The Thomson Resources (ASX:TMZ) share price crashes 10%

Thomson Resources (ASX: TMZ) share price has plunged 10% this afternoon. Let's look at the mineral extraction company's latest announcements.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

After starting the day with a healthy 6.4% boost in early trade, the Thomson Resources Ltd (ASX: TMZ) share price has taken a turn for the worse this afternoon.

Shares in the mineral extraction company have plummeted from an intraday high of 16.5 cents apiece to 14.0 cents at the time of writing, down almost 10%.

The miner has made 2 announcements, yesterday and today, after coming out of a trading halt.

Let's take a closer look at what's driving the Thomson Resources share price today.

Project update

In yesterday's announcement, Thomson Resources updated the market on the status of its projects in New South Wales.

The minerals extraction company declared its maiden drilling program at the Mallee Hen gold prospect in the Lachlan Fold Belt, NSW, was complete.

The mining company drilled 7 holes at the site, including one abandoned when the company struck a large cavern. The company claimed to have passed "several intervals of strong quartz veining" during the drilling process.

Thomson will now move the drill rig from Mallee Hen to its Bygoo tin project with the hope of discovering more tin depositories at the site. The company will move the rig to its Bald Hill tin prospect from there.

Silver mining

Today's ASX announcement concerns a silver mining site in Texas, Queensland.

Thomson advised it has entered into a binding agreement with liquidators overseeing the dissolution of MRV Metals Ltd to buy a site 8km east of Texas near the NSW border.

The already existing mine site is located in the Silver Spur Basin of southern Queensland in the New England Fold Belt.

Commenting on the acquisition, Thomson Resources chair David Williams said:

I am very pleased we have been successful in our tender for the Texas Silver Project in Southern Queensland. This provides a key piece for our implementation of the Fold Belt Hub and Spoke Strategy.

Not only will it provide Thomson with an ideal location for a central processing facility that we envisage, but it will also bring the additional resources which will take us close to our goal of having at least 100 million ounces of silver equivalent resources available at the facility if required.

The Texas project also brings considerable exploration potential for silver, and also gold, zinc, lead and copper.

Thomson Resources share price snapshot

Thomson Resources share price has been on the up over the past year. If an investor bought shares in the company a year ago, they would be sitting on a mouth-watering 625% return on investment.

The company has a market capitalisation of $51.3 million.

Should you invest $1,000 in Larvotto Resources right now?

Before you buy Larvotto Resources shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and Larvotto Resources wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys...

See The 5 Stocks *Returns as of 30 April 2025

Motley Fool contributor Marc Sidarous has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Market News

Person pretends to types on laptop drawn in sand.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a happy finish to the week for ASX shares this Friday.

Read more »

Three people in a corporate office pour over a tablet, ready to invest.
Broker Notes

Brokers name 3 ASX shares to buy today

Here's why brokers are feeling bullish about these three shares this week.

Read more »

A mature age woman with a groovy short haircut and glasses, sits at her computer, pen in hand thinking about information she is seeing on the screen.
Share Market News

ASX shares in April: 8 key takeaways according to Macquarie

Here are eight key takeaways from April, according to a new note from the broker.

Read more »

Woman looking at a phone with stock market bars in the background.
Share Market News

Market outlook: Should I 'sell in May and go away'?

May is the time to sell... If you believe in fairytales.

Read more »

Five young people sit in a row having fun and interacting with their mobile phones.
Share Gainers

5 ASX All Ords stocks rocketing higher this week

Investors sent these five ASX All Ords stocks soaring this week. But why?

Read more »

Frustrated stock trader screaming while looking at mobile phone, symbolising a falling share price.
Share Fallers

Why Block, Corporate Travel Management, Judo, and Zip shares are sinking today

These shares are missing out on the good times on Friday. But why?

Read more »

Overjoyed man celebrating success with yes gesture after getting some good news on mobile.
Share Gainers

Why Boss Energy, Capstone, Dimerix, and Platinum shares are storming higher today

These shares are having a good finish to the week. Let's find out why.

Read more »

A shocked man holding some documents in the living room.
Broker Notes

Macquarie's take on Judo Capital shares after suddenly falling 19% yesterday?

Judo Bank was the ASX's top-performing banking stock in 2024.

Read more »