Why 29Metals, Base Resources, Qantas, and South32 shares are storming higher

These ASX shares are starting the week strongly. But why?

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In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is back on form and racing higher. At the time of writing, the benchmark index is up a sizeable 1% to 7,643.8 points.

Four ASX shares that are rising more than most today are listed below. Here's why they are climbing:

29Metals Ltd (ASX: 29M)

The 29Metals share price is up 9% to 47.5 cents. This morning, this copper miner announced a binding terms sheet for a US$50 million offtake finance facility with Swiss mining giant Glencore. Funds from the proposed offtake facility will be available for draw down from financial close and will provide additional liquidity as its Capricorn Copper operation moves into suspension and is prepared for a successful and sustainable restart. In other news, insurers have committed to a further interim progress payment of $16 million for the surface component of its Capricorn Copper insurance claim. This increases aggregate insurance proceeds to date to $40 million.

Base Resources Ltd (ASX: BSE)

The Base Resources share price is up 110% to 22 cents. This has been driven by news that the minerals sands producer has entered into a binding scheme implementation deed (SID) with Energy Fuels. This will see Base Resources taken over in a deal worth 30.2 cents per share in scrip and cash. This values the company's total equity at approximately $375 million.

Qantas Airways Limited (ASX: QAN)

The Qantas Airways share price is up 3% to $5.79. This is despite Air New Zealand (ASX: AIZ) downgrading its full-year earnings guidance this morning. Qantas' rival warned that its "performance has seen ongoing softening, with challenging economic conditions and ongoing cost-of-living pressures." Though, with Air New Zealand shares rising on the news, it is possible that investors were pricing in even tougher trading conditions for airlines. This may explain why Qantas shares are rising today.

South32 Ltd (ASX: S32)

The South32 share price is up 6% to $3.38. This follows the release of the mining giant's third-quarter update. That update revealed that South32's production in FY 2024 is largely in line with expectations year to date. So much so, that the company remains on track to achieve almost all of its guidance for the financial year. The only disappointment was the Australia Manganese operation, which was impacted by Tropical Cyclone Megan last month. Its guidance has unsurprisingly been downgraded because of the disruption. Management advised that recovery plans are underway to enable a safe return to operations and ore exports.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. 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 Scott Phillips.

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