Here's why the Tesoro (ASX:TSO) share price is flying 9% higher today

Shares in the mining company entered a trading halt today before being reinstated. Here are the details

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The Tesoro Resources Limited (ASX: TSO) share price is soaring 9% higher today. At the time of writing, shares are up 8.7% to 12.5 cents, having earlier seen gains of 13%.

After rallying in early trade, shares in the mining company entered a trading halt before being reinstated.

Here's why the company was in a trading halt and why investors are jumping on shares in Tesoro.

Man in overalls at mine cheering

Image source: Getty Images

Tesoro share price reinstated after temporary pause

Earlier today, Tesoro notified investors that shares in the company would be temporarily paused. The company cited a further announcement as reasoning for the pause in trading.

Shares in Tesoro were shortly reinstated after the company retracted and replaced a previous presentation.

The company told investors unclassified material in the previous investor presentation was not in accordance with guidelines. As a result, Tesoro retracted the statements from the previous presentation and provided a replacement presentation.

The announcement follows the company's managing director presenting a webinar on Tesoro's El Zorro Gold Project earlier today.

Overview of Tesoro

Tesoro is a mining exploration and development company with projects in the Coastal Cordillera region in Chile. The region hosts multiple copper and gold mines, with much of the area remaining unexplored due to the nature of mining concession ownership in Chile.

Via its in-country network, Tesoro has secured the rights to scale gold projects in the region, with the company holding the rights to 85% of the El Zorro Gold Project.

Snapshot of the Tesoro share price

The Tesoro share price has come under fire recently.

Despite rallying in today's trading session, shares in Tesoro are more than 58% lower since the start of the year.

Shares in the mining exploration company suffered a blow yesterday, tumbling by more than 30%.

The Tesoro share price was on the receiving end of hard selling after reporting its maiden Mineral Resource Estimate (MRE) for the Ternera Deposit at its El Zorro Gold Project.

The company reported an MRE of 25.1 million tonnes at 0.8 grams per tonne for 660,000 ounces of gold. Investors did not seem pleased with the result, sending the Tesoro share price tumbling.

As noted previously, shares in Tesoro are stronger today. At the time of writing shares in the mining explorer are 8.7% higher for the day at 12.5 cents, down from an intra-day high of 13 cents.

Motley Fool contributor Nikhil Gangaram has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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