Australia's Cervantes hits 5-month high on rare earth project acquisition

Skyline Investment SA

04/11/2021 04:59

** Shares of gold and base metals explorer Cervantes Corp
Ltd  CVS.AX  surge as much as 62.5% to A$0.013, their highest
since June listing
    ** Co announces signing of binding Heads of Agreement to
acquire Australia-based Skyline Resources Corp Pty for A$20,000 
($14,906.00) from Bath Resources Pty Ltd  urn:newsml:reuters.com:*:nASX4lSG25
    ** Says Skyline holds exploration licence to a prospective
rare earth elements project in Gascoyne, Western Australia
    ** Global rare earths market was valued at around $2 bln in
2020 and is forecast to grow on average by 16% by 2030 - CVS
    ** Stock sees best day since listing 
    ** More than 46 mln shares change hands vs their 30-day avg
of about 2.7 mln shares; busiest trading day since June 4
    ** CVS down 20% since its listing

($1 = 1.3417 Australian dollars)

 (Reporting by Jaskiran Singh in Bengaluru)
 ((Jaskiran.Singh@thomsonreuters.com))