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Mining

Argonaut Resources’ leaping share price attracts ASX speeding ticket

Argonaut will soon start drilling an Olympic Dam style iron-oxide, copper, gold (IOCG) target.

Argonaut Resources NL (ASX:ARE) has attracted a speed and volume ticket from the ASX following an increase in its share price from a low of 1.7 cents on November 13, 2018 to an intra-day high of 2.4 cents today.

Responding to the price and volume query, the company mentioned BHP Billiton’s (ASX:BHP) announcement today revealing the potential identification of a new iron oxide, copper gold mineralised system in the Olympic IOCG Province.

Argonaut’s Lake Torrens tenements are in same Olympic IOCG Province, nearby to this discovery.

READ: Argonaut Resources green lights major drilling program at Torrens

The company previously reported that a major program of drilling at the Torrens anomaly to similar depths as BHP’s discovery drilling is imminent.

Argonaut believes that the announcement of BHP’s discovery in combination with near-term commencement of Argonaut’s drilling is likely to have influenced the prices and trading volumes of its shares.

READ: Argonaut Resources has market's attention with Olympic Dam style target

The Torrens Copper Project hosts a very large iron-oxide, copper, gold (IOCG).

The sheer size of the anomaly is impressive given it is larger than the nearby multi-billion-dollar Olympic Dam mine, one of the largest copper deposits in the world.

In the event of discovery, there is scope for a very large tonnage deposit and successive discoveries.

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