Shares in Venturex Resources Ltd (ASX:VXR) are flying out the door today on news of increased mineral resources at the Whim Creek Copper-Zinc joint venture project. At the time of writing, the Venturex share price is up 8.16%, with shares in the mining company swapping hands for 80 cents.
The resource update comes from the project's Whim Creek deposit, which has been found to house 37% more copper than previously estimated.
Whim Creek is a joint venture between Anax Metals Ltd (ASX: ANX) and Venturex. Anax holds 80% of the project, while Venturex has a 20% holding.
As part of the joint venture agreement, Anax will pay for Venturex's interest in the project through to when a decision is made to start mining.
Anax's share price is falling on the news. It's currently down by 9% and its shares are trading for 10 cents.
Let's take a closer look at the news driving the Venturex share price today.
Image source: Getty Images
New mineral resources
According to a statement from Venturex, the new mineral resource was discovered through an audit of historical data and a single diamond drill hole.
Both the recording of the data and the drilling were completed by Anax in 2020.
The drill hole's results included 5 metres at 2.43% copper and 1.02% zinc from 52 meters, and 7 metres at 1.19% copper from 60 metres.
Anax now plans to complete field reconnaissance and a review of historical data to find future drilling targets. It states there's an area west of the pit that's a prospect for strike extensions.
Anax is working on feasibility workstreams and hopes to submit a mining proposal for Whim Creek in the third quarter of this year.
Venturex share price snapshot
2021 has been bumper year on the ASX for the Venturex share price.
Currently, the Venturex share price is up 627% year to date. It's also gained a whopping 1,233% since this time last year.
The miner has a market capitalisation of around $331 million, with approximately 425 million shares outstanding.
