If there is one industry that has managed to garner significant attention from investors in recent times then it is the lithium mining industry and for good reason too. Lake Resources NL (OTCMKTS:LLKKF) is one of the operators in that space and is best known for developing clean lithium.
Trading Data
On Tuesday, LLKKF stock slid 2.16% to $0.5968 with more than 661k shares traded, compared to its average volume of 1.69 million shares. The stock has moved within a range of $0.5718 – 0.6115 after opening trading at $0.6115.
Kachi Drilling Reinforces Doubling Lithium Production
That being said, it should be noted that the Lake Resources stock has performed poorly in the past month and has recorded a decline of as much as 17% during the period. However, on Tuesday, the company made a key announcement that investors could look into.
Yesterday, the company provided an update with regards to its KachiLihtium Project and noted that the assay results from the project have continued to be poor. That is an update that could bring further pressure on the stock in the coming days and it is important for investors to be cautious when it comes to the Lake Resources stock. However, at the same time, it is also important to point out that the company is going to further expand the drilling foot print at the project in 2022. At this point it remains to be seen if the stock arrest the slide.
Key Quote
“Argentina continues to be one of the few locations where lithium production can increase to assist the significant supply gap to increasing demand. Lake is one of only a few companies that can transform into a globally significant producer with a number of projects that can deliver high purity lithium carbonate at scale with meaningful ESG benefits”, Lake’s Managing Director, Mr. Steve Promnitz, said.
Technical Data
LLKKF stock is trading below the 20-Day and 50-Day Moving averages of $0.61 and $0.62 respectively. However, the stock is trading above the 200-Day moving average of $0.38. The stock is down 21% in the past month.
