Kaili Resources: This ASX rare earths miner jumped 8,700% on Monday and is linked to Ausmon Resources
Forget bitcoin, Kaili Resources just added 8,300% in a single session, although it has caught the attention of the ASX's compliance team.
Little known rare earths hopeful Kaili Resources (ASX: KLR) soared 8,733% or 88-fold on Monday to $3.18 per share to prompt a speeding ticket from the ASX and spark wild theories as to what's behind the surge.
In its response, Kaili's management team suggested the advance is likely down to the rare earths sector attracting investor interest after its August 15 announcement that it received regulatory approval to drill at three tenements in South Australia.
Kaili Resources has the same registered address and phone number as Ausmon Resources (ASX: AOA) on Sydney's Liverpool Street, with Ausmon Resources also suspended from trade today after it rocketed 150%.
Kaili had just $15,000 cash on hand as at June 30, although also reported it had a fully drawn loan facility of $4.6 million related to an investment company in Hong Kong.
Ausmon Resources describes itself as a precious metals exploration company that has tenements in New South Wales.
The shock moves have clearly attracted the interest of the compliance teams at the ASX and share market fans can expect this story to rumble on.
As at the time of writing Kaili's shares had dumped to $1.08 before being put in another trading halt.
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Tom covered markets as a Markets Reporter & Commentator at the Australian Financial Review for nearly five years. Prior to that he was the Managing Editor of The Motley Fool Australia leading a team of around 20 investment writers during a five-year period of massive online growth. Before that Tom worked in equities management at the Bank of New York Mellon in London and as a holder of professional investment qualification the Investment Management Certificate is eligible for membership of the CFA Society of the UK.
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Tom covered markets as a Markets Reporter & Commentator at the Australian Financial Review for nearly five years. Prior to that he was the Managing Editor of The Motley Fool Australia leading a team of around 20 investment writers during a...
Tom covered markets as a Markets Reporter & Commentator at the Australian Financial Review for nearly five years. Prior to that he was the Managing Editor of The Motley Fool Australia leading a team of around 20 investment writers during a...
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