Here's why the Mincor (ASX:MCR) share price is shooting 14% higher today

Western Australia is home to some of the world's richest resource deposits.

| More on:
high share price

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 Mincor Resources NL (ASX: MCR) share price is rocketing up 14% in afternoon trade.

Below we take a look at the market update which appears to be driving investor interest in the ASX resource share today.

What update did Mincor report?

Mincor's share price is surging after the company reported more positive nickel exploration results in the 1.1-kilometre zone between its Long and Durkin North mines, located in Western Australia.

According to the release, assay results for the massive sulphide intercept returned "an outstanding intercept" of 0.5 metres at 6.3% nickel, including 0.3m @ 8.5% Ni.

Last Thursday, 15 July, Mincor's share price got another big daily lift after the company reported strong results in the same area. An area it refers to as Golden Mile. The Mincor share price has now gained 25% since that first announcement.

Atop today's positive assay results, the company also reported on a separate intersection, with an estimated width of 0.3 metres, 24 metres down-dip from the assays revealed today. Mincor noted this was based on visual inspection alone, and it is awaiting assays to confirm nickel grades.

Commenting on the results Mincor's managing director, David Southam said:

Having assays confirm the high-grade nature of our first nickel intersection gives us great confidence in the enormous potential of the untested space we have called the "Golden Mile". This intersection is located just 100 metres from existing underground mining infrastructure, highlighting its strategic importance to the company as our underground drilling program advances…

We are very encouraged by the fertility of the Golden Mile for massive sulphide discoveries and, once we have our down-hole EM infrastructure installed in August, our geological understanding and targeting approach can be further refined as this substantial drilling program unfolds.

Southam also congratulated BHP Nickel West [BHP Group Ltd (ASX: BHP)] on its newly revealed nickel supply arrangement with Tesla Inc (NASDAQ: TSLA). Southam noted that, "Our nickel concentrate off-take agreement with BHP means that Mincor will be a key participant in this ESG-friendly global EV battery supply chain."

Mincor share price snapshot

Over the past 12 months the Mincor share price has gained 71%, handily outperforming the 23% gains posted by the All Ordinaries Index (ASX: XAO) over that same time.

Year-to-date, Mincor's share price is up 9.4%.

The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and has recommended Tesla. 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 Resources Shares

Middle age caucasian man smiling confident drinking coffee at home.
Resources Shares

Should you buy Rio Tinto stock or Woodside stock today?

Which of these giants is best? Here's what Goldman thinks.

Read more »

Miner looking at a tablet.
Resources Shares

What does Trump's win mean for iron ore shares like Fortescue?

The controversy on tariffs has already started.

Read more »

two men in hard hats and high visibility jackets look together at a laptop screen that one of the men in holding at a mine site.
Resources Shares

Own BHP shares? Directors of the mining giant have been busy with stock transactions

It can be worrying when directors sell.

Read more »

Buy, hold and sell ratings written on signs on a wooden pole.
Resources Shares

Are Lynas shares a buy, sell, or hold for 2025?

Much depends on the outlook for rare earths.

Read more »

a tired and sad looking bulldog sits at an office desk with a pen an paper on it and a cup of coffee with his head resting on the desk as he gives a mournful look to the camera.
Resources Shares

After crashing 50%, could this ASX All Ords stock rebound?

Such low starting valuations could help.

Read more »

two men in hard hats and high visibility jackets look together at a laptop screen that one of the men in holding at a mine site.
Resources Shares

Why did the Fortescue share price fall 7% in October?

Let's review what happened with the ASX 200 mining giant in October.

Read more »

a mine worker holds his phone in one hand and a tablet in the other as he stands in front of heavy machinery at a mine site.
Resources Shares

Why did the BHP share price get hammered in October?

ASX 200 investors sent BHP shares sharply lower in October. But why?

Read more »

A man in his 30s holds his laptop and operates it with his other hand as he has a look of pleasant surprise on his face as though he is learning something new or finding hidden value in something on the screen.
Resources Shares

Gina Rinehart's empire raked in another $5.6 billion. Here's how

Resources and mining continue to dominate the Australian market.

Read more »