Caspian Holdings, the oil and metals explorer, headed north on news of quick progress at its tungsten mining site in the Extremadura region of southwest Spain.
Caspian claims the La Parrilla project contains "one of the largest tungsten deposits in the western world".
Over the last three years the price of tungsten has more than doubled.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The company has now begun a 1,500 metre drilling campaign to assess the mine. During the four month programme a total of 5 holes will be drilled targeting higher grade intersections at the edge of the ore body.
As well as the deposits available from the mine itself, Caspian also has access to 2.5 million tons of "tailings" or residue from previous mining activity. It expects to extract tungsten from those tailings within the next 18 months.
Over the past year Caspian shares have dropped 38%, but rose by 0.02p on the tungsten mine update to 0.3p.
BS
-
FTSE 100 hits record highs – why is it rising and will we see more gains?Advice UK equities have been described as unloved for a long time but as the FTSE 100 hits new highs, we explain if now is the time to buy British.
-
How to invest in copperIt may be time to invest in copper as the red metal appears poised for a big jump. Dominic Frisby looks at what should investors should buy
