ASX lithium share QX Resources soars 70% on ex-Lake Resources MD appointment

Steve Promnitz has taken the reins at the lithium and gold developer.

| 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

Key points
  • The QX Resources share price is launching 70% today to trade at 5.6 cents 
  • Its gains come on news the company has appointed former Lake Resources managing director Steve Promnitz to its newly created managing director role
  • Promnitz resigned from Lake Resources in June without providing an explanation 

The share price of tiny ASX lithium hopeful QX Resources Ltd (ASX: QXR) is taking off on news the company has appointed former Lake Resources NL (ASX: LKE) managing director Steve Promnitz.

Promnitz fled the S&P/ASX 200 Index (ASX: XJO) lithium developer in June, seemingly selling his 10.2 million shareholding in the company shortly afterwards.

But Lake Resources' loss appears to be QX Resources' gain. The ASX lithium and gold developer's stock is roaring higher after the company announced its new boss.

The QX Resources share price is soaring 69.7% right now to trade at 5.6 cents.

Let's take a closer look at the news driving the ASX lithium share higher on Wednesday.

A man in a suit and glasses guffaws at his computer screen in bewilderment.

Image source: Getty Images

QX Resources share price surges on MD appointment

The QX Resources share price is rocketing higher today. Its gain comes after the company announced Promnitz will take the reins of the growing Western Australia and Queensland-focused mineral developer.

The former Lake Resources boss will take up the newly created managing director role at the lithium and gold hopeful.

On his appointment Promnitz said he was looking forward to his new challenge, adding:

I plan to advance [QX Resources'] current assets and expand the focus on battery minerals by drawing on my extensive networks and skills from the past six years in the battery minerals sector.

QX Resources noted Lake Resources was a $1 million private company when Promnitz stepped into his former role. By the time he departed, the now-ASX 200 company was said to be worth around $2.1 billion.

QX Resources chair Maurice Feilich also commented on the company's new leader, saying:

QX Resources has assembled a quality portfolio of near drill-ready lithium hard-rock assets in Western Australia with some very promising geology. As well, our gold assets in Queensland hold considerable unlocked value and growth for future development.

QX Resources' board decided now is the right time to appoint a managing director to fast-track the development of these assets while also assessing new battery minerals projects that complement the portfolio.

We are confident that [Promnitz] can drive QX Resources to the next stage of its growth and development.

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 Scott Phillips.

More on Materials Shares

A woman presenting company news to investors looks back at the camera and smiles.
Materials Shares

What's this broker's updated view on this ASX materials stock following a 25% fall?

This ASX materials stock was heavily sold off last week.

Read more »

A smiling woman holds a Facebook like sign above her head.
Materials Shares

Why this ASX mining stock could be a strong buy after major milestone

Bell Potter is recommending this stock to clients.

Read more »

A hand holding a lump of rare earths material against a blue sky.
Materials Shares

This ASX critical minerals company could more than double in value: Broker

An important US government milestone was achieved this week.

Read more »

A group of people gathered around a laptop computer with various expressions of interest, concern and surprise on their faces as they review the payouts from ASX dividend stocks. All are wearing glasses.
Resources Shares

Buy, hold, or sell? South32, Capstone Copper, and BHP shares

Let's see what the experts think.

Read more »

A man wearing a suit holds his arms aloft, attached to a large lithium battery with green charging symbols on it.
Materials Shares

PLS shares jump 320% in 12 months: Buy, sell or hold?

The lithium miner has flown from strength to strength over the past year.

Read more »

Business people standing at a mine site smiling.
Materials Shares

Morgans just placed buy ratings on these ASX materials stocks

These two stocks could be worth adding to your portfolio according to Morgans.

Read more »

Female miner in hard hat and safety vest on laptop with mining drill in background.
Materials Shares

Why Lynas could be one of the ASX's biggest winners again today

Lynas is gaining strategic value as rare earths tensions rise.

Read more »

Two workers on site discuss the next stage of this civil engineering job.
Materials Shares

Is takeover tension sending this ASX steel stock soaring?

Strong fundamentals and takeover speculation have pushed this share up 42%.

Read more »