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Horseshoe strikes it lucky with copper hit
An Aardvark RC rig at Horseshoe Lights. Picture: Jarrod Lucas/ The Kalgoorlie Miner.

Copper hopeful Horseshoe Metals has joined the ranks of junior explorers on share price runs over the past month, soaring 54.5 per cent yesterday after releasing new drilling results at its Murchison project.

The results at its Horseshoe Lights project - 75km west-north-west of Sandfire Resources' DeGrussa copper-gold mine - included intersections of 23m at 4.2 per cent copper, and as much as 8m at 8.6 per cent copper. More than 28 million Horseshoe shares changed hands as the stock soared as high as 33¢ before closing 9¢ higher at 25.5¢.

The run of positive results continued yesterday with Perth-based explorer Peel Mining jumping 180 per cent to 26¢ after releasing virgin drilling results at its Mallee Bull project, 100km south of Cobar in central NSW. Almost 18 million Peel shares changed hands after the company said massive sulphides had been intercepted during diamond drilling at the copper- polymetallic project.

The sudden investor interest in explorers was sparked by Sirius Resources late last month when it announced a nickel-copper find on the western fringes of the Nullarbor.

Sirius shares have soared from 5.7¢ before its discovery announcement and yesterday added a further 30¢ to $1.25, on trade of more than 10 million shares.

Sabre Resources, which jumped 260 per cent to 36¢ on Tuesday after striking copper at its Namibian project, closed at 32¢ yesterday.

Horseshoe managing director Neil Marston said he was pleasantly surprised to see some positivity return to the market.

"The last three months has been pretty terrible," Mr Marston said.

Since recording a price of 33¢ in early April, Horseshoe had been on a constant slide, dropping as low as 16¢ in mid-June.

Mr Marston said yesterday's drilling results vindicated what Horseshoe thought was in the area.

"The drilling program will run to Christmas time, and we tentatively think by early in the new year we'll have a new resource estimate completed," he said.

Mr Marston said Horseshoe's biggest shareholder, the Michael Fotios-run Investmet which has a 14.5 per cent stake, had exercised five million options at 27.5¢ in June, adding $1.4 million.

"We don't need to do a capital raising straight away, so I guess that's the positive thing, for the time being we're sufficiently funded to do what we need to do in the next stage," Mr Marston said.