Argosy Minerals' shares rally on lithium development strategy in Argentina
Argosy Minerals Ltd's shares have jumped 15.2% to $0.091 in morning trade as the company recently commenced Stage 2 pond excavation and construction works at its Rincon Lithium Project.
Rincon is located in the “Lithium Triangle” in Salta Province, Argentina.
The Stage 2 development works commenced ahead of schedule.
The Stage 1 evaporation ponds have been concentrating lithium brine since April.
Argosy is earning up to a 90% interest through multiple stages in the Rincon joint venture lithium project located in Argentina.
Argosy is targeting the first set of the Stage 2 pond construction works to be completed during September.
Additional ponds are being scheduled, and pending approvals, are targeted for completion during October.
This will result in a combined total of ~10 hectares of newly constructed evaporation ponds.
The ponds are being fast-tracked to meet the commencement of the peak solar evaporation season, which usually begins during September and continues until April.
Jerko Zuvela, managing director, commented:
"The successful commencement of the next stage of pond construction works, an exponential increase in scale from the original Stage 1 ponds, continues to demonstrate the company’s aggressive development strategy, proficiency and expertise to fast-track toward production of LCE product, which is a near-term prospect that I am very excited about and will see Argosy as the second ASX-listed lithium producer."
Advanced discussions to finalise strategic investor process
Argosy continues to progress the strategic investor process, and has held a series of key meetings in China and Hong Kong over the past few weeks.
The objective is to achieve an outcome whereby a memorandum of understanding party will complete a binding investment agreement for Stage 2 funding for Rincon.
Such agreement may likely be complemented by agreements for off-take or other value-adding commercial agreements.