ASX small cap miners are slowly recovering from a 15 percent decline during the December 2018 quarter.

In the month of March small cap mining stocks are up 0.33 percent and 3.87 percent in the first quarter of 2019.

Of a total of 204 companies – 35 companies gained 50 percent or more during the month of March.

As is usually the case, the best performers hit the jackpot with discoveries or clearing legal and financial hurdles.

The winners

Spectrum Metals (ASX: SPX) was the top performer in March after announcing several gold discoveries at its Penny West site in Western Australia.

The area had been previously known to contain gold but Spectrum have had stunning success in its drilling program in just the last month.

On March 5 SPX announced the discovery of a high grade zone with 23.3g per tonne of gold. This was followed up with a 35.2g/t discovery on March 20 and 105.2g/t on March 29.

The second biggest gainer was Verdant Minerals (ASX: VRM) that rose not because of a discovery, but because a London-based private equity firm moved to acquire them at double the then current price and the stock rose accordingly.

The third, Brazilian gold and copper miner BBX Minerals (ASX: BBX) announced it received permitting approvals from local environment and heritage authorities for its mining license applications.

Four other stocks doubled in March: Ausmex (ASX: AMG); China Magnesium (ASX: CMC); Nucoal (ASX: NCR); and Tamaska Oil and Gas (ASX: TMK).  Ausmex also announced high-grade gold discoveries but there was no company news out of the remaining stocks.

Nucoal’s gain may be attributed to the verdict of the Ian Macdonald case being overturned which had found their license had been granted corruptly. However, the verdict was overturned after the jury were misdirected as to the required state of mind required to find Macdonald guilty. The company noted they would ‘continue to follow the case with interest’.

 

Top 15 ASX small cap mining and energy stocks

Ticker Name Market Cap Price (1-Apr) Total Return March (%) Total Return YTD

(%)

Resource
SPX   SPECTRUM METALS LTD $       28,381,910.00 0.027 575 440 Gold
VRM   VERDANT MINERALS LTD $       33,112,844.00 0.03 114 100 Potash & Silica
BBX   BBX MINERALS LTD $    137,454,240.00 0.34 106 94 Gold
AMG   AUSMEX MINING GROUP LTD $       57,737,736.00 0.14 100 115 Diversified
CMC   CHINA MAGNESIUM CORP LTD $       18,497,542.00 0.04 100 43 Magnesium/Lithium
NCR   NUCOAL RESOURCES LTD $       21,521,148.00 0.028 100 211 Coal
TMK   TAMASKA OIL & GAS LTD $          3,920,000.00 0.002 100 0 Oil & Gas
NTU   NORTHERN MINERALS LTD $    127,969,752.00 0.079 98 41 Rare earths
AWV   ANOVA METALS LTD $       10,865,249.00 0.017 89 70 Gold
GBG   GINDALBIE METALS LTD $       38,990,564.00 0.026 86 53 Diversified
SRK   STRIKE RESOURCES LTD $       11,336,073.00 0.078 86 73 Diversified
WEL   WINCHESTER ENERGY LTD $       12,774,369.00 0.039 86 117 Oil & Gas
TIE   TIETTO MINERALS LTD $       43,555,780.00 0.19 81 192 Gold
BMT   BERKUT MINERALS LTD $          7,332,750.00 0.135 75 93 Cobalt
DHR   DARK HORSE RESOURCES LTD $          9,880,433.00 0.005 67 0 Gold/Lithium
HOR   HORSESHOE METALS LTD $          2,919,782.75 0.015 67 7 Copper/Gold
PKO   PEAKO LTD $          1,800,517.00 0.025 67 67 Diversified
LCK   LEIGH CREEK ENERGY LTD $    182,581,120.00 0.355 65 196 Oil and Gas
REY   REY RESOURCES LTD $       29,733,938.00 0.14 63 -44 Oil and Gas/Coal
FPL   FREMONT PETROLEUM CORP LTD $       20,688,400.00 0.013 63 160 Oil and Gas

 

Newcomers

2019 continues to be a quiet year for mining IPOs with just one new mining stock joining the ASX in March 2019.

Copper and gold miner, Canterbury Resources (ASX: CBY), debuted on March 7 – listing at 30 cents. It has since dropped by 8.3 percent and is sitting at  28 cents (at the time of writing).

April is shaping up to be a similarly quiet month, but there may be several IPOs in the months thereafter. Mont Royal Resources and Gold Tiger Resources are intending to list in May and there are several others in the queue without a firm date.

This content does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.