This mining stock has surged 650 per cent in 2024

Larvotto Resources is positioning itself as a leading player in the global antimony market following China’s recent ban on antimony exports to the United States.

This geopolitical shift has spurred significant investor interest as the company advances the Hillgrove project – Australia’s largest antimony deposit.

China’s dominance, producing 62 per cent of global antimony, has left Western markets scrambling for secure alternatives.

The country’s ban on antimony exports to the US comes after it first announced the imposition of antimony export controls in August. This sent Larvotto shares flying from $0.13 per share to $0.33 per share. In all, the company’s share price has surged 650 per cent in 2024.

And Larvotto’s stock could surge even higher.

“Larvotto is poised to become a significant Western-world antimony producer at a time of heightened awareness of the need for secure access to this unique metal,” Larvotto said.

The company last week announced a two-tranche placement to raise $30 million, comprising 57.7 million shares at $0.52 per share. This, along with the company securing $6.2 million through a prepayment facility and $8 million from option conversions, provides Larvotto with substantial capital to accelerate Hillgrove’s development.

The funds will support exploration, underground works, procurement of key equipment, and finalisation of the project’s definitive feasibility study.

“We are now funded to materially intensify our exploration activity at Hillgrove, this includes getting drill rigs underground to more effectively target our deeper inferred mineralisation to commence moving it into a higher resources category,” Larvotto managing director Ron Heeks said.

“The attractive economics of our pre-feasibility study are underpinned by a well-understood and high-grade antimony-gold reserve that can rapidly be increased from nearby mineralisation that is under drilled.

“The large amount of drilling planned over the next twelve months will provide a continual flow of results to support expansion of the reserve base.”

With antimony prices surging amid constrained supply chains, investors are flocking to Larvotto, betting on its ability to become a Western-world producer.

The first tranche of the $30 million placement is set to settle on December 12, with the second tranche following a January 2025 extraordinary general meeting (EGM).