Even though they have already had a fantastic ride over the past 18 months, multiple experts are still keen on ASX mining shares for further gains.
This is especially so for companies that extract battery ingredients, such as copper and lithium. The global transition to zero carbon is irresistible.
Here are two such stocks from the S&P/ASX 200 Index (ASX: XJO) that are rated as buys:
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25% boost in copper production
People in the know are predicting copper will be in great demand in the coming years for use in electronics and batteries.
However, the industry has recently consolidated with BHP Group Ltd (ASX: BHP)'s takeover of Oz Minerals.
As one of the largest independent copper producers left on the ASX, Sandfire Resources Ltd (ASX: SFR) is set to take advantage.
Medallion Financial Group private client advisor Stuart Bromley noted the business' numbers are looking fine.
"Record first-half revenue of US$431.7 million was up 38% on the prior corresponding period," Bromley told The Bull.
Admittedly, the market has already positively recognised Sandfire's worth. The stock price is up 24.83% over the 12 months and is 11.9% higher since the start of the year.
But, according to Bromley, there could be a significant catalyst coming for a further surge in valuation.
"March quarter results identified an extension to the San Pedro mineralisation zone near the existing MATSA mine," he said.
"The Motheo mine is closing in on first production, acting as a catalyst for short-term growth prospects while simultaneously substantiating long-term aspirations of about 25% growth in copper production by late 2025."
Bromley is recommending investors buy Sandfire shares.
You can't go wrong with 'big mineral reserves'
Bell Potter investment advisor Christopher Watt reckons Mineral Resources Limited (ASX: MIN) could grow on the back of its new lithium business.
"This mining services company and iron ore producer has diversified into the lithium space via a joint venture with global producer Albemarle Corporation (NYSE: ALB)."
According to Watt, Mineral Resources is a "well-managed" company with "big mineral reserves".
Although the stock price is up a chunky 36.4% in the past year, over the most recent month, it's sunk 6.8%.
So now is the time to strike.
"Recent share price weakness provides an attractive entry point," said Watt.
"Growing demand for its products should drive future long-term earnings growth."
Like Watt, QVG analysts earlier this month also expressed their bullishness on Mineral Resources.
"We believe the mining services volume dip and production ramp at Mt Marion are temporary in nature."
