This mineral explorer is soaring to multi-year highs after announcing positive drill results.
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The Conico Ltd (ASX: CNJ) share price is one of the best ASX performers today. This comes after the mineral exploration company announced preliminary results from its first-ever drill-hole at the Ryberg Project.
Conico shares were up 67.5% at the close, trading at 5.7 cents, after earlier exploding 97.06% higher to reach a record-breaking high of 7 cents.
Quick take on the Ryberg Project
Located on the east coast of Greenland, the Ryberg Project is 100% owned and operated by Conico’s wholly-owned subsidiary, Longland. The latter holds licences that cover an area of 4,500 square kilometres.
According to the company, the Ryberg Project is considered an under-explored mineral province with a “significant amount of magmatism” within the Kangerlussuaq Basin. Geochemical analysis has identified samples rich in copper, palladium, gold, nickel, cobalt and platinum.
What did Conico announce?
The company reported that significant sulphide mineralisation had been detected from drill-hole MIDD001.
According to the release, Longland encountered a sequence of metamorphic rocks that contains zones of strong sulphide mineralisation. This is between a depth of 117 metres to 124 metres over a 4.5-metre-wide drill hole.
While the results are exciting, it’s worth noting that the samples have not been sent for laboratory analysis yet. Conico advised that the preliminary findings came from an observation by a qualified and experienced geologist.
A second drill-hole (MIDD002) is nearing completion, and rigs have been established on holes MIDD003 and MIDD004. All holes target the Miki Prospect, but the company has scheduled one rig to mobilise to the Sortekap Prospect later in the season.
In addition to the drilling, Longland is conducting a regional 200m line-spaced heliborne magnetic survey.
Longland CEO Thomas Abraham-James thanked Conico shareholders and directors for “putting their faith in Longland Resources” when they acquired the company last year.
We are a greenfields exploration company in a location far from Australia. They saw what I did in the potential of our Greenland assets. I take tremendous satisfaction in the first ever drill-hole to occur at Ryberg encountering significant sulphide mineralisation.
About the Conico share price
In the past 12 months, Conico shares have lifted more than 570%, with year-to-date up 110%. The company’s share price reached a multi-year high of 7 cents today.
Conico commands a market capitalisation of roughly $55.9 million, with approximately 916 million shares on issue.
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Motley Fool contributor Aaron Teboneras 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 Bruce Jackson.