Here’s why the Podium (ASX: POD) share price is up 5% on Tuesday
Image source: Getty Images
The Podium Minerals Ltd. The stock price (ASX: POD) is gaining ground on Tuesday, currently trading around 5% higher at 31 cents each.
Podium Minerals shares are on the move as the company released a series of price sensitive updates to the market today.
Let’s go directly to the analysis of each.
What was announced?
Podium today released 4 price sensitive announcements that the market needs to digest. The first refers to a stock purchase plan (SPP) that the company offers to its shareholders.
Under the RPD, eligible shareholders can acquire up to $ 30,000 of Podium shares without paying brokerage fees, commissions or transaction fees.
The offer supports the company’s recently completed $ 4.5 million offering to sophisticated investors at 29 cents a share.
Participants in the SPP will also have the right to purchase shares of Podium Minerals at 29 cents per share, which represents a 6.5% discount from its current market price. It closes on November 8.
The company hopes to raise an additional $ 2 million through the SPP, which will go directly into its Parks Reef PGM project, in addition to strengthening its working capital.
Regarding the Parks Reef project, Podium released another update regarding it as well today. The statement said diamond drilling should begin at the site, to test more than 500m below the surface.
Two first 750 m âdiamond drill holesâ will be drilled to test the continuity of the mineralization identified on the site.
The drilling will take approximately 4 to 6 weeks and will test the reef approximately 520 m below the surface. Next, Podium intends to drill a third hole to âtarget the central areaâ.
These depths that Podium intends to drill “are more than double the depth of any previous drilling done at Parks Reef.”
It follows recent drilling programs where Podium intersected areas of high grade platinum and palladium, as well as traces of rhodium and iridium.
What else has Podium published?
Finally, Podium also released two investor presentations today. One of them covers the entire company and all of its operations, its capital structure, its risks and details mining studies and drilling results.
While the other is a specific presentation at the âCanaccord Genuity South-West Connect ASX Showcaseâ scheduled for October 27-28.
The latter appears to be a more consolidated version of the full presentation and contains several slides on the Parks Reef site and other strategic sourcing opportunities.
Investors appear to be picking up on the wave of updates from the resource firm’s camp today and have pushed the Podium Minerals stock price up to 90% of its 4-week average.
Podium Minerals Share Price Snapshot
The Podium Minerals share price has gained 210% this year to date, but is down about 30% last month.
Still, it climbed 138.5% in the past 12 months, well before the S & P / ASX 200 Index (ASX: XJO) by around 21% at the same time.