Central China Goldfields Plc (C4Y.L: Quote) said on Wednesday it had found significant amounts of rhenium, a metal used to help aircraft fly more efficiently, in the Gangjiang licence area in China.
Shares in the AIM-listed company jumped 24 percent to 3.95 pence, making it the biggest riser on London's junior market.
Analyses of these molybdenum-rich samples have shown that there is a strong correlation between the presence of molybdenum and rhenium, said Managing Director Jeff Malaihollo.
It's clear that Gangjiang now contains elevated concentrations of copper, molybdenum, silver and rhenium, he said.
The company said the average molybdenum to rhenium ratio was about 6000 to 1, a ratio it called significant, from 26 molybdenum-bearing drill core samples.
Molybdenum is used as a strengthening and anti-corrosion agent in steel and stainless steel.
(Reporting by Julie Crust; editing by Jon Loades-Carter)
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