Here’s why the EcoGraf (ASX:EGR) share price is storming 11% higher

The EcoGraf Limited (ASX: EGR) share price is trading 11% higher today following a positive announcement. Here’s what the company released.

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The EcoGraf Ltd (ASX: EGR) share price is taking off during early afternoon trade. This comes after the company announced its shares are listed on another stock exchange and have commenced trading.

At the time of writing, the graphite producer’s shares are selling for 54.5 cents, up 11.2%.

Quick take on EcoGraf

Based in Australia, EcoGraf is engaged in the exploration and development of graphite and nickel projects in Tanzania. The company uses innovative technologies to recover graphite from recycled batteries, thus reducing waste and minimising the environmental impact.

What’s pushing EcoGraf shares higher?

Investors are snapping up EcoGraf shares following the company’s listing efforts in other overseas stock markets.

According to its release, EcoGraf advised that its application to join the OTCQX market in the United States has been approved. This enables the company’s shares to commence trading at market open today under the code of ECGFF.

EcoGraf noted that its primary listing continues to be the Australian Securities Exchange (ASX). Its secondary listing is through the Frankfurt Stock Exchange (FSE).

By EcoGraf shares listing on the OTCQX, it provides access to one of the largest investment markets in the world. In addition, it allows ease of trading by investors in real-time quotes and market information.

The company highlighted surging investor interest in the electric vehicle sector as one of the reasons for joining the OTCQX. Recently, United States president Joe Biden announced plans to replace its government fleet of vehicles with electric vehicles.

Furthermore, international attention has picked up after the European Commission put forward new legislation in favourable of eco-friendly batteries. This includes improved recycling, visibility, and traceability of raw materials within the electric vehicle supply chain.

About the EcoGraf share price

Over the past 12 months, the EcoGraf share price has accelerated over 660%. These strong gains reflect growing positive sentiment among investors regarding the lithium-ion industry. Many of Ecograf’s fellow ASX-listed producers have also posted whopping gains over the same time frame.

Based on today’s prices, EcoGraf has a market capitalisation of around $247 million, with approximately 449 million shares outstanding.

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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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