Resources Top 4: Siren sounds Reefton sell off and only ONE big niobium gain today

Siren sells off Reefton for $20m to focus on Sam’s Creek
A Namibian niobium explorer lab tests samples and whips up 5.5% Nb2O5
MinRes pays Dynamic $4m to kick off Widgiemooltha farm-in deal

Here are the biggest small cap resources winners in morning trade, Monday, July 15. Prices accurate at time of writing.

Siren Gold (ASX:SNG)

SNG has just offloaded its Reefton gold project for a cool $20m to Canadian miner RUA Gold so the latter can consolidate the Reefton Goldfield on New Zealand’s South Island.

RUA already owns 100% of three permits in the Reefton Goldfield covering over 342km2, which includes many high-grade orogenic and epithermal targets, with historical production grades of 16-60g/t gold.

The transaction will create the largest tenement package on the high-grade Reefton Goldfield across 1242km2 and give SNG a 30.2% share in RUA, giving it a sizeable exposure to the project and RUA’s high-grade Glamorgan project in NZ’s North Island.

As part of the deal, RUA will give the ASX explorer $18m-worth of shares in the company and a $2m cash payment, which SNG will use to focus on its Sam’s Creek project, which contains an 824,000oz gold resource.

“Siren’s vision for the Reefton region has been to create a significant high-grade gold producer with a central processing facility fed by numerous underground mines,” SNG MD Victor Rajasooriar says.

“This transaction is a significant step in realising this vision and a great outcome for Siren shareholders.

“Siren can focus on the multi-million-ounce potential at Sams Creek while RUA can continue to explore the consolidated Reefton project.”

Shares are up over 11.84% in early trade, swapping at 8.5c.

Aldoro Resources (ASX:ARN)

It wouldn’t be a Resources Top 5 lately without a not-so-token niobium hunter to make the list.

That’s because niobium is currently king of the critical minerals jungle in the exploration space, mainly thanks to intrinsic demand for new tech and WA1 Resources (ASX:WA1) proving up one of the biggest deposits of the element seen outside Brazil.

READ MORE: for Stockhead’s latest hot take on the commodity’s bull run: Niobium’s rise in West Arunta sparks ASX juniors into global hunt.

Insert ARN, which has released results of recent metallurgical test work by Bureau Veritas Minerals which achieved a successful open cycle niobium recovery level of 62.4% from a sample taken from its Kameelburg niobium-REE project in Namibia.

If this stock wasn’t on your niobium radar, but a 54% bump in stock price this morning could make you sit up and take notice.

The metallurgical wizardry ARN consigned for Kameelberg has taken a ferrocolumbite-based 0.78% Nb2O5 head feed sample up to 5.5% during testing.

The explorer says the results have boosted its confidence ahead of maiden drilling that’s targeting rich niobium dykes across the tenure.

Prep for a diamond drill rig and relevant personnel are advancing, with the initial drill program targeted to commence at the end of Q3, subject to regulatory approvals.

Shares went galactic on the news, up 54.9% to be this morning’s biggest riser and is trading at 11c.

Dynamic Metals (ASX:DYM)

Lithium hunter DYM’s farm-out JV of Widgiemooltha with Mineral Resources (ASX:MIN) has started to bear fruit after pre-conditions were satisfied and the latter coughed up a $4m payment.

Widgiemooltha is between major lithium projects in WA’s Goldfields, including MinRes’s 71.3Mt at 1.37% Li2O Mt Marion and its newly acquired 26.5Mt at 1.0% Li2O Bald Hill operation; as well as Liontown Resources (ASX:LTR) Buldania.

The deal, etched in March, gives MIN a 40% share in the lithium rights of the project (after a further $1m payment next year), which will bump up to 65% as long as it spends $15m on exploration within the next four years.

While DYM has been searching the tenements for nickel prospectivity of late, MinRes is expected to start hitting the ground shortly to further prove up identified lithium targets – especially at Widgiemooltha’s Pioneer Dome West target.

The junior shot up the market ranks today upon the completion of the deal, up 18.52% to 16c per share.

Middle Island Resources (ASX:MDI)

(Up on recent news)

Penny stock MDI announced on Friday last week it got the NT government to cough up $300,000 for a drilling collab at its Barkly IOCG project near Tennant Creek.

Three diamond holes are being funded at the Wilma, Pebbles and Dino prospects which are targeted for copper, gold and base metals mineralisation from analysing geophysical data back in April.

“With these grants, MDI is now set to commence drilling planning for the 2024 season,” MDI CEO Roland Bartsch said.

“MDI is delighted to have again been awarded collaboration grants under the NT Government’s Resourcing the Territory program.

“This is a competitive program, and to be the only company to have received the maximum grant allowed is an endorsement of the concepts and targets developed by the team’s systematic approach.”

Shares in the minnow rose 23.5% to 2.1c per share in trade.

At Stockhead we tell it like it is. While Dynamic Metals is a Stockhead advertiser, it did not sponsor this article.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.