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

An engineer takes a break on a staircase and looks out over a huge open pit coal mine as the sun rises in the background.
Resources Shares

4 reasons to buy BHP shares today

A leading expert outlines four key reasons BHP shares are a buy.

Read more »

Businessman walks through exit door signalling resignation
Resources Shares

Pilbara Minerals share price drops as CFO announces resignation

It’s been a challenging few years for outgoing Pilbara Minerals CFO Luke Bortoli.

Read more »

Miner looking at a tablet.
Resources Shares

What happened with the BHP share price in May?

Did you buy BHP shares in May? Here’s how much the ASX 200 miner returned.

Read more »

Two men in hard hats and high visibility jackets look together at a laptop screen at a mine site.
Resources Shares

Should I buy Fortescue shares today?

A leading investing expert offers his verdict on the outlook for Fortescue shares.

Read more »

A female miner wearing a high vis vest and hard hard smiles and holds a clipboard while inspecting a mine site with a colleague.
Resources Shares

Is this a good time to buy BHP shares?

Should investors jump on the ASX mining shares right now?

Read more »

a miner holds his thumb up as he holds a device in his other hand.
Broker Notes

Why Macquarie expects this ASX 200 copper stock to surge 36% in a year

Macquarie forecasts some hefty gains ahead for the ASX 200 copper miner. But why?

Read more »

A young African mine worker is standing with a smile in front of a large haul dump truck wearing his personal protective wear.
Resources Shares

Following its FY25 result, Macquarie tips more than 40% upside for this ASX All Ords mining stock

Let’s dig into why this is such an exciting stock.

Read more »

Female miner smiling at a mine site.
Resources Shares

Macquarie forecasts 30% upside for this ASX All Ords mining stock

If a broker is right, investors have a lot to gain with this stock.

Read more »