The S&P/ASX 200 materials index opened 0.81% higher today, outperforming the ASX 200.
Zinc has gained 1.59% today. With mounting sanctions on Russia sparking an international energy crunch, many smelters are reducing zinc production. Combined with strong steel sector consumption, demand for zinc looks to be boosted in the coming months.
Peel Mining (ASX: PEX) is up 14.29% at the open. While Peel is focussed mainly on copper, the company also has zinc exposure through several ongoing projects, including Mallee Bull, Southern Nights / Wagga Tank, and May Day. The company’s gain today has also coincided with the release of strong copper assays from the Mallee Bull project.
MRQ Metals (ASX: MRQ) is up 10% at the open. The company has exposure to zinc through the Norrliden project in Sweden, which has a resource of 1.5Mt at 4.4% zinc, along with mineralisation of other precious metals. According to Undervalued Equity, zinc concentrations between 2.5-10% are considered medium grade.
OZZ Resources (ASX: OZZ) has opened 15% higher after applying for a large tenement holding with potential for rare earth element (REE) mineralisation 160km north-east of Leonora in WA.
“This acquisition provides a low risk and low-cost entry into a potentially significant, but previously unrecognised and unexplored rare earths project,” says managing director Jonathan Lea.
“The potential at Vickers Well is based on significantly elevated REE in bio-geochemical vegetation sampling completed by the CSIRO. The tenements cover a cluster of REE values that are significantly higher than regional average values.”
Next catalysts: the company will commence active exploration once the tenement is granted.
Pursuit Minerals (ASX: PUR) has opened 7.81% higher after starting field programs at the Commando gold project.
Managing Director Bob Affleck commented:
“Pursuit is excited to confirm that our 2022 Exploration Program at Commando is well underway with preliminary field reconnaissance complete and a detailed auger sampling program due to start shortly.”
Next catalysts: a follow-up air drill program is scheduled for June 2022.
American West Metals (ASX: AW1) has opened 11.76% higher after reporting results of recent ore sorting test work on mineralisation from the Storm copper project on Somerset Island, in Northern Canada.
According to the company, the work has successfully achieved a commercial grade direct shipping ore product.
“The work has produced a commercial grade DSO product through an uncomplicated and low-cost process that is game changing for this project and plays to our strategy of developing very low footprint operations,” says managing director Dave O’Neill.
“The process of generating DSO at Storm is amazingly simple and highlights our Company’s focus on generating ESG sensitive mining solutions. Storm Copper now stands out as one of the very few, and highest-grade DSO copper projects globally.”
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