The Piedmont (ASX:PLL) share price surged 12% today. Here’s why

The Piedmont Lithium Ltd (ASX: PLL) share price lifted 12% today after the company’s appointment of experienced mining executive.

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asx share price increase represented by golden dollar sign rocketing out from white domes of lithium

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The Piedmont Lithium Ltd (ASX: PLL) share price surged higher today following the addition of a seasoned minerals executive to its board.

At market close, shares in the Australian lithium miner finished the day at 74.5 cents, up 12%.

New appointment

The Piedmont share price moved higher today after the company’s appointment of experienced mining executive Todd Hannigan to its leadership team. His new role as non-executive director took immediate effect from yesterday.

Piedmont noted that Mr Hannigan would bring a wealth of experience to the company with industry knowledge and corporate relationships. His focus on battery manufacturing and advanced materials is expected to help progress Piedmont’s Lithium Project in the United States.

The company noted that Mr Hannigan served as CEO for Aston Resources Limited from 2010 to 2011. During this period, he led Aston Resources from a small private company to one of the largest-listed coal companies on the ASX. The company raised roughly $2 billion in equity funding to acquire and develop the Maules Creek coal project. At the end of 2011, Aston merged with fellow mid-tier miner Whitehaven Coal Ltd (ASX: WHC) in a $5.1 billion deal.

Most recently, in January 2021, Mr Hannigan took up the role of non-executive chair of Tao Commodities Limited. The minerals exploration company is currently working on bringing its Titan Project – a rare earth, titanium and zircon rich project in the United States – online within the coming years.

Mr Hannigan graduated from the University of Queensland, holding a Bachelor of Engineering (Mining) with Honours. He also has an MBA from one of the world’s leading and largest graduate business schools, INSEAD.

What did management say?

Commenting on the appointment, Piedmont independent chair Jeff Armstrong said:

Todd is an outstanding addition to our board and will add valuable leadership and experience. Todd is a large shareholder in Piedmont which is a testament to the quality of our Piedmont Lithium Project.

Based in Victoria, Todd will serve as an independent director and provide support for our continued ASX listing (via Chess Depositary Interests or “CDI’s”) following our proposed re-domiciliation from Australia to the United States this year.

How has the Piedmont share price performed?

The Piedmont share price has rocketed more than 500% in the 12 months, reflecting positive investor sentiment in the lithium industry.

The company’s share hit a multi-year low of 6.2 cents in March, before surging to a high of 82.5 cents.

Based on the current share price, Piedmont’s market capitalisation now stands at $1 billion.

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Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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