Penny stocks have garnered a lot of attention this year. Maybe it’s because they are cheap. Or perhaps it’s because they offer a tremendous amount of reward. Either way, people are talking about them. Especially mining penny stocks, like Lucky Minerals (TSXV:LKY).
However, the LKY stock has slipped this week, trading down today and hitting a new 52-week low yesterday.
What gives?
Mining Penny Stocks: Lucky Minerals
Mining investors (and penny stock investors) are looking at Lucky Minerals with optimistic eyes due to the company’s exploration project in Ecuador.
Based in Vancouver, British Columbia, Lucky Minerals recently acquired a substantial tract in Ecuador, called the Fortuna property. Here, located in a rich mineral belt, the Canadian mining company has launched an exploration program, one that is focusing on gold and copper.
Early geographic indicators have suggested that the Fortuna property has strong gold and copper reserves. If this ends up being the case, the mining market will hear about the reserves by year-end or in 2019, and that will send a handful of investors in the direction of LKY.
All of this is significant news for the mining penny stock company. By 2021, the mining industry in Ecuador could be worth around $8 billion, which means LKY shareholders could be in for an exciting few years—even if the stock suggests otherwise this week.
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The LKY Share Price: September 13th, 2018
Yesterday the LKY stock hit a new 52-week low, trading at $0.13 at one point during the session.
This price drop came on the same day the company announced that it received final approval from the TSX Venture Exchange.
Today, as of 1:19 p.m EDT, Lucky Minerals is trading at $0.13 again, which puts the stock down 3.70%.
The Takeaway
Lucky Minerals is definitely onto something in Ecuador. But are there other mining penny stocks gaining more traction? For market performance, the answer is yes. But LKY is still somewhat unknown, and with the potential of the Ecuador exploration project, this mining penny stock company may not be unknown for much longer.
What do you think?
Featured Image: Depositphotos/© Jirsak
