Assore Ltd., a South African mining investment company, extended its rising streak to four straight days to a record high as investors showed their support for an expansion of production capacity.
Assore rose 1.1 percent to 400 rand at 5 p.m. in Johannesburg, the highest since at least 1990 when Bloomberg started tracking the stock. The number of shares traded was more than two times the stock’s three-month average daily volume.
“It has ramped up production quite significantly and is starting to see the benefits of that in its numbers,” Simon Fillmore, chief executive officer of Independent Securities (Pty) Ltd., said by phone from Johannesburg. “That is the fundamental reason why the share price has rallied.”
Assore’s main investment is a 50 percent joint venture with African Rainbow Minerals Ltd., called Assmang, which mines and produces minerals such as iron ore, manganese ore, ferrochrome and ferromanganese. The company spent 4.5 billion rand ($400 million) on its operations in the year through June, including 1.3 billion rand on the expansion of Assmang’s Khumani iron ore mine in South Africa’s Northern Cape province.