Critical mineral resources boom

What happened: Sunrise Energy Metals, an Australian rare earth miner, surged 29% after securing a $400 million investment from the U.S. Department of War to develop the world's first primary scandium mine. Meanwhile, Zephyr Energy received a $15 million letter of intent for its Paradox Project, and Strategic Minerals' subsidiary Cornwall Resources began a significant diamond drilling program in Cornwall.

Market impact: This narrative is driving growth in the critical mineral resources sector. Sunrise's investment signals U.S. commitment to securing critical mineral supplies, boosting share prices. Zephyr's funding provides development options, while Cornwall Resources' drilling could unlock substantial mineral reserves, benefiting related companies like Rainbow Rare Earths.

What to watch next: Investors should monitor Sunrise's progress in developing its scandium mine, with a potential update by Q2 2023. For Zephyr, watch for a definitive funding agreement by Q1 2023. Cornwall Resources' drilling program completion in 2027 will reveal the extent of mineral reserves, with interim updates expected annually.