At the time of writing, the Pensana Metals Ltd (ASX: PM8) share price is up 14.29% to 4.8 cents following the announcement of drilling results by the company.
What was in the announcement?
The company reported results from the last 86 holes of its 8,000 metre drill program, completed at its Longonjo project in Angola.
Pensana Metals identified fresh rock mineralisation that, according to the announcement, adds a whole new dimension to its Longonjo project. The company identified wide, continuous high intersections with 2% to 4% rare earth oxides. These were returned from fresh rock immediately below the weathered zone.
Pensana Metals has commenced work on an updated mineral resource estimate that, according to the company, will be reported in September.
According to the Pensana Metals COO and Executive Director, Dave Hammond, the results will allow the company to upgrade its existing resource categories and extend the life of the mine. He stated;
“These final results have further highlighted the world-class opportunity at the Longonjo project. The drilling continues to prove the continuity of the weathered mineralisation, returning significant grades from surface outside our current mine plan. We expect these infill drilling results will allow us to upgrade the existing resource categories and extend the mine life.”
About the Pensana Metals share price
Pensana Metals is a rare earth minerals explorer and mine developer. Its current project is located in Angola where the company aims to become a producer of Neodymium-Praseodymium. Pensana Metals (also known as Pensana Rare Earths) is listed on the ASX and the London Stock Exchange.
In the quarter to 30 June, 2020, Pensana Metals received a mining title for its Longonjo rare earth mining project in Angola, with the mining title renewable for up to 35 years. The company also received an equity investment of $7.25 million from the Angola sovereign wealth fund.
Pensana Metals announced high grade drill results during the June quarter of 2020.
At the end of the June quarter, Pensana Metals had cash of $5,981,000 up from $2,015,000 at the end of the previous quarter.
The Pensana Metals share price is up 380% from its 52 week low of 10 cents. It has returned 167% since the beginning of the year. The Pensana Metals share price is up 108.7% since this time last year.