Mustang set to start to start bulk sampling

Published at Sep 19, 2016, in Small Caps

It is about a month since Mustang Resources (ASX: MUS) announced that the company had located a secondary ruby deposit at its Montepuez project, an event that resulted in its shares surging more than 10%.

This was a significant development as the group is only at the early stages of exploring the highly prospective ruby project located in Mozambique. Importantly, projects being operated by Gemfields plc immediately adjacent to MUS’s tenements have yielded robust volumes of high-quality rubies, a gem that has achieved superior price growth to diamonds in recent years.

However, in what could represent a buying opportunity, the company’s shares have trailed off in recent weeks, trading slightly below where they were prior to the announcement of a secondary deposit.

It should be noted that previous trading patterns are not an indication of future share price movements, and as such shouldn’t be used as a basis for investment. Investors should seek professional financial advice.

Management announced on Monday morning that construction of a bulk sampling plant at the Montepuez project was well advanced and that the bulk sampling pit was open with gravel being stockpiled for wet commissioning within the next fortnight.

Consequently, the company is likely to unveil results of gravel currently stockpiled in the near term, potentially providing share price momentum.

Initially management will be focused on demonstrating the grade of ruby mineralisation over a representative sample size, enabling it to recover sufficient rubies to form a marketable parcel, providing an indication of the quality of rubies within the license area.

Early stage exploration will be centred on areas that have already yielded rubies with a view to expanding the pit area and undertaking further drilling.

View Our Investment Portfolios

S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.

Conflict of Interest Notice

S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.

Publishers Notice

The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.

Australian ASX Small Cap stocks | Why is Australia’s leading small cap publication

Founded seven years ago, is Australia’s leading and longest standing website for investor and finance news, education and expert opinion.

Published by StocksDigital, Finfeed was created to report daily on the comings and goings of ASX listed stocks in the small cap market.

As the first digital publication dedicated specifically to this space, Finfeed soon became the most trusted publication in the market, quickly garnering over two million page views – a number that continues to rise. provides its readers with informative articles that tackle the latest in market moving #ASX small cap news, plus exclusive content you won’t find anywhere else. It is aimed at those with an interest in investing, market education, company performance, start-ups and much more. is the only media organisation operating under the strength of a Financial Services License and is backed by leading journalists and analysts all with brands of their own.

The website aims to inform, educate and entertain with content that drills down into the heart of financial matters.

Finfeed is a leading source of investor and market information, with everything investors need to know about how to invest written in a way that anyone can understand. 

Over the years, the website has expanded beyond exclusively reporting on small caps, to profile Australia’s leading ASX listed small, mid and large caps as well as some of the country’s most successful CEOs and business leaders to find out what makes them tick.

Every day you will find fresh content covering:

Fast Facts

Over 4,000 articles published

Over 2.3 Million Page Views and counting

Over 10,000 followers on social media

Subscriber list growing by 2% monthly

Thanks for subscribing!