Argosy Minerals (ASX:AGY) share price climbs following Rincon update

The company has updated the market about its Rincon lithium project in Argentina. We have the details

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Argosy Minerals Limited (ASX: AGY) share price rose wildly in the first 30 minutes of market trade today. The lithium miner's shares jumped to an intraday high of 13 cents — a gain of 8% — before falling back to 12 cents.

At the time of writing, Argosy shares are changing hands for 12.5 cents — up 4% on yesterday's closing price. In comparison, the All Ordinaries Index (ASX: XAO) is up 0.18% to 7,672 points.

Man in hard hat making excited fists.

Image source: Getty Images

What's up with the Argosy Minerals share price?

It is proving a rollercoaster day for Argosy shares. This comes after the company released an update about its Rincon lithium project, located in Salta Province, Argentina.

According to the release, Argosy has submitted an environmental impact assessment (EIA) for its expansion operation at Rincon.

The company is seeking to expand lithium carbonate production at the plant by 10,000 tonnes per annum (tpa). This will add to the 2,000tpa operation currently under construction.

The department of the Salta Province Secretary of Mining and Energy is responsible for assessing the report. This is the final hurdle Argosy needs to clear before beginning construction of the additional lithium carbonate production operation.

The company is targeting final approval of the EIA report in late 2021.

Argosy managing director Jerko Zuvela commented:

With lithium market sentiment and lithium carbonate prices continuing their strong upward momentum, and continued progress toward the fully funded 2,000tpa scale production operation, we are excited as Argosy transforms into a battery quality lithium carbonate producer and cashflow generator.

With further progress toward the 10,000tpa enlarged commercial scale development, this enhances Argosy's strategic value to all end-user customers across the battery and EV industry supply chain.

The company's Puna Mining operations management team met with Flavia Royon – the recently appointed Salta Province Secretary of Mining and Energy. The team's purpose was to ensure the EIA approval process progresses. Royon also toured the company's industrial scale pilot plant operation.

The Argosy Minerals share price has surged over the past year by more than 120%, and by 50% year to date.

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. 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.

More on Share Market News

A man holding a cup of coffee puts his thumb up and smiles while at laptop.
Broker Notes

Top brokers name 3 ASX shares to buy next week

Brokers gave buy ratings to these ASX shares last week. Why are they bullish?

Read more »

A man in his 30s with a clipped beard sits at his laptop on a desk with one finger to the side of his face and his chin resting on his thumb as he looks concerned while staring at his computer screen.
Broker Notes

Buy, hold, sell: Life360, Northern Star, and Sigma shares

Are these popular shares buys? Here's how analysts rate them.

Read more »

Business man marking buy on board and underlining it.
Broker Notes

6 ASX All Ords shares elevated to strong buy status after March sell-off

The ASX All Ords fell 8% in March after the US and Israel attacked Iran and oil and gas prices…

Read more »

Red buy button on an Apple keyboard with a finger on it.
Broker Notes

Brokers name 3 ASX shares to buy right now

Here's why brokers are feeling bullish about these three shares this week.

Read more »

Frustrated stock trader screaming while looking at mobile phone, symbolising a falling share price.
Share Market News

Why Beetaloo, Fortescue, Orora, and Whitehaven Coal shares are dropping today

These shares are ending the week in the red. But why?

Read more »

Man in a business suit leaps off a boulder in front of a blue sky.
Share Gainers

3 ASX 200 stocks surging 13% to 36% in this shortened trading week

Investors sent these three ASX 200 stocks flying higher following the Easter break. But why?

Read more »

Three happy office workers cheer as they read about good financial news on a laptop.
Share Gainers

Why Amaero, Mesoblast, Telix, and Tivan shares are charging higher today

These shares are ending the week on a high. But why?

Read more »

A young couple stands next to a real estate agent in an empty apartment they are inspecting.
Real Estate Shares

Mirvac shares sink to their lowest level since 2015. Is this ASX property giant back on the radar?

Multi-year lows put Mirvac shares back on investors’ watchlists today.

Read more »