While it is true that there was no fresh news with regards to Platinum Group Metals Ltd (NYSEAMERICAN:PLG) on Wednesday, the stock came into focus nonetheless and ended up with gains of as much as 15%.
Trading Data
On Wednesday, PLG stock increased 14.88% to $1.93 with more than 2.66 million shares, compared to its average volume of 1.13 million shares. The stock moved within a range of $1.6331 – 1.9300 after opening trade at $1.68.
Key Details
In order to get a better idea about the current situation at Platinum Group Metals, it may be a good idea for investors to consider taking a look at development from back on May 12. On that day, it was announced that the company had signed a Memorandum of Understanding with the Japan Oil, Gas, and Metals National Corporation.
As per the provisions of the Memorandum of Understanding, the two companies are going to be involved in speeding up the process of getting the necessary financing for the Waterberg Project. Representatives from both the companies had actually met during the African Mining Indaba event that had been held in Cape Town back on May 10.
After the completion of the meeting, the two companies decided to sign the MoU. The latest rally may or may not have been brought about by that development and hence, it may be a good move for investors to keep an eye on the news in relation to Platinum Group Metals.
Key Quote
Platinum Group President and CEO Frank Hallam stated, “We are honored and encouraged by the declaration of support from our Japanese partners. The current geopolitical situation has reinforced the importance of establishing a secure and ethically sourced supply of platinum and palladium for Japanese and global industry. We look forward to working closely with JOGMEC and Hanwa over the coming months to secure and finalize a funding package for the Waterberg Project.”
Technical Data
PLG stock is trading above the 20-Day and 50-Day Moving averages of $1.84 and $1.85 respectively. However, the stock is trading below the 200-Day moving average of $2.11.
