Azure Minerals Share Price Soars on First Drill Hole (ASX:AZS)
The share price of small-cap mineral explorer Azure Minerals Ltd [ASX:AZS] has rocketed up today with the release of its first drilling result from its Andover Project in WA.
AZS owns several projects in Mexico with a wide range of mineral interests, including gold and silver, as well as base metals like copper, zinc, and lead.
In July, AZS secured several Western Australian projects from private exploration company, Creasy Group.
If that name sounds familiar, that’s because Creasy Group’s founder, Mark Creasy is a bit of a legend within the geological community.
The company has a stake in numerous ASX-listed mineral companies, including Legend Mining Ltd [ASX:LEG] and IGO Ltd [ASX:IGO].
At time of writing, AZS shares are up 46.81% to trade at 34.5 cents per share.
Why so much fuss over one hole?
AZS acquired a 60% stake in the Andover Project from Creasy Group in July.
Drilling performed by Creasy prior to the acquisition included:
- 7m at 2.62% Ni & 0.65% Cu within 26m at 1.03% Ni & 0.46% Cu from 43m
- 2m at 2.10% Ni & 0.44% Cu from 15m
- 4m at 1.10% Ni & 0.80% Cu from 6m; 2m at 1.77% Ni & 0.53% Cu from 62m
What do these results indicate?
Basically, they show that there is potential for a nickel and copper-rich resource.
Which could be why the share price took off today.
REVEALED: What’s Next for Aussie Gold Stock Prices? Learn more.
The first hole intersected significant nickel and copper sulphide mineralisation.
Managing Director Tony Rovira said:
‘This strongly mineralised nickel and copper sulphide intersection from our first drill hole is an outstanding result and a great start to our maiden drilling program at Andover.
‘Importantly, this mineralised intersection coincides with the interpreted position of the downhole EM (electromagnetic) conductor, providing support that the conductors represent significant accumulations of sulphide mineralisation.’
Has the share price jumped the gun?
You might be thinking that today’s share price action may have jumped the gun given the level of detail provided by AZS.
And you could very well be correct.
Although, small-cap explorers do tend to be highly speculative.
A second hole is currently underway to test the down-dip extension of the first hole.
With results for the first holes expected in late October to early November.
Which will provide us will a little more detail to analyse.
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