The Tietto Minerals Ltd (ASX: TIE) share price has lifted today. After spending most of the day trading at 33.5 cents each, shares in the mineral explorer are swapping hands for 33 cents at the time of writing, up 1.54%.
The company comes into focus after announcing gold intersections from drilling in its mine Côte d'Ivoire.
Let's take a closer look at today's news.
Image source: Getty Images
Why the Tietto share price is rising
In a statement to the ASX, Tietto Minerals advised it has made "multiple, high-grade gold drill intercepts" at its Abujar Gold Project in the West African nation. Highlights include:
- a 29m wide ore containing 4.46g of gold per tonne, which includes a 17m wide section containing 7.11g of gold per tonne.
- a 2m wide ore containing 18.6g of gold per tonne.
- a 3m wide ore containing 9.39g of gold per tonne.
- an 8m wide ore containing 6.92g of gold per tonne.
The company says it still has $52 million in liquid assets and as such can both fast-track and grow the Abujar gold mine.
Specifically, on fast-tracking the site, Tietto says it should be able to release the definitive study for the site by the second quarter of FY22. It is also in the midst of negotiations with the Ivorian government regarding final approvals.
The results have impressed investors, judging by today's Tietto share price movement.
Management commentary
Tietto managing director Dr Caigen Wang said
Our infill and extensional drilling program at Abujar has again delivered more high‐grade gold intercepts that will deliver increases in resource confidence and resource growth.
[We have] successfully confirmed gold mineralisation at or above expectations as we have closed up the inferred drill pattern to Indicated Resource spacing at these deposits.
Gold commodity price
Gold is currently trading on the open market for about US $1,860 per troy ounce. It's down 0.32% this month and 1.91% year to date.
According to the website Trading Economics, the price of gold is coming off of its record highs because investor worries over inflation may be easing. Gold is seen as a safe-haven investment against inflation.
Tietto share price snapshot
Over the past 12 months, the Tietto share price has decreased 13%. The company hit a 12-month low of 28.5 cents several times throughout April and May but has since slightly recovered. Tietto Minerals has a market capitalisation of $153 million.
