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

ASX microcap resource shares can see big moves on breaking news.

| More on:
A miner reacts to a positive company report mobile phone representing rising iron ore price

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

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.

More on Gold

A woman wearing a gold top and carrying a gold bar gives the thumbs down signal as she leans against a wall with a sombre look on her face as the Kingsgate share price goes lower
Earnings Results

Guess which ASX 200 gold stock is crashing on US$2.5b loss

This gold miner's results haven't gone down well with the market.

Read more »

plummeting gold share price
Share Fallers

How has this ASX 300 gold share managed to crash 50% today?

Investors have just lost half of their money with this stock.

Read more »

A woman holds a gold bar in one hand and puts her other hand to her forehead with an apprehensive and concerned expression on her face after watching the Ramelius share price fall today

Guess which ASX 200 gold stock is crashing 15% on a disappointing update

Investors aren't happy with the gold miner's update.

Read more »

Calculator and gold bars on Australian dollars, symbolising dividends.

Guess which ASX gold shares are sinking after announcing a ~$2.3b merger

Management believes this potential merger will be 'an exciting inflection point' for shareholders. Shareholders don't appear to agree.

Read more »

A man clenches his fists in excitement as gold coins fall from the sky.

Guess which ASX 200 gold share Bell Potter says is a buy with almost 30% upside

Golden returns could be on the cards for owners of this mining share.

Read more »

rising gold share price represented by a green arrow on piles of gold block

Gold Road shares rebound 7% as brokers scramble to upgrade ASX 200 gold stock

ASX 200 gold stock Gold Road Resources is enjoying a massive rebound today.

Read more »

Gold bars with a share price chart in the background.

After soaring 15% in 2023, what's ahead for the gold price in 2024?

ASX 200 gold stocks received some heady tailwinds in 2023 from a surging gold price.

Read more »

plummeting gold share price

Why is this leading ASX 200 gold stock crashing 14% today?

The ASX 200 gold miner is coming under heavy selling pressure today.

Read more »