Following a key announcement from the company on Wednesday, the Defense Metals Corp (OTCMKTS:DFMTF) stock came into sharp focus and ended the day with gains of as much as 9%. Hence, it may be a good move from investors to actually take a closer look at the announcement and then make their minds up about the stock.
Market Action
On Wednesday, DFMTF stock gained 9% to $0.2287 with 217K shares, compared to its average volume of 88k shares. The stock moved within a range of $0.2100 – 0.2287 after opening trade at $0.2107.
Defense Metals Corp. Drills Longest High-Grade Intercept To Date 3.09% Total Rare Earth Oxide Over 251 Metres; Including 3.92% Over 80 Metres at Wicheeda
Yesterday the company announced the results in relation to the five diamond drilling holes which had been part of its 5349 metre and 29 holes diamond drilling programme. The programme had been undertaken in the fall of 2021.
The five diamond drilling holes for which the results were announced yesterday totalled 1079 metres in total. The results were fairly positive and that was possibly the reason behind the rally in the Defense Metals stock.
The President and Director of the company Luisa Moreno spoke about the development as well. She noted that the company was highly pleased to have announced the assay results from the aforementioned drilling programme. She went on to add that the drilling programme managed to unearth some of the widest and highest grade deposits as well. It remains to be seen if the stock can add to its gains today.
Key Quote
Luisa Moreno, President, and Director of Defense Metals stated: “We are extremely pleased to publish the last assay results for our 2021 Wicheeda REE Deposit drill campaign with some of the highest-grade and widest drill intercepts encountered to date on the Project. Our first hole of 2021 yielded 3.17% TREO over 196 metres within the untested northern zone (WI21-33). With the final holes released today we have WI21-59 collared 200 metres to the south besting that result with exceptionally REE high grades over a 250-metre interval.”
Traders Note
DFMTF stock is trading above the 50-Day and 200-Day Moving averages of $0.23 and $0.23 respectively. Moreover, the stock is trading is the oversold zone with RSI stands at 50.
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