Legacy Iron Ore (ASX: LCY) received an ASX price and volume query after the company’s share price jumped 30% from a day earlier to an intra-day high of $0.10 on Friday.
Legacy was also queried on a surge in volume of trade for the company’s securities.
The company said it is not aware of any material information that has not been announced which may explain the sudden investor interest.
Legacy announced in February the start of a maiden reverse circulation drilling project targeting Inferred JORC Resources of 500 million tonnes of magnetite grading between 30% and 40% at Legacy’s Mt Bevan Iron Ore Project.
The drilling program is located in the southern part of the Mt Bevan project area, to the immediate north of the significant hematite and magnetite resources held by Jupiter Mines (ASX: JMS).
This drilling will test to depths of 200 metres to 250 metres over a 5 kilometre strike length. This zone represents only some 30% of the prospective branded iron formation (BIF) stratigraphy at Mt Bevan.
This program is the first of several programs designed to systematically explore the extensive BIF units that outcrop over some 20 kilometres of strike.
Previous reconnaissance drilling in this program area encountered thick, around 100 metres, shallow dipping magnetite mineralisation hosted within the BIF.
Mt Bevan is a joint venture between Legacy and Hawthorn Resources (ASX: HAW) whereby Legacy will earn a 60% interest in the project by spending a minimum of $3.5 million to develop the project to a pre-feasibility status.