineralisation for the area – but hit no significant copper or gold.
Investors weren’t happy, with Sipa’s (ASX:SRI) share price falling 30 per cent to 0.8c on the news.
Rumours of a massive copper discovery by Rio Tinto (ASX:RIO) have put a spotlight on small cap explorers with projects in the region.
And robot home builder Fastbrick has lost its much-hyped Caterpillar partnership, sending the stock down 24 per cent to 12.5c on Wednesday morning.
The agreement was signed in July last year to see if Fastbrick’s (ASX:FBR) robotic bricklaying technology could work for the machinery giant’s construction customers.