The Future Metals NL (ASX: FME) share price is on fire today. Future Metals shares were up 6.52% to 24 cents a share after opening at 22 cents this morning and rising as much as 14% to 28 cents at one point today.
It's been quite the week for this company, so let's take a look at what's been going on.
The first thing to note is that Future Metals shares were, until yesterday morning, in a trading halt for quite some time. The company first went into an ASX suspension back in January. Between then and now, the old Red Emperor Resources became the Future Metals company we're talking about today.
So Future Metals resumed trading on the ASX yesterday, and made quite the return indeed. On top of today's rise, the company is now up 44% since the lows it hit on its first day of returned trading.
Image source: Getty Images
Future Metals: There's PGM in them hills
A presentation that the company released during yesterday's trading day may have helped this move. This presentation discussed the future prospects of Future Metals' Panton PGM Project in Western Australia, which Future Metals has complete ownership of.
The company estimates that Panton contains 14.32 million tonnes of platinum-group metals (PGM) and gold at an average concentration of 5.2 grams per tonne. It expects this deposit to contain 2.4 million ounces of PGMs and gold. Of these 2.4 million ounces, the company anticipated that roughly 50% consists of palladium.
Future Metals is expecting to start drilling at this site by July or August 2021. Perhaps more exciting is the news that the company has only discovered these concentrations within 3.5 kilometres of the reef. The remaining 8.5 kilometres is still relatively untested as of yet.
Future Metals also advised investors that, upon relisting, it has $8 million in cash on its books.
At the current share price, Future Metals has a market capitalisation of $80.16 million.
