Auroch Minerals (ASX:AOU) share price plummets 15%

The Auroch Minerals Ltd (ASX: AOU) share price is plummeting today after the company announced the assay results from its Nepean Nickel Project.

| More on:
white arrow pointing down

Image source: Getty Images

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

The Auroch Minerals Ltd (ASX: AOU) share price is plummeting today, despite what seems to be good news.

The mining company announced the assay results from the maiden drill project at its Nepean Nickel Project this morning. The results are from 4 holes of shallow near-mine drilling.

At the time of writing, the Auroch share price is 19 cents, down 15% on yesterday's close.

What were the assay results?

Auroch announced today that Nepean has significant shallow high-grade nickel sulphide intersections.

The assay results are respectable, particularly as they are in addition to other profitable intersections at Nepean. The results include 2 metres at 2% nickel and 0.3% copper from 66 metres, which includes 1 metre at 2.9% nickel and 0.36% copper; and 4 metres at 0.77% nickel and 0.05% copper from 25 metres, which includes 1 metre at 0.94% nickel and 0.05% copper.

Auroch will also test all exploration drill-holes with down-hole electromagnetic surveys to identify if there are any areas of massive nickel sulphide mineralisation nearby.

Management commentary

Auroch Managing Director Aidan Platel said the company is pleased with the results.

The recent results have continued to build upon our understanding and geological model of the shallow high-grade nickel sulphide mineralisation that now extends for over 500m of strike, and with that our team has recognised the need to drill several more holes into critical areas of this mineralisation. These holes will be drilled immediately, and the samples will be prioritised for assaying.

We also look forward to commencing a high-powered ground moving loop electromagnetic (MLEM) survey this month over priority target areas of the 10km of strike that we have at Nepean, which we believe will generate significant high potential targets for the next phase of drilling.

More about the Nepean Nickel Project

Auroch Minerals acquired the Nepean Nickel Project in December 2020. The company holds an 80% share in the project, with the other 20% owned by Goldfellas Pty Ltd. 

The Nepean Nickel Project contains the historic high-grade Nepean nickel sulphide mine, which was the second mine to produce nickel in Australia. It operated between 1970 and 1987. 

Nepean is located near Coolgardie, Western Australia. 

Auroch Minerals share price snapshot

The Auroch share price has dropped 15% today. It's currently 19 cents, having opened at 20 cents this morning.

Despite today's loss, Auroch's share price is having a great year. Right now, it's up 65% year to date and 285% over the last 12 months.

Auroch has a market capitalisation of approximately $59 million with around 272 million shares outstanding.

Should you invest $1,000 in Freelancer Limited right now?

Before you buy Freelancer Limited 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 Freelancer Limited 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 9 January 2025

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

A young man pointing up looking amazed, indicating a surging share price movement for an ASX company
Broker Notes

These ASX shares could rise 20% to 45%

Analysts are tipping these stocks to smash the market in 2025.

Read more »

A male investor wearing a white shirt and blue suit jacket sits at his desk looking at his laptop with his hands to his chin, waiting in anticipation.
Opinions

2 top ASX shares to buy on a pullback

These two stocks would be prime opportunities to buy in a sell-off.

Read more »

A male ASX 200 broker wearing a blue shirt and black tie holds one hand to his chin with the other arm crossed across his body as he watches stock prices on a digital screen while deep in thought
Share Market News

5 things to watch on the ASX 200 on Thursday

Here's what to expect on the ASX 200 on Thursday.

Read more »

Broker Notes

Top brokers name 3 ASX shares to buy today

Here's what brokers are recommending as buys this week.

Read more »

Disappointed man with his head on his hand looking at a falling share price his a laptop.
Share Fallers

Why Iluka, Sigma, Wildcat, and Woodside shares are falling today

These shares are having a tough time on hump day. Why are investors hitting the sell button?

Read more »

A woman with strawberry blonde hair has a huge smile on her face and fist pumps the air having seen good news on her phone.
Share Gainers

Why Bubs, Chrysos, JB Hi-Fi, and Paladin Energy shares are storming higher today

These shares are having a good time on hump day. But why?

Read more »

Man and woman sitting at casino table playing poker
Opinions

Australia's biggest winners in 2025? My money is on these 2 ASX shares

Here’s why I think these stocks could be underrated winners.

Read more »

Cheerful boyfriend showing mobile phone to girlfriend in dining room. They are spending leisure time together at home and planning their financial future.
Opinions

Here's how I'd invest my next $5,000 on the ASX in 2025

These two investments could make a lot of sense this year.

Read more »