The Core Lithium Ltd (ASX: CXO) share price is flying high again on Wednesday.
In afternoon trade, the lithium miner's shares are up 8% to $1.38.
This means the Core Lithium share price is now up 20% this week.
Why is the Core Lithium share price rocketing higher this week?
Investors have been scrambling to buy Core Lithium's shares for a few reasons.
One is a rebound in higher risk assets this week following a huge improvement in investor sentiment globally.
Another reason is the ongoing strength in lithium prices. Earlier this week, Pilbara Minerals Ltd (ASX: PLS) reported yet another increase in the price commanded for a 5,000-tonne lithium shipment via its online auction.
This followed news that Chinese lithium prices hit a record high last week thanks to strong demand from the electric vehicle market.
This ties in nicely with the third reason the Core Lithium share price is booming this week.
What is the third reason?
On Monday, Core Lithium revealed that its managing director, Stephen Biggins, brought forward his resignation from the role and exited the company with immediate effect.
Mr Biggins had resigned in March and planned to step down from the role before the end of 2022. However, with the recent official opening of the Finniss Lithium Mine and appointment of Gareth Manderson as CEO, Biggins has decided it is the appropriate time to complete his role as managing director and as a director of Core Lithium.
Clearly it is full steam ahead for Core Lithium and its Finniss Lithium Mine at a time when lithium prices are at record highs. This bodes well for the company and could see bumper profits being generated in the coming quarters.
