Why has the Australasian Gold (ASX:A8G) share price gained 14% in 2 days?

Here's what sent the gold miner turned lithium explorer's shares soaring

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The Australasian Gold Ltd (ASX: A8G) share price has taken off over its last 2 sessions on the ASX.

At the time of writing, the Australasian Gold share price is 45 cents. That's 5.88% higher than it was at its previous close and 13.9% higher than it was at Tuesday's close.

Australasian Gold's stock price surge was spurred by news the CSIRO will assist in the company's lithium exploration program. The program is attempting to strike lithium at the company's Mt Peake Pegmatite Field.

Let's take a closer look at the latest news from the gold miner turned lithium explorer.

A happy miner pointing.

Image source: Getty Images

CSIRO on board for lithium exploration

The Australasian Gold share price has surged around 14% over 2 days on the back of a new partnership.

The company has paired up with the CSIRO through the science agency's Kick-Start Program.

Under the program, the CSIRO will fund 50% of the lithium exploration undertaken at the Mt Peake Pegmatite Field. The project has an initial budget of $100,000.

The exploration program will use the CSIRO's cutting-edge exploration techniques. That means Australasian Gold will have access to the institution's optical, thermal, and geophysical remote sensing data analysis. It will also be able to use the CSIRO's interpretation workflows and instrumental equipment.

Australasian Gold hopes the agency's help will mean it finds the project's most prospective areas quicker than it otherwise would.

The CSIRO will also benefit from the exploration program. It will use feedback from Australasian Gold to further fine-tune its exploration research.

CSIRO will begin aiding the company's exploration program straight away.

Commentary from management

Australasian Gold's managing director Dr Qingtao Zeng commented on the news that's been moving the company's share price over the last 2 days, saying:

CSIRO are true innovators with cutting-edge equipment and knowledge learned from previous lithium exploration research. We are very excited to put these techniques to the test at our Mt Peake Li pegmatite project and in return we will be assisting with the ongoing refinement of the CSIRO's spectral sensing techniques used for future lithium exploration.

Australasian Gold share price snapshot

The Australasian Gold share price's recent gains have added to its already strong performance.

The company's stock's value has increased by 164% since it debuted on the ASX in May 2021.

Motley Fool contributor Brooke Cooper 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.

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