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Highlights
- Piedmont's shares were trading at AU$0.97 apiece on ASX up 3.76% on ASX at 1.14 PM AEDT.
- This outperforms ASX 200 materials index, which was trading 0.51% lower at 15,137.20 points.
Piedmont's (ASX:PLL) shares were trading higher on Monday despite no price-sensitive news shared by the company. The lithium company’s shares were trading at AU$0.97 apiece on ASX, up 3.76% on ASX at 1.14 PM AEDT. This outperforms ASX 200 materials index, which was trading 0.51% lower at 15,137.20 points today at 1.15 PM AEDT.
The rise in Piedmont’s share price might be because of the update shared by Piedmont on its partner Atlantic lithium on 25 October 2022.
In an ASX filing, the company shared that Atlantic Lithium (ASX:A11) had finished exploration and infill drilling for their flagship Ewoyaa project in Ghana. High-grade mineralisation was confirmed by the assay results, giving resource conversion and potential mine life extension more assurance.
Piedmont would be receiving a 50% ownership in Ghana's spodumene projects run by Atlantic Lithium. This partnership also includes an offtake agreement for 50% of annual production at market rates for the life of the mine. In addition, Piedmont owns 9.4% of Atlantic Lithium's stock.
Image Source: © 2022 Kalkine Media ®
Data Source- Company announcement dated 25 October
Recent developments at Piedmont
On October 20, Piedmont announced that it had been chosen for a US$141.7 million grant from the US Department of Energy (DOE). The grant is given in order to increase domestic production of the electrical grid, electric vehicle batteries, and other materials and components that are now imported from other nations. The company’s Tennessee Lithium project had been chosen for funding.
The money is expected to help develop the company's about AU$600 million Tennessee Lithium project, which intends to increase the amount of lithium hydroxide available in the US by 30,000 metric tonnes per year (tpy). Lithium hydroxide is a vital component of high-energy density, long-range electric vehicle batteries.
Stock performance: Shares of Piedmont have climbed over 14% in the last month but only 3.44% in the past six months. However, the shares have jumped around 25% on a year-to-date (YTD) basis.
