Here’s why the Pensana Metals (ASX:PM8) share price, up 761% in 2020, edged higher today

The Pensana Metals share price has gained a stellar 756% in 2020, and edged higher today on this exploration update.
The post Here’s why the Pensana Metals (ASX:PM8) share price, up 761% in 2020, edged higher today appeared first on Motley Fool Australia. –

nickel share price represented by golden dollar sign rocketing out from white domes

Rare earth minerals explorer and mine developer Pensana Metals Ltd‘s (ASX: PM8) share price gained 1.6% today to close at $1.55 per share. This comes following the company’s update this morning on exploration activities at its new Coola Project in Angola.

Today’s 1.6% gains are roughly double the performance of the All Ordinaries Index (ASX: XAO), which closed up 0.8% for the day. But the Pensana Metal’s share price has done far more than return double the index’s gains in 2020.

Year-to-date the company’s share price is up a staggering 761%. And those gains come despite shares falling by 48% from 24 February through to 24 March during the COVID-inspired market selloff.

In case you’re wondering, if you’d picked up some shares on 24 February, today you’d be sitting on gains of 1,192%.

What did Pensana announce to keep its share price moving higher?

This morning Pensana announced that it had commenced initial field tests at its new Coola Project – 16 kilometres north of its advanced stage Longonjo Project.

The company is testing defined prospective targets for a range of heavy rare earths, light rare earths, scandium, niobium, tantalum, hafnium and fluorspar. (Don’t worry, I had to look a few of those up myself!)

The European Commission has listed these commodities as critical. And Pensana believes Coola will complement the future production of magnet metal raw materials from Longonjo.

The first assay results from early reconnaissance work confirm rare earth mineralisation in rocks and soils top 2.99% rare earth oxides.

The company also reported locating outcropping fluorspar mineralisation, stating this is of direct interest as well as being a positive sign for the presence of additional technology metals.

What Pensana’s Chief Operating Officer said

Commenting on the updated results, Dave Hammond, Pensana’s Chief Operating Officer said:

The early reconnaissance sampling results are a great start in already confirming the Coola complex as a fertile mineralised system… Systematic sampling of the 6 kilometre by 2.5 kilometre complex has now been completed and samples despatched for assay.

Exploration programs are currently in progress over 2 other prospective alkaline-carbonatite geological systems together with stream sediment sampling and geological reconnaissance of key geophysical anomalies.

We look forward to reporting further results from this exciting new exploration region on Longonjo’s doorstep.

With 2020’s share price gains of 761% in mind, Hammond surely isn’t the only one looking forward to the next set of results.

Man who said buy Kogan shares at $3.63 says buy these 3 ASX stocks now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

In this FREE STOCK REPORT, Scott just revealed what he believes are the 3 ASX stocks for the post COVID world that investors should buy right now while they still can. These stocks are trading at dirt-cheap prices and Scott thinks these could really go gangbusters as we move into ‘the new normal’.

Find out the names of our 3 Post COVID Stocks – For FREE!

*Returns as of 6/8/2020

More reading

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The post Here’s why the Pensana Metals (ASX:PM8) share price, up 761% in 2020, edged higher today appeared first on Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;

To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.

An active and funded account with a positive trading balance is required to continue to have access to the tools;

Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;

Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!