ASX mining shares have started the year well with the overall sector dominating the benchmark index's return since 2022 began.
The S&P/ASX 300 Metals & Mining Index (XMM) has climbed more than 7% this year to date and another 5% in the past week, indicating these strengths in the broad sector.
The momentum has spilled over into 2 ASX mining shares in particular today, with each name nudging past its 52-week high during the session. Let's take a look.
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Iluka Resources Limited (ASX:ILU)
Shares in Iluka Resources have spiked almost 11% since January 4 and investors are throwing their support behind the company today as well.
The mining and exploration company cruised past its 52-week high in early trading today, hitting a peak of $11.37 before trading back down to now sit at $11.21 on last check.
Previously, the company advised it had recognised a 6% year on year jump and a 54% gain in Zircon production in its quarterly review to 31 December 2021.
With this kind of momentum, analysts at Goldman Sachs reckon that Iluka has potential to deliver an earnings surprise to the upside in its upcoming yearly results on 24 February.
The broker's forecasts are underpinned by hot-running commodity markets that are suffering supply shortages across the board, driving prices to multi-year highs.
"We are Buy rated on mineral sands/rare earth producer ILU and add the company to our Conviction List (CL) on attractive valuation and compelling Zircon and TiO2 price upside and Rare Earth growth potential" the broker said in a recent note.
Goldman values Iluka at $12.60 per share as of February, alongside Macquarie who values the company a buy at $12.40 per share.
Sandfire Resources Ltd (ASX: SFR)
Shares in copper and gold player Sandfire resources have exploded on the scene in 2022, gaining 13% in that time after rallying 9% in the past week alone.
Investors were positive on the company following the release of its quarterly results last month, where the company reaffirmed its production guidance for the year.
Positively, the acquisition of the MATSA Mining Complex, located in Spain, was given the go-ahead by Spanish authorities in December, marking a huge milestone in the company's growth narrative.
Sandfire shares popped again in the early days of February after the company advised it had finalised the transaction of the MATSA complex.
As The Motley Fool reported at the time, "the US$1.87 billion (AU$2.6 billion) transaction will transform Sandfire into one of the largest ASX copper-focused miners".
Consequently, Sandfire now has control of a world-class asset consisting of three underground mining operations in the fertile mining regions of Spain.
In the last 12 months, the Sandfire share price has climbed 58% and has jumped another 9% in the last week of trading alone. Both sets of returns of both stocks are plotted against the mining index on the chart below.
