Key points
- The Critical Resources share price has plunged 10% lower to trade at 9.9 cents this morning
- Its dip follows the release of its quarterly activities and cash flow report
- Over the quarter ended 31 December, the company underwent acquisition, exploration, and capital raising activities
The Critical Resources Ltd (ASX: CRR) share price is suffering this morning after the company published its quarterly activities and cash flow report. Unfortunately, the market is reacting poorly to its release.
At the time of writing, the Critical Resources share price is 9.9 cents, 10% lower than its previous close.
Let's take a look at what the base metal and lithium explorer and developer got up to during the quarter just been.
Critical Resources share price tumbles 10% on quarterly report
The quarter ended 31 December was a big one for Critical Resources, and while the company's quarterly report is seemingly positive, the market is bidding the company's share price down today.
During the period, the company began drilling at its Halls Peak base metal project in New South Wales. There, it uncovered massive sulphide mineralisation and high-grade zinc, copper, and silver assays.
It has now applied for another 839 square kilometres of tenements around the project's tenements.
The company also paid a non-refundable fee of $200,000 for 90 days of exclusive acquisition talks regarding the Mavis Lake lithium project in Ontario, Canada. It finalised the purchase of the project after the quarter's end.
Finally, at its Sohar Copper Project – located in Oman – Critical Resources continued its talks with the Oman government.
According to the company, it was asked to pay ground fees it considers "onerous and unreasonable" for the project's Block 4 licence earlier in 2021. It plans to update the market on the outcome of talks in due course.
Additionally, the company underwent a $4 million placement last quarter. Its shares were offered at 2.9 cents apiece as part of the capital raise, with the resulting funds going towards the Mavis Project's acquisition and exploration at Halls Peak.
As of 31 December, the company had $4.75 million of cash in the bank.
The Critical Resources share price's latest tumble follows yesterday's 8.3% slump. This came on the same day the company advised it had staked 700 hectares of additional claims around its Graphic Lake project, located about 180km from its Mavis Lake lithium project in Canada. Its shares also fell 14.2% on Friday.
However, the company's stock is still swapping hands for around 150% more than it was at the end of 2021.
