Why the Nex Metals (ASX:NME) share price is rocketing up 165% today

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Nex Metals Explorations Ltd (ASX: NME) shares are skyrocketing on Thursday. At the time of writing, the Nex Metals share price is gaining a whopping 165.22% to trade at 7.7 cents.

Below we take a look at the ASX gold minnow's latest assay results.

What assay results did the gold explorer report?

The Nex Metals share price is soaring today after the company announced bonanza gold results at the McTavish Prospect at its Kookynie Gold Project in Western Australia.

The results were reported by Metalicity Ltd (ASX: MCT), the company's joint venture partner in the project. The report is also seeing the Metalicity share price gaining by more than 27% today.

According to the release, the results have extended the mineralisation zone to the south of McTavish. The company said 2 kilometres of strike between McTavish and Leipold remain open, with an increasing chance of defining similar high-grade lodes.

The Nex Metals share price looks to be getting a boost from what the company labels "spectacular results". Such as:

– McTRC0049 – 5 metres @ 25.9 g/t from 28 metres including:

  • 3 metres @ 41.5 g/t from 30 metres,
  • 1 metre @ 91.2g/t Au from 30 metres;

– McTRC0064 – 6 metres @ 20.6 g/t from 19 metres including:

  • 4 metres @ 29.1 g/t from 20 metres;

– McTRC0044 – 3 metres @ 19.1 g/t from 88 metres including:

  • 1 metre @ 52.8 g/t from 89 metres; and

– McTRC0051 – 4 metres @ 3.5 g/t from 8 metres including:

  • 1 metre @ 11.4 g/t from 10 metres

Nex Metals and Metalicity have 38 holes which still remain outstanding from Champion and Cosmopolitan.

Commenting on the promising results, Metalicity CEO Justin Barton said:

These are spectacular assay results from McTavish. With McTavish open along strike and at depth, and the results to date from Leipold, not only does this bode incredibly well for the pending Mineral Resource Estimate; it is also incredibly encouraging for the 2 kilometres of strike between McTavish and Leipold.

With the pending JORC 2012 Mineral Resource Estimates over McTavish, Champion and Leipold, which are all on mining licenses, this provides the company with excellent optionality over these prospects.

Nex Metals share price snapshot

Despite today's meteoric gains, the Nex Metals share price is still down by around 20% over the past 12 months, a period that saw the All Ordinaries Index (ASX: XAO) gain 26%.

Year to date, Nex Metals shares are now up by around 37%.

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.

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