Pic: Schroptschop / E+ via Getty Images
Resources Top 5: The explorers shrugging off a bad day on the bourse
Mining
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- Shell company Zeus pauses trading after +70% share price spike
- Emu uncovers copper in early sampling at Viper project
- Rox (gold), Admiralty (iron ore), Alara (copper) up on no news
It’s a sea of red out there, but here are five resources stocks making early gains on Friday March 6.
Zeus — a shell company with no active projects — is looking for gold and copper exploration ground exclusively in Laos, for some reason.
The $9m market cap stock jumped +70 per cent this morning before trading was paused “pending a further announcement”.
(Up on no news)
In February, the iron ore explorer signed a deal to hopefully commercialise its Mariposa project in Chile.
Under the contract, Chinese company Hainan fully funds mining and construction “with all capital contributions, security, legal costs, risks and potential losses borne by Hainan solely”.
The deal covers the first 2 million tonnes of iron ore.
Admiralty will get a ‘laddered’ royalty rate up to 7 per cent per tonne of iron ore produced if the price stays above US90/t.
The benchmark price is currently ~$US172/t.
(Up on no news)
Alara has a copper project in the Middle Eastern country of Oman which is in advanced stages of development.
It is financed to the tune of ~$80m to build a 1mtpa copper processing plant, associated infrastructure and mine at the 16.1 million tonne Wash-hi Majaza copper gold project.
Alara plans to produce 321,000/t of copper concentrate in first 10 years.
First pass sampling has identified significant surface copper mineralisation at the Viper copper-nickel-platinum group element (PGE) project in WA.
The wide-spaced soil/rock sampling program was centred on the historic Netty mine, which reportedly produced more than 3 tonnes of copper back in the day.
Emu – which has famed resources investor Terry Streeter on the board — is on a hot streak.
In February the stock hit high grade gold in maiden drilling at the Gnows Nest project, including 1m at 57.41g/t and 1m at 89.57g/t gold.
(Up on no news)
The 1.1 million ounce Youanmi gold project is due a resource upgrade after recent RC drilling returned strong results like 12m at 6.54g/t from 28m.
That’s thick, shallow and high grade – three things investors should keep an eye out for in drilling results.
Drilling kicked off in February at Youanmi to define and extend high-grade gold shoots at the ‘Link’ and ‘Junction’ targets — which will also add to total ounces.
