First Lithium Ltd (ASX: FL1) shares are catching the eye on Wednesday.
In early trade, the ASX lithium stock jumped as much as 109% to a 52-week high of 83.5 cents.
The company's shares have pulled back a touch since then but remain up 65% to 66 cents.
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Why is this ASX lithium stock jumping?
Investors have been scrambling to buy the company's shares this morning after it made a "significant discovery" at the lithium prospect Blakala in Mali.
According to the release, its latest assay results validate the visual estimates of spodumene in the core samples that were previously noted.
Importantly, the spodumene mineralisation is high grade, the outcrops are at surface, and it is open at depth and along strike. All in all, management believes that this provides great confidence in the Mali-based project.
The ASX lithium stock's managing director, Venkat Padala, commented:
The laboratory results have delivered the outstanding grades we were all anticipating based on the previous visual estimates. The grades and depth of the discovery in this region, provide further confidence the Blakala prospect could deliver a significant high grade mineral resource in 2024 as the grades and depth of results to date at Blakala provide great confidence for the project.
But First Lithium won't be stopping there. Padala advised that drilling activities continue. He adds:
Drilling will continue at Blakala as the project advances towards completion of the initial 6,000m program, and with results remaining open at depth and along strike as well as opening up in the western pegmatites the team is also focused on speeding up the drilling program with the relocation of the Faraba diamond core drill rig to Blakala.
