Why Axiom Mining Ltd Shares Jumped 16.67% Today

At the time of writing, shares of Axiom Mining Ltd [ASX:AVQ] are up by 16.67%, to 1.4 cents per share.

Why did Axiom Mining Ltd shares do this?

The company announced that Axiom KB Limited (Axiom’s subsidiary) was granted a mining lease over the San Jorge nickel deposit, part of the world-class Isabel Nickel Project, by the Solomon Islands government. The mining lease allows the company to extract, export and sell nickel ore and other associated commodities for 25 years.

What now for Axiom Mining Ltd?

It’s been a long-time coming for the company, mind you. I frequently supported this company in my previous investment newsletter, Resource Speculator at Port Phillip Publishing. But it proves that patience favours the brave!

The Isabel Nickel Project is made up of both the Kolosori deposit (on Santa Isabel Island and under application as discussed above) and the San Jorge deposit (on San Jorge Island and owned by the company). Both of these islands make up Isabel Province of the Solomon Islands.

This image portrays the project below:

Axiom Mining

Source: Axiom Mining

Isabel boasts 159 million tonnes of ore, grading 1.25% of nickel. That’s equivalent to 1.908 million tonnes of nickel concentrate — five times the size of Nova. The ore is shallow and merely needs to be dug up with a dozer and shipped. There’s no need for a massive deep-mine construction, saving hundreds of millions of dollars in capital costs.

The bottom line: Isabel is a world-class project and I believe it could prove lucrative for shareholders in the medium to long term. But, the company now needs funds to develop the San Jorge deposit. Axiom Mining is working on a funding facility which should be announced in the coming weeks. If the funding arrangement looks attractive for shareholders, the share price could potentially explode higher.

Jason Stevenson,
Resources Analyst, Markets & Money

PS: Interested in mining stocks? My free new investor report, ‘The Top 10 Mining Stocks for 2018’, does exactly what it says in the name. I look at 10 companies that I believe could potentially make you huge money this year, and beyond. To download that report free, go here.


Jason Stevenson is Markets & Money’s resource analyst. He shares over a decade’s worth of investing and trading experience across resource stocks and commodity futures and options. He originally studied accounting and finance at Curtin University, where he was awarded a first-class honours degree. His professional background stems across high-net-worth, top tier accounting (corporate finance, tax and auditing), and sell-side equities research. Before joining the team at Markets and Money, Jason worked at boutique firms which advised fund managers and high-net-worth clients on where to invest. Whether it’s gold, crude oil, copper or an obscure metal like vanadium, you can rely on an in-depth analysis in Markets and Money. Jason also brings you extensive macro, political and geopolitical analysis from around the world. He leaves no stone unturned when it comes to telling the truth. Jason is also the lead analyst of Gold Stock Trader, a premium service for investors serious about precious metal stocks. Websites and financial e-letters Jason writes for:


Leave a Reply

Your email address will not be published. Required fields are marked *

Markets & Money