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Highlights:
- On Wednesday, Core Lithium Ltd (ASX:CXO) announced its quarterly activities report ended 31 March this year.
- Piedmont Lithium Inc. (ASX:PLL) updated the insider trading policy and provided an annual report (filed on Form-10K with the SEC) ended 31 December last year.
- On Monday, Arizona Lithium Limited (ASX:AZL) invited eligible stakeholders to take part in its SPP.
The Australian benchmark index S&P/ASX200 increased 0.01% and was trading at 7,322.50 points on Wednesday, 26 April 2023, at 3:39 pm AEST. At the same time, the sub-sector S&P/ASX200 Materials index was declining 0.94%. However, Core Lithium Ltd (ASX:CXO), Piedmont Lithium Inc. (ASX:PLL) and Arizona Lithium Limited (ASX:AZL) were outperforming the sub-sector and increased intraday.
Let’s know the reasons behind the rise in the share price of the 3 ASX lithium stocks- CXO, PLL and AZL.
Core Lithium Ltd (ASX: CXO)
The hard-rock lithium mining company increased 2.564% and was trading at AU$1.00 on Wednesday, at 3:39 pm AEST, after it announced its quarterly activities report ended 31 March this year.
During the quarter, water management was a focal point throughout the Grants mine at Finniss Operations. The production was stopped in late December because of the flooding of the pit due to rainfall. However, mining of ore from the base of the Grants pit was restarted safely by late March.
The disruption to operations from pit inundation witnessed a part of the earlier expected production delayed to H1 FY24.
Also, the Dense Media Separation (DMS) plant at Finniss was concluded. Its initial concentrate production was attained in February this year. The first 3,500-tonne spodumene concentrate parcel was generated and shipped to Darwin port in March and April.
After the restarting of mining operations in March, a second parcel of 15Kt was sold to Sichuan Yahua and is presently being processed. It is anticipated that this parcel will be ready to export by July end.
In January, CXO obtained a US$14 million (AU$20.1 million) payment after the successful execution of a sales deal for a 15Kdmt cargo of 1.4% lithium oxide DSO, CXO’s maiden revenue.
Piedmont Lithium Inc. (ASX: PLL)
The developer of a world-class integrated lithium business in the USA rose 4.374% and was trading at AU$0.835 on Wednesday at 3:39 pm AEST after it updated the insider trading policy and provided the annual report (filed on Form-10K with the SEC) ended 31 December last year.
The company is anticipating spodumene concentrate production to come online in Quebec in the first half of this year. It expects its initial commercial shipments in the 3Q 2023. Conditional on receiving permits, consents, and funds, PLL intends to gain spodumene concentrate via their offtake deal in Ghana starting late 2024 or 2025.
On 2 January this year, the company inked an amended offtake deal with Tesla, Inc. to deliver spodumene concentrate from NAL in Quebec. The term of the deal is three years, (can be extended by mutual deal) and commits PLL to sell 125KMt of spodumene concentrate from their offtake deal with Sayona Quebec.
Arizona Lithium Limited (ASX: AZL)
The developer of a clean and low-cost lithium resource was initially gaining but later was trading flat at AU$0.044 on Wednesday at 3:39 pm AEST. On Monday, 24 April, the company invited eligible stakeholders to take part in its SPP.
AZL’s directors plan to take up their full entitlement of AU$30K, and most of the bigger stakeholders have expressed their intention to take up the full entitlement at a price of AU$0.45 a security irrespective of their stakeholding.
The offer under the plan intends to raise a maximum of US$10,000Ks on the terms and conditions mentioned in the offer letter.
The proceeds of the fund will be utilised for further exploration drilling activity at the Big Sandy Lithium project. It will also be used in updating resource at the Prairie Lithium project and advancement of DLE technology acquired as part of the Prairie Lithium acquisition, etc.
