ASX Resource IPOs for Investors to Watch in 2021

asx-resource-ipos-for-investors-to-watch-in-2021

people walking at the ASX

What ASX resource IPOs should investors know about this year? Here’s a look at the companies that will debut in 2021.

The resource space faced hurdles in 2020 on the back of the COVID-19 pandemic, but companies continued to move forward with developments, putting hopes on an economic rebound this year. 

Prices for commodities have been on an upward trend, particularly for base and precious metals, and the outlook for the Australian mining sector is bright.

In total, the Australian Securities Exchange (ASX) saw 113 initial public offerings (IPOs) last year — 27 of the new listings were included in the materials sector.

Looking at ASX, so far this year it has welcomed three resource companies: Australian Gold and Copper (ASX:AGC), Mamba Exploration (ASX:M24) and Torrens Mining (ASX:TRN).

The first company is focused on the Lachlan Fold Belt in New South Wales, while the second will initially put all its efforts on the Darling Range, Calyerup Creek, Ashburton and Kimberly projects; for its part, Torrens has all its efforts on the Elizabeth Creek copper project.

But what are the upcoming ASX resource IPOs that investors should keep an eye out for? Here the Investing News Network looks at the upcoming listings under the materials sector in 2021. Data was up to date as of January 26, 2021, with companies listed in alphabetical order.

1. Auric Mining

Proposed listing date: TBA

Auric Mining is a Western Australia-based gold explorer and developer. The company will hold interests in the Munda project and the Jeffreys Find project. These two flagship projects both have newly estimated mineral resources that Auric intends to expand and develop.

Auric is hoping to raise at least AU$6.5 million at an issue price of AU$0.25 per share for a total of 26 million shares.

2. Chaucer Energy

Proposed listing date: February 22, 2021

Chaucer Energy is focused on the development and execution of energy projects utilising the technology of in-situ gasification to produce gas suitable for conversion into low-emission electricity and other chemical products.

The company will initially focus on using stranded coal resources at a number of locations in Chile to develop commercial power-generation projects. Chaucer has already been granted mining exploration concessions over three potential project areas in the south of the country.

Chaucer Energy is aiming to raise at least AU$5.5 million at an issue price of AU$0.20 per share for a total of 27.5 million shares.

3. OzAurum Resources

Proposed listing date: February 5, 2021

OzAurum Resources is focused on exploring and developing two gold projects in Western Australia: Mulgabbie and Patricia. Both assets are located within the Norseman-Wiluna greenstone belt of the Eastern Goldfields region of the Yilgarn craton. The projects are located northeast of Kalgoorlie, and closely neighbour a number of existing mining operations and a gold processing plant.

OzAurum is hoping to raise at least AU$10 million at an issue price of AU$0.25 per share for a total of 40 million shares.

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Securities Disclosure: I, Priscila Barrera, hold no direct investment interest in any company mentioned in this article.

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