Here's why the Lode Resources (ASX:LDR) share price is rocketing 120% today

There are good reasons investors keep a close eye on ASX resource explorers' drill results.

The Lode Resources Ltd (ASX: LDR) share price is shooting out the lights today, up a whopping 120% to 33 cents a share.

Below, we look at the latest drilling update from the microcap ASX explorer that looks to be driving investor interest.

Miner puts thumbs up in front of gold mine quarry.

Image source: Getty Images

What drilling update was announced?

The Lode Resources share price is skyrocketing after the company reported promising results from the maiden diamond drill program at its Webbs Consol Silver Project, located in New South Wales.

Lode Resources has so far completed 6 drill holes, totalling 814 metres, at the project. It intends to drill a total of 1,500 metres. According to the release, "Mineralisation styles encountered range from coarse sulphide blebs to massive irregular sulphide veins."

The company said that it observed "significant" zinc, lead and copper mineralisation in drill cores. It expects that assays will reveal associated silver mineralisation from the core samples.

All the drill hole intercepts have been cut and Lode has sent them to ALS in Brisbane. It estimates the results of the assays will be available in 3 to 4 weeks.

The best intercept from the 6 exploratory holes drilled to date was a "very encouraging" 27.5 metres "containing an estimated 15% sphalerite, 1% galena and 0.5% chalcopyrite".

The company anticipates the assays will reveal silver mineralisation, as silver is known to be "strongly associated" with both sphalerite and galena at the project.

Drilling at the Webs Consol Silver Project is ongoing and Lode is testing down dip extensions alongside additional potential project targets.

Lode Resources share price and company snapshot

Lode Resources is a newcomer to the ASX, listing on 2 July 2021.

Since then, the Lode Resources share price is up 59%, compared to a gain of 2% posted by the All Ordinaries Index (ASX: XAO) over that same time.

Over the past month, Lode shares have gained 124%

Lode Resources is a junior exploration company with numerous base and precious metals projects, including 3 advanced gold, silver and copper projects. Its holdings are located in the New England Fold Belt in New South Wales.

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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