MENU

Why Argosy Minerals Limited shares stormed higher today

One of the best performers on the market today has been the Argosy Minerals Limited (ASX: AGY) share price.

In afternoon trade the shares of the mineral exploration company with a focus on lithium have risen 6% to 25 cents.

This gain is all the more impressive when you consider that the majority of the lithium miners, such as Orocobre Ltd (ASX: ORE) and Kidman Resources Ltd ASX: KDR, have sunk deep into the red today.

Why are Argosy Minerals’ shares higher today?

This morning the company announced further Stage 2 development progress at its Rincon Lithium Project in Salta Province, Argentina.

Stage 2 evaporation pond construction works have recently been completed to coincide with completion of the first production well. That well is currently undergoing pump testing in preparation for lithium brine pumping into the Stage 2 evaporation ponds imminently.

This means that Argosy now has around 11 hectares of fully constructed evaporation ponds to concentrate lithium brine during the 2017/18 summer peak solar evaporation season, putting it in a position to produce its first product by the end of the March 2018 quarter.

Should you invest?

While I think Argosy Minerals could have an extremely bright future ahead of it due to the insatiable demand for lithium globally, I feel a lot of this potential has now been built into its share price.

So until its full set of drilling results have been released and its mineral resource is known, I would suggest investors keep this one of their watchlist.

Did you miss out on the lithium boom? Then don't miss out on this next boom.

Bill Gates Says This Could Be Worth "10 Microsofts"

If You Missed Investing In Microsoft in 1996 - Read This

I can't believe so many investors haven't heard about something Microsoft founder Bill Gates told a group of college students in 2004.

This could be your chance to get in on the ground floor!

Click here to discover more!

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Two New Stock Picks Every Month!

Not to alarm you, but you’re about to miss a very important event! Chief Investment Advisor Scott Phillips and his team at Motley Fool Share Advisor are about to reveal their latest official stock recommendation. The premium “buy alert” will be unveiled to members and you can be among the first to act on the tip.

Don’t let this opportunity pass you by – this is your chance to get in early!

Simply enter your email now to find out how you can get instant access.

By clicking this button, you agree to our Terms of Service and Privacy Policy. We will use your email address only to keep you informed about updates to our website and about other products and services we think might interest you. You can unsubscribe from Take Stock at anytime. Please refer to our Financial Services Guide (FSG) for more information.