The Siren Gold Ltd (ASX: SNG) share price is rocketing higher this morning, up 18%.
The ASX gold share minnow closed yesterday at 25 cents and is currently trading for 29 cents.
The 18% gain comes as the All Ordinaries Index (ASX: XAO) is up less than 0.2% at time of writing and the S&P/ASX All Ordinaries Gold Index (ASX: XGD) has dipped into the red, down 0.3%.
While gold prices remained steady overnight at US$1,998 per ounce, bullion has dipped from highs of over US$2,050 per ounce earlier this week.
So, what’s driving investor interest in the tiny ASX gold share?
What’s driving investor interest in the ASX gold share?
The Siren Gold share price is heading skywards after the company reported it has intersected “significant visible gold” in the deepest hole it’s drilled so far at its Alexander River project in New Zealand.
In continuing drilling at the McVicar West location within the project, Siren extended the shoot an additional 200 metres down plunge. That brings the total drilling to 500 metres below the historic McVicar mine, which the company said produced 41,000 ounce of gold at 26 grams per tonne.
The intercept in the drill hole returning visible gold was comprised of “2-3 metres of strong acicular arsenopyrite, followed by a 0.6 metre quartz vein with significant visible gold”.
The ASX gold share minnow could also be getting a boost from potentially promising results from other drill holes.
Among those the company reported, “At Bull East AX79 intersected 9 metres of strong acicular arsenopyrite mineralisation, extending the Bull East shoot to 400 metres down plunge.
Siren Gold share price snapshot
Despite today’s big boost, the Siren Gold share price remains down 8.1% in 2022. That compares to a year-to-date loss of 6.9% posted by the All Ords.
At the current share price, the ASX gold share minnow has a market cap of approximately $21 million.
The post Why is this ASX gold share minnow rocketing 15% today? appeared first on The Motley Fool Australia.
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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.
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