Guess which ASX gold share rocketed 150% today on a 'significant nugget discovery'

The high purity gold nuggets discovered were said to provide evidence of a nearby primary source, clearly piquing ASX investor interest.

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Key points
  • The Iceni Gold share price is up 111% after earlier blasting 150% higher
  • The ASX gold share reported discovering high purity gold nuggets at its Guyer prospect in WA
  • Assays from 23,000 metres of AC drilling at the project are due to come in any day

Gold fever looks to have gripped investors on Monday as they send this ASX gold share minnow rocketing.

The gold stock was up as much as 150% in early morning trade and is currently trading 111% higher at 14 cents.

Any guesses on which ASX gold share we're talking about?

If you said Iceni Gold Ltd (ASX: ICL), give yourself a, erm, gold star.

So, why is the Iceni Gold share price going gangbusters?

A woman in a business suit sits at her desk with gold bars in each hand while she kisses one bar with her eyes closed. Her desk has another three gold bars stacked in front of her. symbolising the rising Northern Star share price

Image source: Getty Images

What's driving investor interest in this tiny ASX gold share?

Investors are snapping up Iceni Gold shares after the explorer reported discovering gold nuggets at its Guyer target area, situated within its 14 Mile Well Gold Project in Western Australia.

According to the release, the high-purity nugget trend extends across several kilometres and coincides with the UFF+ gold anomaly reported earlier this month. Iceni said this provided evidence of a nearby primary source for the nuggets, clearly piquing investor interest.

The ASX gold share has been conducting an extensive air core drilling campaign at Guyer, with 363 holes totalling 23,000 metres completed. The assays on the AC holes are expected any day now.

The Iceni Gold share price is likely getting an additional boost from the report that it has discovered additional nuggets at its Everleigh target.

Commenting on the development sending the ASX gold share rocketing today, Iceni technical director David Nixon said:

The gold nuggets provide physical support for the UFF+ soil anomaly and the shape and composition of the nuggets suggest primary sources are nearby. The results of the air core program at Guyer that covers the same area will help to confirm if there is mineralisation in that area.

The company cautioned investors that "the visual identification, estimates of mineral abundance or point pXRF measurements should never be considered a proxy or substitute for laboratory analyses".

That laboratory analysis in this case is "imminent".

Iceni share price snapshot

Despite today's big leap higher, the ASX gold share remains down 27% year to date. That compares to a loss of 7% posted by the All Ordinaries Index (ASX: XAO) in 2022.

Motley Fool contributor Bernd Struben 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 Scott Phillips.

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