The S&P/ASX 200 Index (ASX: XJO) is up 0.4% on Monday. Certainly a decent start to the week.
But this newly minted ASX 200 share is leaving the benchmark returns in the dust today.
The company in question is mineral explorer Capricorn Metals Ltd (ASX: CMM), up 9.9% in late morning trade.
The miner listed on the ASX back on 7 July 2008. But it wasn't until 19 September this year that Capricorn Metals joined the ASX 200.
So, why are Capricorn Metals shares rocketing today?
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Why are Capricorn Metals shares flying higher?
The ASX 200 mining share has grabbed investor attention after reporting a major Mineral Resource Estimate (MRE) boost at its Mt Gibson Gold Project (MGGP) in Western Australia.
Capricorn Metals said the MRE had increased by 32% to 2,755,000 ounces, up from the prior 2,083,000-ounce estimate.
The new MRE includes 2,106,000 ounces in the Indicated category, which the miner said provides "a very strong basis" for its maiden Ore Reserve Estimate. That Ore Estimate is expected sometime during this current quarter.
The ASX 200 miner has now completed in excess of 104,000 metres of reverse circulation (RC) drilling and the accompanying assays at the project since January.
Investor interest could also be spurred by the shallow depth, with average vertical depth of 160 metres. The miner said this suggests that additional drilling should present new opportunities to increase its resources at the gold project.
Commenting on the results sending the Capricorn Metals share price shooting higher today, executive chairman Mark Clark said:
The increase in the Mt Gibson gold resource to 2.8 million ounces is a fantastic validation of the quality of the project we acquired just over a year ago. With 2.1 million ounces well drilled and in Indicated category we have a really strong base from which to estimate a maiden reserve and move towards development of Capricorn's second gold mining operation in Western Australia.
The shallow average depth of the resource also gives us confidence that the project will continue to grow with further drilling.
How has this new ASX 200 share been tracking longer-term?
You're unlikely to find any investors who bought shares in the newly minted ASX 200 mining share five years ago complaining.
Over that time the Capricorn Metals share price has soared 1,377%. For some context, the ASX 200 is up 15% over this same period.
