The Argosy Minerals Limited (ASX: AGY) share price rose wildly in the first 30 minutes of market trade today. The lithium miner's shares jumped to an intraday high of 13 cents — a gain of 8% — before falling back to 12 cents.
At the time of writing, Argosy shares are changing hands for 12.5 cents — up 4% on yesterday's closing price. In comparison, the All Ordinaries Index (ASX: XAO) is up 0.18% to 7,672 points.
What's up with the Argosy Minerals share price?
It is proving a rollercoaster day for Argosy shares. This comes after the company released an update about its Rincon lithium project, located in Salta Province, Argentina.
According to the release, Argosy has submitted an environmental impact assessment (EIA) for its expansion operation at Rincon.
The company is seeking to expand lithium carbonate production at the plant by 10,000 tonnes per annum (tpa). This will add to the 2,000tpa operation currently under construction.
The department of the Salta Province Secretary of Mining and Energy is responsible for assessing the report. This is the final hurdle Argosy needs to clear before beginning construction of the additional lithium carbonate production operation.
The company is targeting final approval of the EIA report in late 2021.
Argosy managing director Jerko Zuvela commented:
With lithium market sentiment and lithium carbonate prices continuing their strong upward momentum, and continued progress toward the fully funded 2,000tpa scale production operation, we are excited as Argosy transforms into a battery quality lithium carbonate producer and cashflow generator.
With further progress toward the 10,000tpa enlarged commercial scale development, this enhances Argosy's strategic value to all end-user customers across the battery and EV industry supply chain.
The company's Puna Mining operations management team met with Flavia Royon – the recently appointed Salta Province Secretary of Mining and Energy. The team's purpose was to ensure the EIA approval process progresses. Royon also toured the company's industrial scale pilot plant operation.
The Argosy Minerals share price has surged over the past year by more than 120%, and by 50% year to date.
