3 ASX-listed Resource Stocks Chalking Up Big Gains Amid Surging Commodity Prices

Summary

  • Commodity prices are hitting all-time high levels amid robust economic recovery.
  • The market has recorded an unexpected commodity demand surge after the ease in global lockdowns.
  • Many ASX-listed resource space players are cashing on the recent commodity price rally.

Commodity prices have soared to multi-year highs on the back of multiple factors such as vaccination programs and rebound in global growth.

Iron ore prices have risen to a level last seen in March 2008, currently hovering around US$197.00 per tonne. Copper futures surged to all-time-high levels on 7 May 2021 to trade at US$4.63 per pound on robust demand from Chinese investors.

Aluminium futures are trading nearly US$2,400 per tonne, the level last seen in April 2018. Moreover, the price of precious metal gold has crossed the US$1,800 per ounce mark for the first time. 

Source: © Kentoh | Megapixl.com

Must Read: Commodity Market at Multi-Year Highs, 10 Hot Stocks to look at

The overall rally can be attributed to an energetic vaccination program and strong economic recovery figures for leading economies, including the US and China.

This commodity rally has not heated up overnight; the ignition started at the beginning of 2021. An unexpected surge in the commodity demand after the ease in global lockdown, especially in China, has charged the commodity bulls.

Given this backdrop, let's have a look at three ASX-listed stocks from the resources sector that have delivered strong returns in the year-to-date period.

Data Source: ASX, as of 7 May 2021

Red Hill Iron Limited

Red Hill Iron Limited (ASX: RHI) is an Australia-based iron ore exploration company with its focus on the Hamersley Province of Western Australia. The company has three flagship projects in the Western Pilbara region.

Red Hill Iron Ore Joint Venture is the primary asset of the iron ore miner, in which the company holds a 40% interest. The company is also looking for options to commence production from its fully owned Pannawonica Iron Ore Project. It has executed an MoU with Onslow Marine Support Base Pty Ltd in the last quarter to figure out possible shipping solutions for the project.

RHI was trading at AUD 0.970 on 10 May 2021 (AEST 10:59 AM), up 1.041%.

Interesting Read: Will commodity supercycle keep Australian market higher?

Rex Minerals Limited

Copyright © 2021 Kalkine Media Pty Ltd

Rex Minerals Limited (ASX: RXM) is an ASX-listed copper and gold-focused exploration and production company, boasting projects in the first-class mining jurisdictions.

The company operates the Hillside Copper-Gold Project in the Yorke Peninsula of South Australia. Rex Minerals also holds shallow epithermal gold deposits in Nevada, United States, under the Hog Ranch Gold project. The company has unveiled an increase in the mineral resource at Hog Ranch to 202Moz.

RXM was trading at AUD 0.385 on 10 May 2021 (AEST 10:59 AM), up 6.944%.

Paladin Energy Limited

Paladin Energy Limited (ASX: PDN) is a uranium focused miner with production operations in Africa and exploration opportunities in Australia, Canada and Africa.

The miner has the Langer Heinrich Mine in Namibia. Paladin is among the leading uranium players of Australia, seeking to capitalise on the heating-up uranium demand amid a zero-emission electricity production target to reduce greenhouse emissions.

PDN was trading at AUD 0.540 on 10 May 2021 (AEST 10:59 AM), up 4.854%.

Good Read: Paladin Energy, Boss Energy, Deep Yellow: What is keeping these uranium shares higher?


Disclaimer
The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Pty Ltd (Kalkine Media, we or us), ACN 629 651 672 and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.
   
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK