Why is the IGO share price busting the benchmark on Friday?

The company's proposed battery material facility has found a home base.

| More on:

Should you invest $1,000 in Encounter Resources Limited right now?

Before you buy Encounter Resources Limited shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and Encounter Resources Limited wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys...

See The 5 Stocks *Returns as of 30 April 2025

A man in a hard hat and high visibility vest holds his thumb up in a gesture of confidence with heavy moving equipment in the background as on a mine site as the Chalice Mining share price rises today.

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

Key points

  • The IGO share price is roaring 2% higher today to trade at $13.035 at the time of writing
  • Its gain comes on news the company has secured 30 hectares of state government-leased land to build its proposed Integrated Battery Material Facility 
  • IGO and partner Wyloo Metals are also in discussions with a global battery chemical manufacturer interested in joining in on the project 

The IGO Ltd (ASX: IGO) share price is besting the benchmark S&P/ASX 200 Index (ASX: XJO) on Friday.

It comes as the green metals miner reveals its secured land to build its proposed Integrated Battery Material Facility (IBM Facility).

It's also in discussions with a potential battery chemical partner. Finding an experienced partner is a key hurdle facing the project's final investment decision (FID).

Right now, the IGO share price is roaring 2.24% higher to trade at $13.035.

Created with Highcharts 11.4.3Igo PriceZoom1M3M6MYTD1Y5Y10YALLwww.fool.com.au

Let's take a closer look at the news driving the critical metals-focused company's stock higher today.

IGO share price gains on battery supply chain milestone

The IGO share price is outperforming on news the company has secured land from the government of Western Australia.

The win marks an important milestone in its plan to be vertically integrated into the battery supply chain.

The ASX 200 company hopes to develop the IBM Facility in conjunction with Wyloo Metals – a private entity owned by Fortescue Metals Group Limited (ASX: FMG) boss Andrew Forrest.

The project's development will see a downstream nickel refinery integrated with a plant producing high-value nickel dominant precursor cathode active material (PCAM).

IGO also revealed it and Wyloo Metals are in advanced discussions with a global battery chemical manufacturer interested in partnering on the project.

The proposed facility would be built in the Kwinana-Rockingham Strategic Industrial Area on 30 hectares of vacant state government-leased land.

A FID on the IBM Facility rests on finding a partner experienced in PCAM and a feasibility study – expected in mid-2024. It's also subject to other permitting and stakeholder approvals.

Commentary from management

IGO acting CEO Matt Dusci commented on the news driving the company's share price today, saying:

We are excited about securing this site at Kwinana … We strongly believe that by bringing the right partners together, we will deliver a fully optimised nickel supply chain delivering low-cost, low-carbon, responsibly produced battery chemicals for the global battery and electric vehicle industry, to be delivered through an integrated battery material facility here in Western Australia.

IGO share price snapshot

Sadly, today's surge hasn't been enough to boost the IGO share price into the longer-term green.

The stock is still 2% lower than it was at the start of 2023. It has also slumped 7% since this time last year.

For comparison, the ASX 200 has risen 5% year to date and has fallen 3% over the last 12 months.

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. 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 Scott Phillips.

More on Materials Shares

An unhappy man in a suit sits at his desk with his arms crossed staring at his laptop screen as the PointsBet share price falls
Materials Shares

Does Macquarie rate James Hardie shares a buy, hold or sell?

The company is set to report FY25 earnings this week.

Read more »

Man with rocket wings which have flames coming out of them.
Materials Shares

Why is the Core Lithium share price jumping 19% today?

Something is getting investors excited. Let's find out what it is.

Read more »

A woman holds up hands to compare two things with question marks above her hands.
Financial Shares

Which is better value right now, Soul Patts or Brickworks shares?

Let's dive in and see what the experts have to say.

Read more »

A smiling businessman in the city looks at his phone and punches the air in celebration of good news.
Materials Shares

Core Lithium shares charge higher on big news

This lithium miner is starting the week strongly. But why?

Read more »

Lion roaring in the wild, symbolising a rising Liontown share price.
Materials Shares

Why did the Liontown share price rip 19% higher today?

This ASX lithium share was the fastest riser of the ASX 200 today.

Read more »

A female miner wearing a high vis vest and hard hard smiles and holds a clipboard while inspecting a mine site with a colleague.
Materials Shares

Why are Fortescue shares charging higher today?

What is getting investors excited today? Let's find out.

Read more »

Business people discussing project on digital tablet.
Materials Shares

What does Macquarie think Liontown Resources shares are worth?

Let's see if analysts think that this lithium miner is in the buy zone or best avoided.

Read more »

Overjoyed man celebrating success with yes gesture after getting some good news on mobile.
Materials Shares

Lynas shares charge higher on big news

What is getting investors excited today? Let's find out.

Read more »