Why did the Woomera Mining share price surge 28% before being halted?

What's going on with the mineral explorer's shares? We take a look.

A man using a phone shouts and puts his hand out in a stop motion indicating the Yancoal trading halt today

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

Key points

  • Woomera shares explode 28% before being placed in a trading halt
  • The company is poised to release an announcement regarding the commencement of a drilling campaign at the Mt Venn joint venture
  • Woomera shares are expected to resume trading on or before Tuesday 26 April

The Woomera Mining Ltd (ASX: WML) share price jumped 28% this morning before the company requested its shares be placed in a trading halt.

As such, the mineral explorer's shares are frozen at 32 cents apiece. It's worth noting that Woomera shares have surged by almost 90% over the past month.

What caused the trading halt?

During the early hours of the afternoon, Woomera requested its share price be halted while it prepares an announcement.

According to the release, the company is planning to make an announcement regarding the commencement of drilling at Mt Venn.

Woomera has requested that the trading halt remains in place until Tuesday 26 April or following the release of the announcement, whichever comes first.

What drove Woomera shares up 28%?

The Woomera share price rocketed by 28% before the trading halt was called. While details remain unknown about the company's latest drilling campaign, we take a look at its previous announcements.

Woomera holds an 80% interest in the Mt Venn Joint Venture, located 125km northeast of Laverton in the Eastern Goldfields region of Western Australia. The remaining 20% stake is held by fellow Australian-based resources company, Cazaly Resources Limited (ASX: CAZ).

Recently, the company advised that a 2,000-metre reverse circulation (RC) drilling program will kick off at Mt Venn this month. This comes as the company discovered Ni-Cu-PGE mineralisation last year.

Ni-Cu-PGE stands for a number of different minerals. The first stands for nickel (Ni), and then copper (Cu). PGE represents a 'platinum group elements' consisting of palladium (Pd), iridium (Ir), osmium (Os), rhodium (Rh), and ruthenium (Ru).

Earlier this month, Woomera chair Ian Gordon commented:

Our flagship Mt Venn project has every chance of delivering a major new discovery and we look forward to getting on the ground in April in what will be a period of very exciting drilling activity for Woomera.

It appears investors are bracing for good things to come after the company delivered promising results from previous drilling campaigns.

About the Woomera share price

Since this time last year, Woomera shares travelled mostly sideways before rocketing over the past three weeks. Its shares have gained 40% for the 12-month period.

However, in 2022, Woomera shares have skyrocketed by 88% following strong price gains in the commodity markets.

Based on valuation grounds, the company has a market capitalisation of roughly $21.97 million, with approximately 686.83 million shares outstanding.

Should you invest $1,000 in Amp Limited right now?

Before you buy Amp Limited shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and Amp Limited wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys...

See The 5 Stocks *Returns as of 30 April 2025

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. 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

Copal miner standing in front of coal.
Resources Shares

How much upside does Macquarie tip for New Hope shares?

A softer-than-expected quarter has impacted the broker's view.

Read more »

2 people at mining site, bhp share price, mining shares
Resources Shares

Rio Tinto share price pushes higher on $1.4 billion lithium agreement

Rio Tinto shares are gaining major lithium exposure.

Read more »

Miner looking at a tablet.
Resources Shares

Up 73% since April, why Mineral Resources shares could keep charging higher

A leading expert says that Mineral Resources shares remain ‘heavily undervalued’. But why?

Read more »

Frustrated stock trader screaming while looking at mobile phone, symbolising a falling share price.
Resources Shares

Guess which ASX 200 mining stock is sinking 7% following its quarterly update

Let's see how this miner performed during the third quarter.

Read more »

Miner looking at a tablet.
Resources Shares

What's the latest broker ratings on BHP shares?

There's an air of caution floating about BHP shares even with bullish ratings.

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

BHP shares last traded at $50 in 2023. When will they get back there?

Let’s dig into the potential for BHP shares to rise.

Read more »

Man with rocket wings which have flames coming out of them.
Share Gainers

Guess which ASX All Ords stock just rocketed 21% on 'exceptional' results

Investors are sending the ASX All Ords stock flying higher on Wednesday. But why?

Read more »

A mature age woman with a groovy short haircut and glasses, sits at her computer, pen in hand thinking about information she is seeing on the screen.
Resources Shares

Guess which prominent Super fund just offloaded its remaining Mineral Resources shares?

This super fund has had enough.

Read more »