Why the Piedmont Lithium (ASX:PLL) share price is rocketing 15% higher today

This lithium explorer's shares are back on form on Thursday…

| More on:
Vanadium Resources share price person riding rocket indicating share price increase

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Piedmont Lithium Inc (ASX: PLL) share price has returned from its trading halt and is rebounding on Thursday morning.

At the time of writing, the lithium developer's shares are up almost 15% to 78.5 cents.

Why is the Piedmont Lithium share price rocketing higher?

The catalyst for the rise in the Piedmont Lithium share price today has been the release of a response to an ASX Price Query.

This query is in response to a 20% decline in the Piedmont Lithium share price on Wednesday before being hurried into a trading halt.

That selloff was driven by reports that the company has not applied for a state mining permit or a necessary zoning variance in Gaston County in the United States. The report also suggests that officials may block the project due to environmental concerns.

How did the company respond?

The company acknowledged the media speculation regarding upcoming local zoning and other approvals. And while it wasn't able to comment directly on the matter, it provided investors with some information which appears to have settled their nerves.

It advised that it had a formal engagement with Gaston County on Tuesday, which it described as a "constructive work session meeting."

In addition, it has communicated with the Gaston County Board of Commissioners that it plans to submit a mine permit application in August. After which, it plans to complete a definitive feasibility study in September and then an economic impact study in October.

Management also intends to continue engaging with Gaston County and the local community in an open and transparent manner. This will be via town hall and small group meetings over the next few months.

Finally, the company confirmed that it has not received any official notification from the Gaston County or the State of North Carolina regarding its upcoming rezoning and mine permit applications.

The Piedmont Lithium share price has more than doubled in value in 2021.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and has recommended Piedmont Lithium Inc. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Gainers

asx share price boosted by us investment represented by hand waving US flag across winning athlete
Best Shares

Here are the best-performing ASX 200 shares since the US election result

We reveal the 10 ASX stocks that have had the highest share price gains since the US Presidential election.

Read more »

a man sits back from his laptop computer with both hands behind his head feeling happy to see the Brambles share price moving significantly higher today
Industrials Shares

Up 39% in a year, is there more growth to come for this ASX 200 share?

IML Equity Analyst Josh Freiman shares his views on a major ASX 200 industrial stock.

Read more »

A young women pumps her fists in excitement after seeing some good news on her laptop.
Share Gainers

Why Catapult, Flight Centre, Nufarm, and Xero shares are storming higher today

These shares are having a strong session on Thursday. But why? Let's find out.

Read more »

drug capsule opening up to reveal dollar signs signifying rising asx share price
Healthcare Shares

3 ASX healthcare shares going gangbusters on Thursday

Investors are sending these ASX healthcare stocks soaring today. But why?

Read more »

A young man talks tech on his phone while looking at a laptop. A financial graph is superimposed across the image.
Share Gainers

Here are the top 10 ASX 200 shares today

The ASX 200 made it three-for-three losses in a row this Wednesday.

Read more »

A young woman wearing overalls and a yellow t-shirt kicks one leg in the air showing excitement over the latest ASX 200 shares to hit 52-week highs
Share Gainers

Why Brickworks, James Hardie, Megaport, and OFX shares are charging higher today

These shares are having a good time on hump day. But why?

Read more »

Fancy font saying top ten surrounded by gold leaf set against a dark background of glittering stars.
Share Gainers

Here are the top 10 ASX 200 shares today

ASX investors endured another day of selling this Tuesday.

Read more »

Man pointing at a blue rising share price graph.
Technology Shares

Guess which ASX 300 tech stock is already up 64% in November!

The ASX 300 tech stock is surging higher this month. But why?

Read more »