The market may have dropped lower today but that hasn't stopped some shares from racing higher.
As well as Argosy Minerals Limited (ASX: AGY) with its strong gain this morning, two other lithium shares are on the move today after the release of announcements.
Here's why they are on the rise:
The AVZ Minerals Ltd (ASX: AVZ) share price has pushed 4.5% higher to 9.3 cents after the embattled lithium-focused mineral exploration company released further drilling results from its Manono project in the Democratic Republic of the Congo. According to the release, recent drilling has revealed more high-grade lithium underground, backing up the belief that AVZ Minerals sits atop a world class lithium asset. The only problem, and it is a massive one in my opinion, is that Manono is so far from any ports that shipping the product to customers is going to be an expensive process given how poor the infrastructure is in the country. Unfortunately, I'm not convinced the project is viable, especially if lithium prices were to come under pressure as some predict.
The Pilbara Minerals Ltd (ASX: PLS) share price is up over 2% to 91 cents after announcing the first shipment of Direct Shipping Ore (DSO) from its Pilgangoora Lithium-Tantalum Project in Western Australia. According to the release, the shipment set sail from Port Hedland on Saturday with 85,000 tonnes of DSO bound for China. The DSO has been shipped by Atlas Iron Limited (ASX: AGO), under the terms of a mine gate DSO Sale Agreement between the two parties. Management also advised that it remains on track to ship ~100,000 wet metric tonnes of DSO per month under the agreement for a total of up to 1.5Mt. While not unexpected, this is positive news for Pilbara as it will generate early cash flow and revenue to support the company as it progresses the commissioning and subsequent ramp-up of the Pilgangoora Concentrator.
