The S&P/ASX 200 Materials Index (ASX: XMJ) is lifting 1% today, but this one ASX lithium share is soaring far higher.
The Latin Resources Ltd (ASX: LRS) share price is surging more than 20% today and is currently trading at 13.3 cents.
So why is this lithium explorer having such a good day?
Why is this ASX lithium share rising?
Latin is working on projects for a net zero emission future. The company is exploring the Salinas Lithium Project in Brazil and the Catamarca Lithium Project in Argentina. Latin is also progressing the Cloud Nine Halloysite- Kaolin Deposit in Australia.
Today, Latin provided an update on metallurgical test work on drill core from the company's Salinis lithium project.
Simple heavy liquid separation recovered 78.72% lithium oxide with a high-grade lithium oxide concentrate of up to 6.57%.
Commenting on this news, executive director Chris Gale said:
We are seeing lithium recovery rates and concentrate grades from simple HLS processing that are well above industry standards.
This points to strong potential for production of a premium Li product and therefore premium pricing for our product.
Gale acknowledged it is still early days and more test work needs to be completed.
However, he said "the apparent ease of liberation of our spodumene producing such a high lithium concentrate may have significant positive implications for our Salinas Project"
For example, it may mean Latin will not need to rely on floatation processing, which is more costly, to extract high-quality concentrate. Latin will be conducting further test work in future weeks.
Latin Resources share price snapshot
The Latin Resources share price has soared a mammoth 348% in the year to date. In the past year, it has rocketed more than 209%.
For perspective, the ASX Materials index has lost 0.3% in a year and 1.23% in the year to date.
Latin Resources has a market capitalisation of $253 million based on the current share price.
