The S&P/ASX 200 Index (ASX: XJO) closed slightly in the green after a wobbly old day. But three ASX microcap shares soared higher.
The benchmark index closed Monday up 0.05% to 7,148.9 points. Three ASX shares that bucked this trend were Ragusa Minerals Ltd (ASX: RAS), Discovery Alaska (ASX: DAF) and Creso Pharma Ltd (ASX: CPH).
Let's take a look at why these three ASX microcap shares stormed higher on the market today.
Creso Pharma
Creso Pharma shares jumped 9.62% today to 5.7 cents However, in morning trade, the company's share price soared 17% to 6.1 cents. Investors bought the company's shares on the back of a new agreement. Creso is a cannabis and psychedelics company with operations in Switzerland, Canada, Colombia, Israel and Australia. The company has signed a non-binding, non-exclusive heads of agreement (HoA) with Dr Pickles Pty Ltd. Dr Pickles is a tattoo post-care products company with a database of 20,000 online consumers. The agreement provides Creso with the potential to enter the Australian body care market. Creso will look into commercialising Dr Pickles products in North American markets. Creso has a market capitalisation of $67.4 million.
Ragusa Minerals
The Ragusa Minerals share price soared 25% today to 10 cents. The company's share price rocketed on news it has secured new tenements prospective for lithium. Ragusa signed a tenement farm-in agreement with May Drilling Pty Ltd, providing the exclusive right to earn a 90% interest in five tenements. The tenements can be found in the "highly prospective" Litchfield Pegmatite Belt in the Northern Territory. Commenting on the news, chairperson Jerko Zuvela said:
Ragusa is in a strong position to rapidly accelerate the development of our project at a time of record lithium prices and within a proven high-quality lithium district.
Ragusa has a market capitalisation of $10.23 million based on today's closing price.
The ASX microcap share you wish you knew about this morning, Discovery Alaska
Discovery Alaska shares surged 27.69% today to 8.3 cents. However, in earlier trade, this ASX lithium share jumped 62% to 10.5 cents. The company is exploring lithium at the 100% owned Chulitna Project in Alaska, United States. In today's news, the company confirmed lithium mineralisation at 12 historical drill holes. Using a SciAps Z-901 LIBS handheld analyser, the company showed lithium across broad zones. Laboratory analysis will now follow with the aim of establishing a JORC lithium resource. Discovery Alaska has soared 167% in the year to date. The company has a market capitalisation of $14.5 million.
