S&P/ASX 300 Index (ASX: XKO) battery stock Talga Group Ltd (ASX: TLG) is rocketing a whopping 18.2% this morning.
Its gains come on exciting news of the company's Swedish graphite operations – designed to feed its planned battery anode manufacturing plant.
The Talga share price is launching higher to trade at $1.915 at the time of writing. Earlier today, it hit the $2.00 mark, a gain of 23.5%.
Let's look a why the market is powering up the ASX 300 battery stock on Thursday.
What's going on?
Shares in Talga are soaring today after the company revealed its Nunasvaara South natural graphite mine has received a major tick of approval.
The mine was granted an environmental permit, including a Natura 2000 permit, from the Swedish Land and Environment Court yesterday.
Talga managing director Mark Thompson commented on the "key approval", saying:
[This is] a major step in Talga establishing its Swedish natural graphite anode production.
We look forward to continued engagement with all stakeholders as we progress towards mining this strategic resource for use in sustainable European battery production.
Yesterday's court decision is subject to a three-week period in which appeals can be lodged. The company now expects the Swedish Mining Inspectorate to make a decision on its Nunasvaara South exploitation concession application.
Production from the Nunasvaara South graphite mine is intended to go to the ASX 300 company's planned 19,500 tons per annum battery anode manufacturing plant.
The plant is subject to a separate permitting process. If all goes well, early works could kick off at the refinery site early in the second half of 2023.
Talga is currently in advanced negotiations for supply agreements with multiple European battery makers for its graphite anode products.
It's also in discussions with several financial institutions for funding for the Vittangi Anode Project.
Talga share price outperforms ASX 300
The Talga share price has outperformed the ASX 300 in recent months.
Today's gains included, the stock has gained 36% so far this year. Meanwhile, the index has risen 4%.
Looking further back, the battery stock has gained 19% over the last 12 months while the ASX 300 has dumped 4%.
