ASX mining share Okapi Resources Ltd (ASX: OKR) set the bar high on Monday.

Shares in the tiny ASX mining stock were up more than 41% in early trading today before some profit taking took place, giving back a lot of those gains.

At market close, the Okapi Resources share price closed up 5.88%, trading for 18 cents per share.

What's piquing investor interest in the ASX mining share?

The Okapi Resources share price entered a trading halt on Thursday pending the release of a capital raising announcement.

The ASX mining share released that capital raise announcement before market open this morning. And investors appeared enthusiastic with the outcome.

Okapi said it has received binding commitments to raise $5.1 million (before costs) through a placement of approximately 34.2 million shares at an issue price of 15 cents per share. That's 25% below the current share price, mind you.

Okapi will use the funds to complete its investment in uranium enrichment technology company, Ubaryon Pty Ltd. The miner also plans to advance its Tallahassee, Maybell and Athabasca uranium projects.

The $5.1 million placement will take place in two tranches.

The directors' participation of $129,000 worth of shares in tranche two of the placement is subject to shareholder approval. That approval will be sought at a general meeting in early April.

Commenting on the capital raise that sent the ASX mining share soaring today, Okapi's managing director Andrew Ferrier said:

We are delighted to have new institutional and sophisticated investors participating in this placement… We are also very pleased to see the strong support from existing shareholders.

Most importantly, this raising provides Okapi sufficient funding to complete the Ubaryon investment. We are very excited to acquire an interest in Ubaryon's Enrichment Technology, and it has the potential to add significant value to Okapi and its shareholders.

Okapi share price snapshot

The ASX mining share slid lower during the second half of 2022.

However, as you can see in the chart below, the Okapi share price is up 20% so far in 2023.

The post Why did this ASX mining share rocket 40% on open today? appeared first on The Motley Fool Australia.

The Okapi Resources Ltd (ASX: OKR) share price is shooting the lights out after releasing some exciting news. The ASX mining share has gained 43.33% in value since the market open yesterday. The Okapi share price is currently up 16% at 42 cents after touching a high of 43.5 cents in early trade.

ASX investors responded big-time to Okapi's announcement yesterday about a transformative acquisition in the United States that will make it "a significant player" in the US uranium market.

The company also updated ASX investors on Monday regarding approval for a separate drilling program.

All this amid news the uranium price reached its highest point in more than a decade overnight.

In short, it's been a pretty major week for the nano-cap miner. Let's look at the detail.

How this ASX mining share's big week began

The first bit of news out of Okapi this week was an announcement on Monday that it has received approval from authorities in Moab, Utah, in the United States to commence an exploration drilling program at the high-grade Rattler Uranium Project.

Okapi will drill 100 shallow holes to test the extent and nature of mineralisation confirmed by recent rock sample results. The project comprises 98 unpatented federal mining claims. It includes the historical Rattlesnake open-pit mine, which operated from 1948 to 1954.

The project is located about 85km from the only operating conventional uranium mill in the US. That's the White Mesa Uranium/Vanadium mill owned by Energy Fuels Inc (NYSEAMERICAN: UUUU).

Okapi has an option to acquire 100% of the Rattler Project. The company describes it as "a near term, low-capital development opportunity". Drilling is expected to start in Q3 this year.

The ASX mining share's price was virtually unmoved by the news. This is possibly because investors had already responded strongly on 10 March when Okapi released rock sample results from the site. That news sent the Okapi share price 17% higher in one day.

On Tuesday, Okapi announced a trading halt before the market open, pending an announcement.

What happened next for Okapi?

The ASX mining share resumed trading on Thursday after revealing a major acquisition in Colorado. In a statement, Okapi said the deal would turn it "into a significant player in the USA uranium market".

Okapi announced a binding agreement to buy an option over a 51% stake in the shallow, high-grade Hansen Uranium Deposit. It's situated in one of the most prolific uranium districts in the US – the Tallahassee Creek Uranium District.

The deal lifts Okapi's JORC Resource at the Tallahassee Project by 81% to 49.8 million pounds of U3O8. It also increases the grade by 10% to 540ppm U3O8.

In its statement, Okapi said it was "highly accretive" for shareholders with 22.2 million pounds U3O8 at 610ppm U3O8 "for the modest upfront cost of US$500,000 which is fully funded by existing cash reserves". Okapi also released an investor presentation on the deal.

The news thrilled ASX investors, who bid up the ASX mining share from 30 cents to 36 cents — or 20% yesterday. And it looks like the market enthusiasm is continuing today.

About Okapi Resources

Okapi has a portfolio of advanced, high-grade uranium assets in the US and Canada. Its Canadian assets are located in the world's premier uranium district, the Athabasca Basin. The basin is home to the world's largest and highest-grade uranium mines.

Okapi says its "clear strategy is to become a new leader in North American carbon-free nuclear energy".

The ASX mining share has a market capitalisation of $42.15 million.

The post This ASX mining share is soaring 43% in just 2 days. Here's why appeared first on The Motley Fool Australia.

The Okapi Resources Ltd (ASX: OKR) share price is soaring to dizzying heights after the company reported a positive update.

At the time of writing, the miner's shares are up an astonishing 27.89% to 66.5 cents. In comparison, the All Ordinaries Index (ASX: XAO) is down 0.26% to 7,806 points.

Let's take a closer look at what the company announced to the ASX today.

Major gold discovery

In a statement to the ASX, Okapi Resources revealed the results at its 100% Enmore Gold Project in New South Wales.

The maiden drilling program returned a significant, thick, shallow gold mineralisation at the Sunnyside East Prospect. The company highlighted the following results:

• 174 metres at 1.83 grams per tonne of gold from surface (OSSRC06)
• 37 metres at 1.27 grams per tonne of gold from 27 metres deep (OSSRC01)
• 39 metres at 1.19 grams per tonne of gold from 51 metres deep (OSSRC02)

Okapi Resources executive director David Nour commented:

These results show the potential for a very large, shallow, high-grade gold deposit at our Enmore Gold Project, with mineralisation from surface with some of the highest grades returned below 170 metres. The depth potential is very encouraging and we have multiple prospects that remain untested.

In addition, the company conducted several other drill holes at the Sunnyside West Prospect, located around 400 metres from Sunnyside East. They included:

• 7 metres at 1.25 grams per tonne of gold from 30 metres deep (OSSRC07)
• 17 metres at 0.69 grams per tonne of gold from 20 metres deep (OSSRC08)

Okapi Resources noted that further work is required at Sunnyside, including following up on drill intercepts and locating high-grade shoots.

About the Okapi Resources share price

Over the past 12 months, Okapi Resources has gained more than 224%, with a year-to-date rise of 241%. The company's share price hit a record high of 79.5 cents today before profit-taking set in.

Okapi Resources has a market capitalisation of approximately $67 million, with around 101 million shares on its books.

The post Why the Okapi Resources (ASX:OKR) share price is rocketing 28% today appeared first on The Motley Fool Australia.

Okapi leapt 48% higher during yesterday's trade. Today, there looks to be some profit taking underway with Okapi Resources' share price down 6.25% in early afternoon trade, leaving it up 36% for the week.

We take a look at the ASX resource explorer's uranium announcement that's stirring investor interest.

What uranium announcement did Okapi make?

The Okapi Resources share price is up 36% this week after the company reported it had acquired a portfolio of high-grade uranium projects in the United States.

The binding agreement will see it acquire 100% of the shares and options in Tallahassee Resources. The company said the newly acquired assets include "a strategic position" in the Tallahassee Creek Uranium District in the US state of Colorado, well-known for its historic uranium production.

According to a 2004 JORC Mineral Resource estimate, the Tallahassee Uranium Project is estimated to contain 26 million pounds of U3-O8 at a grade of 540 ppm U3-O8. Okapi notes there is significant exploration upside at the project.

Okapi Resources' share price also likely got a lift from its announcement that Tallahassee holds an option to acquire 100% of the high-grade Rattler Uranium Project in the US state of Utah. It said Rattler is just 85 kilometres from the only operating conventional uranium mill in the US, the White Mesa Uranium Mill.

The acquisition was backed by former executives of Black Range Minerals which had previously owned the Tallahassee Uranium Project.

Commenting on the acquisition, Okapi's executive director David Nour said:

This is a transformational opportunity for Okapi to become one of the most prominent uranium developers in the world. Through this acquisition, Okapi is perfectly placed to capitalise on the strengthening uranium market.

Nour welcomed former Black Range exploration manager Ben Vallerine who joins Okapi's Board as non-executive technical director.

Okapi noted it remains well-funded with roughly $6.3 million in cash and cash equivalents upon completion of placement. It expects to commence "high-impact work programs" in the second half of 2021.

Okapi share price snapshot

Factoring in the big lift it received this week, the Okapi Resources share price is now up 62% over the past 12 months. By comparison the All Ordinaries Index (ASX: XAO) has gained 25% over that same time.

Year-to-date, the Okapi Resources share price is up 53%.

The post Why the Okapi Resources (ASX:OKR) share price is up 36% this week appeared first on The Motley Fool Australia.