Resources Top 5: Niobium in focus as Woomera raises $1.7m to explore the Gobi desert

St George refutes claims it can’t explore a niobium-rich tenement in Brazil
Summit expands its own niobium landholding in the country
Woomera raises funds to earn-in to the Southern Gobi copper project in Mongolia

Here are the biggest small cap resources winners in morning trade, Monday, August 12. Prices accurate at time of writing.

St George Mining (ASX:SGQ)

SGQ has shot up 40% on refuting claims on social media that its acquisition of the world-class Araxa niobium project in Brazil was impeded by environmental concerns.

The dispute is over the B4 tailings dam not being rehabilitated yet on SGQ’s 831.972/1985 tenement which contains high-grade niobium underneath, yet the company notes that CBMM, the previous owner, had in 2023 announced that it was dry and sealed.

CBMM is the world’s largest producer of niobium (80%) with its mining operation right next door.

Independent technical consultants contracted by SGQ have indicated that open pit mining can be established on tenement 831.972/1985, with no impediments from Dam B4, though these findings are preliminary in nature and subject to final geotechnical studies, which are currently underway.

The market welcomed the news, with SGQ shares rising 40% to 3.5c per share.

Minbos Resources (ASX:MNB)

Shares in MNB rose to their highest level since April 16 on the back of news that Angola’s sovereign wealth fund (FSDEA) is going to throw in $10m into the company for the construction of its Cabinda phosphate fertiliser project.

Fertiliser is in high demand as the Ukraine depleted global supplies last year. It’s rebounded, but remains vulnerable, according to Kapital Insights.

FSDEA completed a due diligence round and approved the funding at the great of 8c per share or the 10-day VWAP and its aim is to improve food security for the region.

MNB MD Lindsay Reed says the FSDEA will both assist and benefit in the development of agricultural initiatives that will alleviate poverty, improve food security and durable broadening of the economy.

The 187,500tpa phosphate project is scheduled to be completed in two phases by December 2025, with offtake partners already in place.

“The Sovereign Wealth Fund and IDC share the same interest in developing the Cabinda project for domestic and export sales,” Reed says.

“This will strengthen CPFP’s financials and manage our customer risk profile.”

The African-focused ASX junior rose 13.6% on the news in early trade to settle still up 6% to 7c per share at time of writing.

Woomera Mining (ASX:WML)

WML has firm commitments to raise $1.7m and has signed an earn-in agreement for to the Bronze Fox copper gold project within the world-class Southern Gobi copper belt in Mongolia.

The explorer can earn an 80% interest in two phases by spending US$4m with an election to acquire 100% thereafter.

Bronze Fox has a 194.1Mt 0.2% copper and 0.07 g/t gold containing 426kt of Cu and 437koz Au resource estimate for the West Kasulu prospect at the project covering just a small section of one of three large near-surface porphyry complexes.

A number of readied targets have been prioritised and WML says it will start spinning the drillbit in September testing greenfield areas and resource expansion.

Shares in the minnow are up 33.3% trading at 0.4c per share.

Summit Minerals (ASX:SUM)

(Up on no news)

SUM picked up six new tenements last week surrounding its Equador niobium project for $93,075, increasing its landholding by 1555 hectares.

Tenement 848283/1999, known as Equador North, is a key strategic priority north of and adjoining the existing Equador project.

Previous feldspar mining activities were conducted, as feldspar is the primary host rock of the niobium and tantalum in the region.

The company says internal studies indicate it’s a likely continuation of geology from Equador.

The other tenements won in the auction process are situated immediately along strike from the Maranda lithium mine, with exploration to concentrate on potential extensions of the lithium mineralisation.

Shares in Summit are back on the rise 16.67% today, trading at 21c per share.

Cokal (ASX:CKA)

Cokal is its name, high-margin metallurgical coal is its game.

The company is up on news this morning that it has signed a binding agreement with mining contractor PT Cipta Bersama Indonesia (CBI) to develop an underground mining operation at Pit 1 of the BBM metallurgical coal mine.

It represents a significant windfall for Cokal, as there were no plans to develop any underground operations at BBM Pit 1 within the foreseeable future.

CBI will be the contractor in charge of the underground mine development and will pay all mine development costs as well as 100% of ongoing operating costs through to delivery of the coal product to BBM ROM stockpile.

Shares were up 17.28% to trade at 9.5c.

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