Guess which ASX lithium share exploded 67% today

Why is this lithium explorer blowing its top today?

| 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
  • ASX lithium share Burley Minerals charged 67% higher today before retreating 
  • The mining company's share price is now up 29% at last look 
  • The explorer has acquired multiple lithium projects

The S&P/ASX 200 Materials Index (ASX: XMJ) is in the red today, down 1.18%. But this ASX lithium share is bucking the trend.

The Burley Minerals Ltd (ASX: BUR) share price is on the rise by 25% today to 30 cents. However, in earlier trade, Burley Minerals shares skyrocketed 67% to 40 cents.

So why is this ASX lithium share having such a top run today?

A woman's head literally explodes with goodness.

Image source: Getty Images

Acquisition news for lithium explorer

Investors are buying up Burley shares today on lithium acquisition news. Burley has entered an "exclusive agreement" to take ownership of 100% of the Chubb Lithium Project in Quebec, Canada.

Further, under the deal, Burley would also acquire the Mt James and Dragon Projects, prospective for lithium, in the Gascoyne region of Western Australia.

The project widens Burley's exploration pipeline to high-grade lithium-bearing spodumene projects.

Drilling at the Chubb Lithium project has shown the presence of spodumene-bearing lithium pegmatites.

Burley is also an iron ore explorer, with a 70% stake in the Yerecoin Project near Perth in Western Australia.

Commenting on today's news, Burley managing director Wayne Richards said:

We are very pleased to announce the signing of this Agreement to acquire such high-potential Lithium Projects in jurisdictions complemented by other major Lithium explorers and developers.

The strategic and geographic location of all three potential projects are located in world class mining provinces and in Tier 1 jurisdictions of Australia and Canada.

ASX lithium share Burley's share price snapshot

Burley Minerals has soared 27% in a year, while it has surged 46% in the year to date. In the past month, the company's share price has rocketed ahead 122%.

For perspective, the ASX 200 Materials Index has climbed 14% in a year.

This ASX lithium share has a market capitalisation of about $10.3 million based on the current share price.

Motley Fool contributor Monica O'Shea 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 Share Gainers

Three rock climbers hang precariously off a steep cliff face, each connected to the other with the higher person holding on and the two below them connected by their arms and rope but not making contact with the cliff face.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a rather nasty Thursday session for investors.

Read more »

Three women athletes lie flat on a running track as though they have had a long hard race where they have fought hard but lost the event.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a disappointing showing from the market this hump day.

Read more »

Ten happy friends leaping in the air outdoors.
Share Gainers

Here are the top 10 ASX 200 shares today

Investors enjoyed another exciting session this Tuesday.

Read more »

A panel of four judges hold up cards all showing the perfect score of ten out of ten
Share Gainers

Here are the top 10 ASX 200 shares today

It was a very happy Monday indeed for the markets today.

Read more »

Concept image of a businessman riding a bull on an upwards arrow.
Share Gainers

Why are Nuix shares rocketing 26% on Monday?

Investors are piling into Nuix shares on Monday. But why?

Read more »

A neon sign says 'Top Ten'.
Share Gainers

Here are the top 10 ASX 200 shares today

It wasn't a great Friday session for the ASX.

Read more »

three young children weariing business suits, helmets and old fashioned aviator goggles wear aeroplane wings on their backs and jump with one arm outstretched into the air in an arid, sandy landscape.
Share Gainers

3 ASX 200 stocks, including CSL, leaping 15% to 23% in this week's sliding market

Investors sent CSL shares and these two ASX 200 stocks soaring in this week’s sinking market. But why?

Read more »

Girl with painted hands.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a relief rally for ASX investors this Thursday.

Read more »