The PPK Group Limited (ASX: PPK) share price is falling today, subtracting yesterday’s strong gains of 6.46%. This comes despite the technology and mining equipment company announcing a supply and distribution agreement today.

At market close, PPK shares are down 3.93% to $13.45. In comparison, the All Ordinaries Index(ASX: XAO) is up 1.3% to 7,760 points.

PPK expands market presence

A possible catalyst for the decline in PPK shares is that investors are taking profit off the table.

In the release, PPK revealed that its 51% owned subsidiary, BNNT Technology has entered into a non-exclusive supply and distribution agreement with Filgen Inc.

Founded in 2004, Japan-based Filgen is a leading specialist in the sale of science research equipment in the biotechnology market. The company distributes nanomaterials in Japan and has an extensive network of international clients.

The deal will see BNNT Technology supply Filgen with its Boron Nitride Nanotubes (BNNT) for entry into new international markets. This is expected to reach research and development centres as well as industries using nano-materials in complex manufacturing.

The BNNT product is by BNNT Technology employing Deakin University’s patented technology. Both PPK and Deakin are joint venture partners in BNNT Technology, with the latter owning a 49% interest.

The agreement will last for a period of 12 months, which excludes marketing and the sale of BNNT in the lithium-sulphur batteries space. PPK’s 48% owned subsidiary, Li-S Energy has exclusivity over those rights.

PPK Group previously noted that the significant potential of BNNT, however, the material could only be produced in small quantities. BNNT Technology is continuingly scaling up production efforts, recently adding a second 4 furnace module production unit. In addition, the company will install 2 new larger 6 furnace module production units.

It is assumed that the total BNNT production capacity will increase from 2 kilograms per week to 8 kilograms per week. Just as little as 2 years ago, only 1 kilo of BNNT could be produced per year.

Management commentary

PPK executive chair, Robin Levison commented:

This is a landmark deal for BNNTTL, being its first distribution agreement with an international company.

As a major shareholder in BNNTTL, PPK is highly cognisant of the potential for this relationship to broaden awareness of BNNTTL’s unique high purity BNNT in international markets.

…There is potential to employ BNNT in a revolutionary manner as a component of multiple other commercial products beyond its existing applications in lithium-sulphur batteries, ballistic protection and metal alloys to name just a few of its current uses.

We expect partnering with Filgen will accelerate BNNTTL’s penetration into new industries.

PPK share price snapshot

The PPK share price has shot up over the last year, moving around 340% higher for shareholders. Year-to-date performance stands at a gain of around 130%. 

PPK has a market capitalisation of close to $1.2 billion, with just a tad over 89 million shares on issue.

The post PPK Group (ASX:PPK) share price tumbles despite distribution agreement appeared first on The Motley Fool Australia.

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• ARB (ASX:ARB) share price climbs 16% in 3 weeks to 52-week high
• Top broker names 2 ASX shares for retirees
• Why the Chalice Mining (ASX:CHN) share price is surging 6% on Tuesday

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.

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The ASX reporting season is looming and insiders of some top-performing companies are showing confidence by buying shares ahead of the release.

Insiders are lucky enough to be privy to the intricacies of a company’s operations on a daily basis. That’s why when insiders buy or sell shares, investors usually pay close attention. Any recent transactions are particularly interesting as we enter the August reporting season.

Here’s a look at three ASX shares that have seen insider purchases in the past month or so.

Insiders are buying these ASX shares

Jumbo Interactive Ltd (ASX: JIN)

Online lottery operator Jumbo released a change of directors’ interest notice in the middle of July. Based on the supplied information, CEO and founder Mike Veverka gobbled up 10.050 shares worth nearly $166,000.

The Jumbo share price has been ascending since the COVID-19 crash in 2020. On 24 June 2021, the company set a new 52-week high of $18.56.

With the company set to report on 26 August, Veverka might be anticipating a positive reaction to its latest results.

Rural Funds Group (ASX: RFF)

Agricultural-focused Real Estate Investment Trust Rural Funds Group reported a handful of change of directors’ interest notices towards the end of July. These included the Chairman of the board Guy Paynter, CEO David Bryant, and independent non-executive director Michael Carrol.

Between the three of them, more than 416,000 shares were purchased. In dollar terms, we’re looking at approximately $1.027 million worth of shares in this ASX-listed company. Perhaps management thinks there’s more gas in the tank despite the share price already gaining 26.5% in the past year.

Rural Funds Group is expected to report its full-year earnings on 23 August.  

Carsales.Com Ltd (ASX: CAR)

Last on the list is the online automotive classifieds company, Carsales. According to a change of directors’ interest notice, non-executive director David Wiadrowski purchased 2,191 shares for $42,289 on 18 June 2021.

Interestingly, things have been fairly quiet over at Carsales since it completed its US$624 million capital raise to acquire US-based Trader Interactive. However, the uneventfulness will soon end for this ASX share with its full-year results earmarked for release on 16 August.

The Carsales share price has rewarded investors with a 20% return over the past 12 months. As a result, the company now boasts a market capitalisation of $6.21 billion.

The post 3 ASX shares insiders are buying ahead of reporting season appeared first on The Motley Fool Australia.

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Motley Fool contributor Mitchell Lawler owns shares of Jumbo Interactive Limited. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Jumbo Interactive Limited. The Motley Fool Australia owns shares of and has recommended Jumbo Interactive Limited and RURALFUNDS STAPLED. The Motley Fool Australia has recommended carsales.com Limited. 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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The Bitcoin (CRYTPO: BTC) price is down 4% since this time yesterday, currently at US$38,173 (AU$51,585).

The world’s biggest crypto by market capitalisation managed to breach the psychologically important US$40,000 level again over the past 24 hours, trading as high as US$40,460. But it again failed to hold onto those gains.

Despite another slide, Bitcoin remains up 3% over the past week.

And crypto enthusiasts are eyeing potentially higher prices ahead, according to Simon Peters, market analyst and crypto expert at global online trading platform eToro.

Why these outflows could indicate improved sentiment

Peters notes that:

The crypto asset market is giving off bullish sentiment indicators at the moment. Bitcoin exchanges have seen massive outflows in balances, according to Glassnode, to the lowest levels since winter 2018.

So why are outflows a positive sign for Bitcoin?

“Such a move is usually seen as a bullish indicator as it shows investors are preferring to hold their BTC off exchange or invested elsewhere, rather than sit ready to be traded away,” says Peters.

If you’re unfamiliar with cryptos, you can think of exchanges as the debit and credit parts of your cash holdings. Those are ready to be used at any time. Pulling cryptos off exchanges is somewhat like taking your cash out of your bank account and storing it in a vault. It’s still there to be used, just not as readily.

Sounding a note of caution on Bitcoin’s price trajectory, however, Peters added:

The positive sentiment comes with a caveat, as crypto investors will be watching the progress of the bipartisan infrastructure bill passing through the US Congress at the moment. The bill currently has provision to tax crypto asset investment profits in the US to the tune of $28 billion.

Any move by the world’s biggest economy to slap a hefty tax on crypto profits could see a wave of selling before the law comes into effect.

How has Bitcoin performed this year compared to Ethereum?

Bitcoin was on a tear through the early months of 2021. It reached a record high of US$64,829 on 16 April. Though the token has lost 41% of its value since that peak, it remains up 31% year-to-date.

Ethereum (CRYTPO: ETH), the world’s second biggest crypto by market capitalisation, has also had a wild year. Ether hit its own all-time high of US$4,383 on 12 May. At the current price of US$2,477, Ether has lost 43% since that record high.

Year-to-date, however, Ether’s price gain of 243% still far outpaces Bitcoin.

The post How this global crypto exchange indicator is bullish for Bitcoin appeared first on The Motley Fool Australia.

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The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Bitcoin and Ethereum. 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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The ARB Corporation Limited (ASX: ARB) share price has been a winner on the charts over the last 3 weeks.

Whereas the S&P / ASX 200 Index (ASX: XJO) has posted a return of around 1% over the last week, ARB shares have climbed more than 7% into the green over that time. And that gain climbs to more than 16% over the last three weeks.

Here we cover the tailwinds behind ARB shares in the last few weeks.

Quick recap on ARB Corp

ARB is the largest manufacturer of four-wheel-drive accessories in Australia. Although it has a strong local presence, ARB also exports its products into more than 100 markets across the globe.

At the time of writing, ARB has a market capitalisation of $3.9 billion.

What’s been driving the ARB share price?

ARB last updated the market on 14 July, when it released its unaudited sales results for the year ended 30 June 2021.

The company advised it had recognised unaudited revenue of $623 million for FY21, signifying an approximate 40% year-on-year growth schedule.

According to the release, this carried through the income statement to record unaudited profit before tax “within the range of $145 million to $150 million”.

Both of these estimates came in well above the consensus of analyst expectations at 21% revenue growth and net profit of $94.4 million. The ARB share price soared on the news.

Moreover, the company expects to release its audited final results for FY21 on 17 August.

Positive sentiment

ARB says it “maintains a positive short-term outlook based on its consistently strong customer order book”, in line with results this year.

In addition to outperformance at the company level, analyst sentiment is positive around ARB shares.

For instance, Celeste Funds Management is bullish on the ARB share price. It says the Australian four-wheel-drive sales remain strong and the outlook appears positive, amid a myriad of other factors.

Eric Nguyen, analyst at Celeste, was quoted as saying: “ARB has an articulated product and partner strategy to significantly grow sales and earnings over the next 5-plus years.”

Nguyen also believes ARB shares continue to “offer compelling value” when examining underlying earnings over the next 5 to 10 years.

ARB share price snapshot

The ARB share price has posted a year-to-date return of 54%, extending the previous 12 month’s return of 142%.

Both of these returns have outpaced the broad index’s return of around 26% over the past year.

At today’s close, ARB shares were swapping hands for $47.78 apiece, up 0.08% on the previous closing price.

The post ARB (ASX:ARB) share price rides 16% higher in 3 weeks to 52-week high appeared first on The Motley Fool Australia.

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The author Zach Bristow has no positions 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 recommended ARB Corporation Limited. 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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One of the best ways to set yourself up for a comfortable retirement is by having a passive income stream that is both reliable and has the potential to grow over time.

Investing in companies that share their profits through dividend payments is up there as one of the most efficient ways of achieving this.

But which ASX shares could you buy for a retirement portfolio? Two highly rated shares to consider are listed below:

Adairs Ltd (ASX: ADH)

The first option to consider for a retirement portfolio is Adairs. It is a leading retailer of homewares and home furnishings in the ANZ market. As well as having a network of stores across Australia, it also has a strong presence online through its Adairs and Mocka brands.

Trading conditions have been very positive for the company this year. This is being driven by its strong market position, the housing market boom, and a redirection in consumer spending.

And while FY 2022 will be tough due to the company cycling heightened sales this year, Goldman Sachs is expecting a return to solid growth in FY 2023. It is also forecasting fully franked dividend yields above 6% between FY 2021 and FY 2023.

Goldman Sachs currently has a buy rating and $4.80 price target on its shares. This compares to the latest Adairs share price of $4.29.

Coles Group Ltd (ASX: COL)

Another option to consider for a retirement portfolio is this supermarket giant. Coles could be a top option due to its solid long term growth prospects, generous dividend policy, and defensive qualities.

The latter qualities have been on display for all to see over the last 18 months. This has underpinned very strong sales and earnings growth during the pandemic.

And while its growth will moderate now as it cycles elevated sales from the prior period, for the reasons mentioned above, Coles remains well-positioned over the long term. This should be supported by its focus on automation, which is expected to reduce costs notably and help grow its online business.

Goldman Sachs is also very positive on Coles. It currently has a buy rating and $20.70 price target on its shares. This compares to the latest Coles share price of $17.92.

The post Top broker names 2 ASX shares for retirees appeared first on The Motley Fool Australia.

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• Is the Coles (ASX:COL) share price a buy?

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has recommended ADAIRS FPO. The Motley Fool Australia owns shares of and has recommended ADAIRS FPO and COLESGROUP DEF SET. 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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It was a flat open for the Chalice Mining Ltd (ASX: CHN) share price on Tuesday, up just 0.42% to $7.19 at the morning bell.

However, buying activity has picked up momentum, with shares in the exploration company currently trading 6.77% higher at $7.65.

What’s been driving the Chalice Mining share price?

Another high grade discovery

On Monday, Chalice announced its 12th high-grade zone from step-out drilling discovery at its Julimar Nickel-Copper-Platinum Group Element (PGE) project.

Chalice has been undergoing an extensive drilling program at Julimar since March 2020, where significant headway has been made in growing its PGE resource.

The company believes a maiden mineral resource estimate is on track for completion in Q4 2021.

The Chalice Mining share price opened 3.16% higher to $7.52 on the morning of the announcement but struggled to hold onto gains, closing 1.51% lower at $7.16.

Julimar – “a remarkable new discovery”

Chalice released its Diggers and Dealers Mining Forum 2021 presentation on Tuesday, bringing to our attention the “globally significant discovery” that is Julimar.

The presentation describes the project with multiple prospects including high grade nickel, copper, platinum, cobalt and gold.

Chalice believes its significant discoveries can position the company as an emerging “world-class, strategic deposit of critical, ‘green metals’ in a world-class jurisdiction” that is “highly leveraged to battery and hydrogen technology adoption”.

Many ASX shares in the resources sector have benefited from the tailwinds behind the renewable sector including major economies making firm commitments to target net-zero emissions and the rise in electric vehicles.

This has witnessed triple digit returns for ASX 200 lithium heavyweights including Pilbara Minerals Ltd (ASX: PLS) and Galaxy Resources Limited (ASX: GXY).

Large mining giants BHP Group Ltd (ASX: BHP), Rio Tinto Limited (ASX: RIO) and Fortescue Metals Group Limited (ASX: FMG) have also opted for different paths to supply materials such as lithium, green hydrogen and potash to address the issue of climate change and decarbonisation.

The post Why the Chalice Mining (ASX:CHN) share price is surging 6% on Tuesday appeared first on The Motley Fool Australia.

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Motley Fool contributor Kerry Sun 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.

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The Crown Resorts Ltd (ASX: CWN) share price is gaining on the back of news Crown’s chair Helen Coonan plans to step down by the end of the month.

Counsel for Crown Michael Borsky broke the news to the Royal Commission into Crown’s suitability to hold to Melbourne’s casino licence.

It followed an announcement from Crown that the CEO of its Melbourne casino will be leaving his role on 20 August.

Right now, the Crown share price is $9.08, 1.68% higher than its previous close.

Let’s take a closer look at the latest news of Crown.

Coonan on the way out

The final day of the Victorian Royal Commission has been a big one for the Crown share price.

Crown’s closing submissions included news Crown’s chair plans to step down from her role.

Borsky stated Coonan plans to leave the company as soon as a suitable replacement is found. He said:

[Coonan] will announce her retirement as interim executive chair on all Crown boards as soon as Crown has appointed a new leader… Crown’s expectation is that a new leader will be appointed by the 31^st of August this year.

He also said that Crown doesn’t agree with counsel assisting the commission Adrian Finanzio’s views of Coonan’s suitability for her role. Borsky said:

Crown accepts that, as current leaders of Crown… their conduct has some relevance to your assessment of Crown’s suitability… No conduct by Ms Coonan has been identified by counsel assisting that reflects adversely on her character, honesty, or integrity.

Last month, Finanzio told the commission Coonan wasn’t the right person to conduct the reforms needed for Crown to be deemed suitable to run the Melbourne casino. The Crown share price fell 2.6% following Finanzio’s comments. He said:

Ms Coonan… cannot be the critical face of the change required at Crownif it is to remain the licensee… If Crown is to retain its licence, it would be open to the commissioner to make a finding that Ms Coonan is not a suitable associate of Crown Melbourne.

Crown share price snapshot

Today’s gains haven’t been enough to get the Crown share price back in the green.

Right now, the Crown share price is 5.45% lower than it was at the start of 2021. However, it is 4.4% higher than it was this time last year.

The post Crown (ASX:CWN) share price gains as Coonan plans to step down appeared first on The Motley Fool Australia.

More reading

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• Crown (ASX:CWN) share price slumps amid accusations against chair

Motley Fool contributor Brooke Cooper 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.

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Recently, I’ve been looking at shares that Goldman Sachs has tipped to surprise during earnings season. You can read about the first two shares here.

Continuing with that theme, listed below are two more ASX 200 shares the broker believes could positively surprise this month. Here’s what the broker is expecting:

Healius Ltd (ASX: HLS)

According to the note, Goldman Sachs believes this healthcare company could be a stronger than expected performer in FY 2021. It notes that, in hindsight, the consensus view that Australian COVID testing volumes would steadily fall through FY 2021 was far too conservative. In fact, testing volumes remained steady through most of the period despite little virus, before spiking in June.

Goldman expects this to underpin above consensus earnings growth in FY 2021. It commented: “We estimate an incremental EBITDA contribution of c.60% per test and, whilst the market does not want to over-capitalize these tailwinds, it is increasingly clear that Covid-testing will remain a meaningful component of pathology test mix for years to come and, in the near term, likely drives earnings above current consensus expectations (we forecast +5%/+6% above FY21/FY22E Visible Alpha EBITDA respectively).”

The broker also notes that Healius has balance sheet optionality following the sale of Medical Centres, its corporate restructure, and strong earnings from COVID testing. It suspects that there could be further updates on buybacks or M&A activity.

Goldman has a buy rating and $5.00 price target on Healius shares.

Super Retail Group Ltd (ASX: SUL)

Another company that Goldman Sachs believes could outperform expectations in FY 2021 is Super Retail. It notes that the retail group behind the BCF, Macpac, Rebel, and SuperCheap Auto brands is a major beneficiary of the international travel restrictions.

This is particularly the case for its SuperCheap Auto and outdoor businesses, which the broker believes will deliver above consensus earnings in FY 2021. This is expected to be driven by strong trading momentum and margin expansion. Pleasingly, its analysts expect this momentum to continue and underpin the strengthening of the company’s balance sheet.

Goldman commented: “Amongst the key discretionary categories, we view Super Retail’s trading momentum to persist for longer given its favorable category exposure towards domestic reopening, although the current lockdowns are expected to be a temporary setback to the same. Importantly, over the longer term, we view SUL’s balance sheet strength as an opportunity to permanently pivot away from higher leverage that the group has tended to maintain in the past, invest in efficiency improvement projects and omni-channel capabilities or offer capital return to the shareholders.”

The broker currently has a buy rating and $15.00 price target on Super Retail’s shares.

The post 2 more ASX 200 shares tipped to positively surprise during reporting season appeared first on The Motley Fool Australia.

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Motley Fool contributor James Mickleboro 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 owns shares of and has recommended Super Retail Group Limited. 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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The Australian dollar jumped as the Reserve Bank of Australia (RBA) stuck to its bond taper plan despite the ongoing COVID-19 lockdowns.

The RBA held interest rates at a record low 0.1% today and reaffirmed it will cut purchases of government bonds to $4 billion a week in early September from the current rate of $5 billion.

The Australian dollar to US74 cents from US73.7 cents on the news. This is because the market was expecting our central bankers to stick to the bigger bond buying program for longer due to the economic impact of the lockdowns.

QE taper lifts the Aussie but not ASX shares

Bond buying, or Quantitative Easing (QE), by the central bank stimulates our economy but puts pressure on the Australian dollar. The curtailing of the program from next month is supporting the Aussie this afternoon.

By the same token, the S&P/ASX 200 Index (Index:^AXJO) lost ground after the RBA issued its decision. ASX shares and other risk assets thrive on high levels of monetary stimulus.

But the RBA’s confidence should help calm investor nerves about weakening growth rates.

RBA interest rate decision unaffected by looming economic contraction

Queensland has joined our most populous state, New South Wales, in imposing harsh restrictions on movement due to rising cases of the more contagious delta-variant of the virus.

Australia’s economy will almost surely contract in the September quarter, but the RBA is unfazed.

This is despite the fact that our monetary gurus have upgraded their inflation expectations. It even went a step further to flag the risk that their jobs forecast is wrong.

Inflation ticking up

“In underlying terms, inflation is expected to be 1¾ per cent over 2022 and 2¼ per cent over 2023,” said RBA Governor Philip Lowe.

“One source of uncertainty is the behaviour of wages and prices at the low levels of forecast unemployment, including because it is some decades since Australia has sustained an unemployment rate around 4 per cent.”

It was only last month that the RBA’s central case was inflation to hit 2% in 2023. Still, the RBA thinks inflation won’t sustainably return to its target band of between 2% to 3% until 2024.

Inflation risk vs. growth risk

Inflation has been a bigger source of uncertainty than the COVID lockdowns. Global bond prices have fluctuated wildly as inflation fears played tug-of-war with growth concerns due to delta.

But the RBA is striking an optimistic tone. It pointed out that Australia’s economic recovery is stronger than expected – notwithstanding the rolling lockdowns.

“The experience to date has been that once virus outbreaks are contained, the economy bounces back quickly,” said Dr Lowe.

“Prior to the current virus outbreaks, the Australian economy had considerable momentum and it is still expected to grow strongly again next year.”

RBA taking glass-half-full view

The central bank believes Australia’s gross domestic product (GDP) will grow by a little over 4% in 2022 and 2.5% the year after.

The RBA also pointed to the fast-rising residential property market. This is probably another reason why it wanted to taper its bond program in September.

Its optimistic view on the economy is predicated on Australia hitting its vaccine target. This target of around 80% is essential to permanently end the rolling lockdowns that everyone has grown tired of.

Let’s hope the RBA is right!

The post What you need to know about the RBA’s interest rate decision today appeared first on The Motley Fool Australia.

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Motley Fool contributor Brendon Lau 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.

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The Aeris Resources Ltd (ASX: AIS) share price is rocketing higher today, up by 16.67% in afternoon trade.

At the current 24.5 cents, Aeris Resources shares are now trading at 8-year highs. In fact, you’d need to dig back to April 2013 to find the ASX resource explorer trading above today’s levels.

Below we take a look at the series of announcements made today, which appear to be driving investor interest.

What’s driving the Aeris Resources share price?

Aeris Resources shares are soaring after emerging from a brief pause in trading pending a raft of market announcements.

Among those announcements, the company reported on the life-of-mine extension projects at its 100% owned Tritton copper operations in New South Wales.

The projects are slated to kick off in the 2022 financial year. Aeris will spend $50 million over the year to develop 3 new production sources.

Additonally, the company announced a $15 million exploration program for Tritton. It noted “there’s more copper to be found” at the site.

Commenting on the plan, Aeris’ executive chairman Andre Labuschagne said:

Apart from the Tritton and Murrawombie underground mines, we have an extensive pipeline of advanced projects, which we are now able to invest in to extend the mine life.

FY22 will see us develop three new production sources and undertake in-fill resource drilling programs on a further three projects, including the high grade Constellation and Kurrajong deposits.

The Aeris Resources share price has also received a lift as copper prices have been trending higher over the past year.

“The fundamentals for copper into the coming years look very positive as the decarbonisation of the world accelerates,” Labuschagne said. He added that Aeris is in a good position to “leverage value from the looming copper supply deficit”.

In a separate announcement, Aeris updated the market on exploration activities at the Constellation deposit, located within the Tritton tenement.

Commenting on the reverse circulation (RC) drilling results to date, Labuschagne said:

The supergene mineralisation, in particular, is showing very high copper grades. The relative proximity of this mineralisation to the surface means it can be accessed early on in any future development of the Constellation deposit.

Increased gold estimates

The company also reported an increase in its ore reserves and mineral resources at its 100% owned Cracow gold operations in Queensland. This news could also be impacting the Aeris Resources share price. The company said the increase was due to multiple life extension projects carried out at the site.

It reported its 2-year gold production guidance as 67,000–71,000 ounces in FY22 and 60,000-65,000 ounces in FY23. Aeris upgraded its exploration budget over its first 2 years of ownership of the mine to $19 million, up from $13 million.

According to Labuschagne:

As a result of the extensive geological re-interpretation work undertaken in FY21, we remain convinced that the Cracow tenement package remains highly prospective for discovery of more gold.

Aeris Resources share price snapshot

Over the past 12 months Aeris Resources shares have soared a stunning 512%. This compares to a gain of 28% posted by the All Ordinaries Index (ASX: XAO).

Year-to-date the Aeris Resources share price has continued to outperform, up 120% in 2021.

The post Why the Aeris Resources (ASX:AIS) share price is soaring 16% to 8-year highs appeared first on The Motley Fool Australia.

More reading

• Why the Aeris (ASX:AIS) share price is nearing its multi-year high today
• Aeris Resources (ASX:AIS) share price slides on exploration update
• Why the Aeris (ASX:AIS) share price is jumping 10%

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. Bernd Struben 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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