It certainly has been another positive day of trade for the Kidman Resources Ltd (ASX: KDR) share price.
In afternoon trade the prospective lithium miner's shares have risen 7% to a record high of $2.36. Which means that Kidman Resources' shares are now up approximately 11% week-to-date.
As a comparison, industry peers such as Galaxy Resources Limited (ASX: GXY), Orocobre Limited (ASX: ORE), and Pilbara Minerals Ltd (ASX: PLS) have all headed lower this week.
Why are Kidman Resources' shares at a new high?
This week's strong gain is likely to be attributable to Monday's announcement in relation to its updated mineral resource estimate at the Earl Grey lithium project.
According to that release, the deposit, which is a 50:50 joint venture with mining giant Sociedad Química y Minera, has been upgraded significantly after a 12-month resource definition and exploration drill program.
Management now estimates that the mineral resource contains 189 million tonnes of 1.50% Li2O or 7.03 million tonnes of lithium carbonate equivalent. This was a 54% increase on the previous estimate.
As 91% of the resource is now classified as measured or indicated, this does appear to be a highly accurate estimate.
Which is great news for shareholders because the Earl Grey lithium project has suddenly become one of the world's most significant hard rock lithium deposits.
The table below shows how the deposit compares to its peers.
It isn't just myself that has been impressed by the update. According to a note out of Canaccord Genuity, the broker has given Kidman Resources a buy rating with a $2.65 price target this week on the back of the news.
Even after today's solid move higher, this price target implies further upside of over 12% for its shares.
I agree with Canaccord on its rating and think Kidman Resources is well worth taking a closer look at today, though, I still have a preference for Galaxy Resources.
