Kula Gold has made a big gold project acquisition, gaining the Mt Palmer project in WA, near its Marvel Loch op
Voltaic’s rock chip sampling at its Eldinero prospect in WA, has shown visible signs of copper-gold
Meanwhile Forrestania’s share price has had a stupendous week, up more than 200pc over seven days
Here are some of the biggest resources winners in early trade, Friday May 31.
Kula Gold (ASX:KGD)
Small goldie, kaolin and lithium hunter Kula Gold is well up this morning with a 30% burst.
This followed the company’s announcement that it’s acquired the Mt Palmer Gold Mine located near the company’s Marvel Loch project in the Southern Cross Goldfields, WA.
Aurumin (ASX:AUN) has agreed to divest the Mt Palmer project to Kula, as it instead shifts its focus to its flagship Sandstone development. Kula will pay Aurumin $250,000 in shares or cash in exchange for a 51% interest in the tenements.
The deal involves acquiring 100% of the historic mine, which produced more than 158,000 ounces of gold between 1934 and 1944, as well as combining with a successful $3.5 million placement.
The company says that Mt Palmer offers a “significant opportunity to discover additional high-grade gold mineralisation”, and the fact it’s just 15km from the Marvel Loch gold processing plant and infrastructure makes things even more beneficial for the company from an operations and logistics perspective.
Kula’s MD Ric Dawson said:
“This acquisition is in alignment with the company’s strategy to add assets near to existing operations to fast track any discovery to monetary success.
“This historical rich ‘half ounce’ gold mine has huge potential of high-grade gold and is a priority drilling target for Kula.”
Source: Kula Gold
MetalsGrove Mining (ASX:MGA)
(Up on no fresh news today)
Explorer Metalsgrove has burst to the top of the ressie gainers as we type, with a 33% surge.
There’s not much news to speak of today regarding the stock, but we can tell you that recently the company successfully completed an entitlement offer. And that was fully subscribed with applications received for more than 52.7 million shares to raise $2.1 million before costs.
Those funds will be funnelled into the company’s various exploration programs, while also offering opportunities for further potential acquisitions.
The company is focused on developing high quality lithium, rare earth, copper-gold, manganese and base metal projects in highly prospective regions in WA and the NT.
$MGA is delighted to announce that the EO was fully subscribed with the Company raising, before costs, approximately $2.1 million. Read more: https://t.co/sGEezFYemi pic.twitter.com/TyWJ60iZfQ
— MetalsGrove (@metalsgrove) May 30, 2024
“In what are very difficult capital market conditions for junior exploration companies such as we are currently experiencing, it is very pleasing for the entitlement offer to have achieved such a successful outcome,” said MetalsGrove Mining MD and CEO Lijun Yang.
Voltaic Strategic Resources (ASX:VSR)
VSR say that recent rock chip sampling at the Eldinero prospect, part of its Meekatharra project in WA, has shown visible signs of copper-gold minerals in quartz veins, extending the surface strike length to 200m.
This is a big step forward for the company’s exploration work, showing promise for more discoveries at the project.
The minerals seem to be connected to the Burnakura Shear Zone, which stretches over 10km and is made up of dolerites. And this zone is important because it holds several gold deposits.
The company notes that the Meekatharra tenement package is largely underexplored, despite its proximity to numerous historical and active open pits and underground mines, and geologically prospective structures.
Is there a nearology angle here? Glad you asked. Yes.
The Meekatharra project consists of seven granted exploration licences within a prolific gold precinct that has produced several million ounces historically and is home to Westgold Resources (ASX:WGX), soon to be Australia’s newest mid-tier gold producer through a merger with Karora Resources.
Voltaic CEO Michael Walshe added some further context:
“Samples collected from recent reconnaissance at the Eldinero prospect, combined with the presence of historical and active quartz-vein hosted shear-related gold deposits along the strike of our tenement package, lays a solid foundation for more detailed exploration.
“We eagerly await the results of the elemental analyses of the samples currently at the laboratory and the follow-up surface exploration program to extend and delineate the mineralised footprint”.
Falcon Metals (ASX:FAL)
(Still well up on Tuesday’s news)
Falcon is now up ~75% since announcing a high grade mineral sands discovery, called Farrelly, Tuesday this week.
Intraday, it’s still turning the odd head, surging about 20%.
“While it is early days in our understanding of Farrelly, with more drilling and test work required, it is shaping up to become a significant mineral sands deposit, in proximity to other major deposits, but at far higher grades,” MD Tim Markwell says.
Read > here for more.
Forrestania Resources (ASX:FRS)
(Also up on Tuesday’s news)
Here’s another one going from strength to strength this week on the back of some big news from earlier in the week.
In fact, checking its weekly gains, this is a last but definitely not least entry for this column this week. It’s crushing it, and is now up 215% over the past seven days.
Known as a gold, lithium and nickel hunter, Forrestania’s focus is in the Eastern Goldfields of WA, but also Canada (lithium).
Its news today, however, is related to iron ore, in the Yilgarn region, sending it triple-bagging upwards, about 200% at the time of writing.
The company has announced it’s entered into an option agreement with shareholders of Netley Minerals to acquire 100% of issued shares in Netley, which is the holder of highly prospective iron ore tenements right next to Mineral Resources’ (ASX:MIN) Koolyanobbing operations.
Potentially big for FRS, that, which enters into a three-month option period, in which the company will drill test several iron ore targets identified by Netley and its advisors.
The potential is there, with surveys and rock chip sampling correlating with the geophysical trends, indicating mineralisation potential.
All else, including infrastructure – road, rail, port and service centres – lines up well.
At Stockhead we tell it like it is. While Kula Gold is a Stockhead advertiser at the time of writing, it did not sponsor this article.
The post Resources Top 5: Kula turbo injects gold hunt with Mt Palmer acquisition; FRS up 200pc this week appeared first on Stockhead.
